Arizona Tax Credits

Contributions to Qualifying Charitable Organizations:

An individual who makes a cash donation to a qualifying charitable organization can receive a tax credit of up to $400 for single, head of household and married filing separately taxpayers or $800 for married filing jointly taxpayers. You have until April 15, 2021 to make cash contributions that can be claimed as a credit on your 2020 tax return. For complete list of qualifying charitable organizations, please visit: https://azdor.gov/sites/default/files/media/CREDITS_2020_qco.pdf

Contributions to Qualifying Foster Care Charitable Organizations:

An individual who makes a cash donation to a qualifying foster care charitable organization can receive a tax credit of up to $500 for single, head of household, and married filing separately taxpayers or $1,000 for married filing jointly taxpayers. You have until April 15, 2021 to make cash contributions that can be claimed as a credit on your 2020 tax return. For complete list of qualifying charitable organizations, please visit: https://azdor.gov/sites/default/files/media/CREDITS_2020_qfco.pdf

School Tax Credits for Individuals:

An individual can claim up to three school tax credits per year: one for contributions to public schools and two for contributions to private school tuition organizations. You have until April 15, 2021 to make cash contributions that can be claimed as a credit on your 2020 tax return. A credit of up to the following amounts is available for 2020:

  • Public School Credit: up to $200 for single, head of household and married filing separately taxpayers or $400 for married filing jointly taxpayers.
  • Private School Tuition Credit: up to $593 for single, head of household and married filing separately taxpayers or $1,186 for married filing jointly taxpayers.
  • PLUS Switcher Credit: up to $590 for single, head of household and married filing separately taxpayers or $1,179 for married filing jointly taxpayers.

For more information and a list of schools and school tuition organizations, please visit: https://azdor.gov/sites/default/files/REPORTS_sto-i-list.pdf

Credit for Donations to the Military Family Relief Fund:

An individual who makes a cash donation to the Military Family Relief Fund can receive an Arizona tax credit of up to $200 for single, head of household, and married filing separately taxpayers or $400 for married filing jointly taxpayers. Total donations qualifying for the credit are capped at $1 million each year. To find out if the cap has been reached, visit: https://dvs.az.gov/mfrf

Note: as of October 5, 2020, $850,000 of the yearly cap was reached and online donations for 2020 are no longer accepted. Mail-in donations will be accepted until the $1 million annual cap is reached.

If you have any questions, please contact our office and one of our staff will be happy to assist you.

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About this Author

Laura specializes in income tax return preparation, compliance, and research for individuals and businesses. She also is experienced in preparing compiled and reviewed financial statements, individual and S-Corporation taxation, multi-state taxation, and income tax credits including the R&D credit.