Arizona Tax Credits

We all like to give back to our communities, each fall we are reminded to be thankful and value those around us through a spirit of generosity, but being altruistic isn’t always easy. Luckily Piper Accounting can help you to utilize the unpaid taxes you already owe the state so that you can support one of the many worthy charitable causes here in Arizona.

Through the Arizona Tax Credit program residents are able to donate funds that they would otherwise owe in state tax to designated charitable organizations of their choosing. Essentially, by donating to an eligible charitable organization or school, public or private, you are telling Arizona EXACTLY where you want your tax dollars to go!

You can contribute up to the amount of your expected Arizona tax liability. If you contribute more than your state tax amount, the credit can be carried forward for as many as 5 years. You must make your donations by April 15, 2020, to apply them to the 2019 tax year.

Finding an organization to donate to can sometimes be confusing, Piper Accounting Solutions is always ready with recommendations for our clients. If you have a specific organization in mind you can reach out to them for more information on how to donate and the credit eligible for the organization. Most organizations will be able to provide you with the details on how to donate as well as a receipt for your tax records. Remember always keep records of all your donations for the year! Having this information ready to tax season ensures you are getting all the credit you are eligible for!

See below a list of some of the credits available to Arizona residents!

  1. The Arizona Military Family Relief Fund Credit

    Amount eligible for credit: $200 for single filers/ $400 for joint.

    Contribute to this organization by going to their website. This donation must be made by December 31.

  2. Arizona Credit for Donations Made to Qualifying Charitable Organizations

    Amounts eligible for credit: $400 for single filers/ $800 for joint.

    The Arizona Department of Revenue provides a list of qualifying charitable organizations.

  3. Public School Credit

    • Private School Credit

      Amounts eligible for credit: $569 limit for single filers/ $1,138 limit for married filers.

    • Additional “PLUS” Private School Credit

      Amounts eligible for this additional credit: $566 for single filers or $1,131 for joint filers.

  4. Foster Care Charitable Organization

    Amounts eligible for credit: $500 for single filers/ $1,000 for joint filers.

    For more information on these tax credits and the list of qualifying organizations available for each category please visit the Arizona department of revenue website at https://www.azdor.gov/taxcredits.asp or if you already have an organization in mind we recommend calling them or visiting the website for additional information on how to donate.

    If you’re interested in maximizing your refund and minimizing the taxes you pay each year please call Piper Accounting Solutions today for information about how we can help you!