You can make a difference without spending a dime.
Every year, hundreds of people make donations to Paz de Cristo and receive their money back when they file their state taxes. Arizona’s Charitable Tax Credit allows taxpayers to give a donation to qualifying charities and receive a dollar-for-dollar credit up to $800.
How does the Arizona charitable tax credit work?
Steps to get your money back
1. Give a donation
2. Claim your credit when you file your state taxes
3. Get your money back, a dollar-for-dollar credit, up to $800
How to bring hope
Your gift brings hope to our neighbors who are struggling with hunger, poverty and homelessness.
$100 provides 110 meals
$200 provides a shower and clean clothes for 15 people
$400 provides Arizona ID needed for 33 people to get jobs
$800 provides 880 meals
How is a tax credit different from a deduction?
A deduction lowers the amount of your income on which the tax is calculated. A credit reduces your tax liability dollar-for-dollar, as if you had already paid the tax.
How It Works
Arizona State Taxes Owed: $1,000
Donation to Paz de Cristo: -$800
Arizona State Taxes Now Owed: $200
A donation to Paz de Cristo may qualify you for the Arizona Charitable Tax Credit which can lower Arizona state taxes up to $400 for individuals and up to $800 for couples filing jointly. See your tax professional for advice.
Frequently Asked Questions
Is the Charitable Tax Credit the same as the Working Poor Tax Credit?
Yes, the Charitable Tax Credit is the new name for the credit formerly known as the Arizona Working Poor Tax Credit.
Thanks to the SB 1216 legislation passed in 2016, individual taxpayers may now take up to $400 in tax credit and couples filing jointly may claim up to $800 in tax credits for gifts made to Paz de Cristo.
Can I really get a tax refund?
Hundreds of people make donations each year and receive their money back when they file their taxes. In return for your donation, you can get a direct, dollar-for-dollar credit toward the amount you pay in Arizona state taxes.
Getting a refund depends on your tax situation.
Most donors pay into the state throughout the year through their payroll deductions, and their tax credit qualifies for a full refund from the state.
People who owe taxes to the state at the time they file their taxes receive a credit for their donation which reduces the amount they owe on their taxes.
Consult a tax professional who can advise you in your situation.
Why give to Paz de Cristo over other Charitable Organizations?
Paz de Cristo uses donations to help our neighbors struggling with hunger, poverty and homelessness. As an Arizona working poor charity, we give people a hand so that they can get back on their feet. We Feed, Clothe and Empower.
More than 93 cents of every dollar given to Paz de Cristo goes directly to fund our programs. We help you get the most out of the taxes that you already pay.
When is the deadline?
You can donate at any time, and Paz de Cristo will put the funds to work right away to Feed, Clothe and Empower our neighbors in need.
You may donate prior to filing taxes and claim the credit on your 2019 state taxes when donations are either postmarked or entered online by midnight, April 15, 2020.
You may be eligible to take an itemized Federal tax deduction for 2019 when the donation is postmarked or entered online no later than midnight, December 31, 2019. Verify deductions with your tax professional.
How much can money can I claim as Charitable Tax Credit?
For tax year 2019, a married couple filing jointly can claim a maximum credit of up to $800, a single taxpayer can claim up to $400 for gifts made to Paz de Cristo.
In addition, you may qualify to claim other tax credits designed for private and public schools, foster care agencies and many more. See Form 301 on the Arizona Department of Revenue’s website for details on other credits you may claim.
Can I take this credit in addition to other tax credits?
In addition, you may qualify to claim other tax credits designed for private and public schools, foster care agencies and many more. See Form 301 on the Arizona Department of Revenue’s website for details on other credits you may claim.
Do I have to donate $400 or $800 at once?
No, you do not have to donate the entire amount at one time. Donations given throughout the year to Arizona tax-deductible charities that add up to the $400 and $800 limits qualify for the tax credit.
How do I claim my tax credit?
When you file your state taxes, claim the Charitable Tax Credit on Arizona Form 321 which is available online from the Arizona Department of Revenue.
Donors will receive an acknowledgement from Paz de Cristo documenting donations.
Does my donation qualify as a deduction on my federal taxes?
Paz de Cristo is a 501(c)(3) nonprofit organization.
Donations made in excess of the tax credit may qualify as a deduction on federal taxes.
Those who made their tax credit donation before August 27, 2018, may claim their donation as a deduction on their federal income taxes in addition to receiving the Arizona tax credit. Since every tax situation is unique, verify deductions with your tax professional.
Can I take the Tax Credit by donating food, clothing or other tangible items?
