Arizona has a robust system of state charitable tax credits that permit taxpayers to direct their state tax dollars to the community organizations that they value most. Arizona’s charitable tax credits have become important sources of revenue for qualifying Arizona charities and public schools.
However, Arizona’s charitable tax credit scheme is subject to frequent changes, and while a boon for charities, it can be confusing for taxpayers. For individual taxpayers, the 2019 Arizona charitable tax credits are as follows:
Public Schools (AZ Form 322)
- Credit for contributions of up to $400 for couples filing jointly and $200 for all other filers is available for payments of fees to an AZ public school or charter school for support of extra-curricular activities or character programs.
- Form 322 with instructions
- 707 Publications: School Tax Credit Information
- List of Schools and CTDS – County Code, Type Code, and District Code & Site Number
Private School Tuition Organizations (AZ Form 323)
- Credit for contributions to a Private School Tuition Organization (Original Credit) of up to $1,138 for couples filing jointly, and $569 for all other taxpayers. The contribution provides scholarships or grants to qualified elementary and high schools. It cannot be designated for the direct benefit of your dependent but can benefit a relative.
- Form 323 with instructions
- List of School Tuition Organizations
- Information about qualifying as a Private School Tuition Organization
Certified School Tuition Organizations (AZ Form 348)
- Credit for contributions to a Certified School Tuition Organization (Switcher Credit) of up to $1,131 for couples filing jointly, and $566 for all other taxpayers. This credit is only available to individuals that first donated the maximum amount allowed under the Credit for Contributions to Private School Tuition Organizations (AZ Form 323) above.
- Form 328 with instructions
- List of School Tuition Organizations
- Information about qualifying as a Certified School Tuition Organization
Qualifying Charitable Organizations (AZ Form 321)
- A credit of up to $800 for couples filing jointly and $400 for all other filers is available for contributions to a qualified charitable organization.
- List of Qualifying Charitable Organizations for 2019
- Information about qualifying as a Qualifying Charitable Organization
Qualifying Foster Care Charitable Organizations (AZ Form 352)
- A credit of up to $1,000 for couples filing jointly and $500 for all other filers is available for contributions to a qualified foster care charitable organization.
- List of Qualified Foster Care Charitable Organizations for 2019
- Information about qualifying as a Qualifying Foster Care Charitable Organization
Donations made on or before April 15, 2020, may be applied to either 2019 or 2020 and are considered to have been made on December 31, 2019, for state purposes. Credits are non-refundable. Unused credits carry forward for 5 years.
Related read: Big Changes in Arizona’s Charitable Tax Credits
Ellis Carter is a nonprofit lawyer with Caritas Law Group, P.C. licensed to practice in Washington and Arizona. Ellis advises nonprofit and socially responsible businesses on corporate, tax, and fundraising regulations nationwide. Ellis also advises donors with regard to major gifts. To schedule a consultation with Ellis, call 602-456-0071 or email us through our contact form.