3 State Tax Credits Arizona Residents Should Know About

Many people are looking to make a difference in the lives of those in their area, but simply don’t know where to begin. One way to consider giving to those in need is to take advantage of state tax credits. Each state may offer different tax credits, so we’re here to explain some of those offered in Arizona. Continue reading to learn how you affect positive change in your community in an easy and rewarding way.

Public School Tax Credit

If you’re looking for a way to help out children attending public schools, this is a great way to do so. The public school tax credit is for cash contributions towards Arizona public schools made by individual taxpayers. Businesses are, unfortunately, ineligible. This is a nonrefundable credit that was created for those seeking to improve the lives of public school children involved in after-school activities dealing with sports, music, art, and more.

Private School Tax Credit

Another way to help children that are working their way through their education is the utilize the Credit for Contributions to Private School Tuition Organizations — commonly referred to as the Private School Tax Credit. This is a nonrefundable tax credit for individuals donating funds to private school tuition organizations, or STOs. These organizations offer educational scholarships to students attending private schools. Similar to the Public School Tax Credit, corporations and other types of businesses cannot receive this tax credit. Those filing as single, married filing separately, or head of household can donate up to $569 and those filing married filing jointly can contribute up to $1,138.

Arizona Charitable Tax Credit

If you would like to direct funds to a wider range of charities, such as Paz de Cristo, then consider the Arizona Charitable Tax Credit. Under this tax credit, you can give to Qualifying Foster Care Charitable Organizations (QFCOs) and Qualified Charitable Organizations (QCOs). This money can go towards anything from food boxes to helping those without homes. Those filing as single, married filing separately, or head of household can donate up to $400 and joint taxpayers can contribute up to $800 to QCOs. In regards to QFCOs, those filing as single, married filing separately, or head of household can donate up to $500 and joint taxpayers can contribute up to $1000.

When you donate to a tax deductible charity such as Paz de Cristo, your funds are put towards helping all types of individuals in the community — those seeking employment, food, clothing, and more. Offering haircuts to job seekers is just one of many ways that we aim to empower those who need it.

According to Nptrust.org, there are over 1.54 million charitable organizations in the U.S. that you can donate to. For more information on how to donate to our organization and benefit from tax credit federal deductions, reach out to the professionals at Paz de Cristo.