About School Tax Credits
There are three Arizona tax credits that allow Arizona individual taxpayers
and corporate taxpayers to make a donation, receive a dollar for dollar tax
credit and help educate tomorrow’s leaders.
Private School Tax
Credit
The Arizona legislature enacted a law in 1997 (effective 1998 tax year) allowing
individual taxpayers an Arizona income tax credit up to $500 (single and head
of household) or $1,000 (married filing joint) for donations to a private
school tuition organization, such as the Brophy Community Foundation. At least
90% of the donations to the Brophy Community Foundation must be given to students
for tuition aid. A student must apply directly to the Brophy Community Foundation
for tuition aid. All awards are need based.
Public School Tax
Credit
Taxpayers may also receive a tax credit up to $200 (single and head of household)
or $400 (married filing joint) for donations to public schools. Donations
to public schools are used for extracurricular activities. This means any
school sponsored activity that requires enrolled students to pay a fee in
order to participate. The Brophy Community Foundation recommends donating
to the Wilson School District, 3025 E. Fillmore Street, Phoenix, Arizona 85008.
Send your donation payable to and directly to the Wilson School District.
An individual taxpayer may take advantage of both the private school and public school tax credit in any given tax year. Therefore, a single taxpayer could receive $700 in TAX CREDITS annually and benefit education! Couples filing joint returns could receive $1,400 in TAX CREDITS.
Corporate Tax Credit
In 2006, the Arizona legislature passed a corporate tax credit that allows
“C” Corporations and “S” Corporations (only if the
“S” Corporation has a tax liability at the corporate level) to
make donations to a school tuition organization, such as the Brophy Community
Foundation, and receive a dollar for dollar tax credit. There is no contribution
cap per corporation, but there is a statewide cap of $10 million for FY 2006-07.
Each year, for the five years of the program, the cap will increase by 20%,
until FY 2010-1011, when it will reach nearly $21 million.
For more information,
call the Arizona Department of Revenue:
Phoenix 602-255-3381
Nationwide, toll-free 800-352-4090
Or visit relevant
Arizona Department of Revenue websites:
Arizona Department
of Revenue
Arizona Department
of Revenue Tax Credit Brochure
School Tax Credits Brochure
Arizona Revised
Statutes
Tax credit for contributions to private schools (A.R.S.
43-1089)
Tax credit for contributions to public schools (A.R.S.
43-1089.01)
Corporate
tax credits for contributions to private (A.R.S.
43-1183)
Arizona Tax Forms
The 2008 tax forms are not yet available. To receive previous year's tax formsclick
here and scroll down to the following forms
301 Individual Tax Credits & Instructions
323 Credit for Contributions to Private School Tuition Organizations
323 Instructions
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