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Arizona Tax Credit: What Organizations Should You Consider?

by | Apr 9, 2022 | Blog, Tax Credits

Would you be interested if we told you that you could actually direct where your taxes go? Yes. The State of Arizona offers a one-of-a-kind opportunity allowing taxpayers to contribute to qualified charitable organizations and turn them into an Arizona tax credit.


Arizona Tax Credit What Organizations Should You Consider


What Kind of Organizations Can You Donate To?

Generally speaking, you can donate to any organization you like – be it in cash or kind. However, if you are interested in using your donations to apply for the Arizona charitable tax credit, you should be donating to QCOs and QFCOs to be eligible.


A QCO means a qualified charitable organization. It is a group of people who help assist families and individuals with their immediate basic needs, including Arizona’s low-income residents, those who are registered and receiving TANF (temporary assistance for needy families), and people who have physical disabilities or chronic illness. A taxpayer should use Arizona Form 321. The maximum amount an individual filer can have is $400, while joint filers have a maximum of $800.


There is also the CFCO or qualifying foster care charitable organizations. Generally, it operates similarly to the goals of a qualified charitable organization. A QFCO caters to qualifying persons listed in the foster care system, those who receive TANF, individuals with disabilities or chronic illnesses, and low-income Arizona residents. A taxpayer contributing to a QCFO must use the Arizona Form 352 when filing for the donation as a tax credit. A single taxpayer can file for a maximum of $500, while joint filers can file as much as $1,000.


Arizona Tax Credit What Organizations Should You Consider


What Charitable Organizations Should You Consider?

There are various charitable organizations around Arizona and the US. Here are five organizations that you can consider when donating your tax credits.

Children’s Care Arizona

Children’s Care Arizona is a non-profit charitable organization that assists low-income families in Arizona with their child care, supervision, and schooling (extracurricular activities) expenses. If a taxpayer donates money and files it for tax purposes, the Arizona tax credit may apply. You may call (480) 795 3775 or e-mail support@childrenscareaz.org for your queries. Otherwise, you may visit childrenscareaz.org for more information.

Kiwanis Club of North Phoenix

Kiwanis is a part of an international group of volunteers helping children and communities through fundraising activities and donations for more than three decades. If you wonder what Arizona tax credit Kiwanis qualify for, you can also apply the charitable tax credit for your contributions. You may check on their activities through this link.

Arizona Friends of Foster Children Foundation

Arizona Friends of Foster Children Foundation or AFFCF helps young Americans who are still under foster care through specific programs. The participants in the program get training and education about employment and their life goals. Scholarships are also available for those who are 18 years old or older. If you wish to learn more about how they help and their Arizona tax credit process, click here.

Child Crisis Arizona

Child Crisis Arizona has been helping families, youth, and young children for almost fifty years. The organization’s primary goal is to help families and individuals in crisis, strengthen relationships, and avoid problematic situations in the future. Giving a safe environment for families and children is the organization’s guiding principle. They offer emergency children’s shelter, counseling, workshops, foster care, and adoption assistance. Click this link to learn about them and their works.

Arizona Gives

Child Gives supports various fundraising activities, volunteer opportunities, and businesses around Arizona. They offer easy pre-scheduled donations to donors who want to make hassle-free contributions. Arizona Gives also a qualified 501(c)(3) organization, eligible to process donations as an Arizona tax credit.


Facts You Should Know When Donating For Tax Credits

As a donor, you are entitled to know more about what happens when donating for your Arizona tax credit. Check the most common topics that can help you get through the process.

AZ Tax Credit

  • Payment Methods: Most organizations accept cash, credit/ debit cards, and eChecks.
  • Receipt of Donation: The donor will receive a receipt for the contribution made. Typically, the proof of contribution will be sent via mail or e-mail. The donor is responsible for processing the receipts to the Arizona Department of Revenue for approval of use as an Arizona tax credit.
  • Credit Card Statements: If the donor paid via credit card, the statement would reflect the name of the receiving qualified charitable organization.
  • Donating Fees: Some organizations might charge a minimal amount for processing or administrative fees as a part of the donation process. It is best to tell this concern with your chosen non-profit QCO to know how much their fees are.
  • Information Security: Most organizations offer safe and secure features on keeping their donors’ information. Some QCOs have state-of-the-art security applications helping donors keep their personal and financial data away from possible hackers.


Takeaway Thought

Qualified organizations in Arizona like Children’s Care Arizona, Kiwanis Club of North, AFFCF, Child Crisis Arizona, and Arizona Gives primarily aim to help people in need, including low-income families, children with disabilities, and persons in crisis. A donor may give money supporting a specific cause. In return, the contribution with an official receipt from a QCO may be filed as an Arizona tax credit.

If you choose to understand more about how your Arizona tax credit can help communities and families in Arizona, speak with one of Children’s Care Arizona’s representatives through a phone call at (480) 795 3775 or e-mail us at support@childrenscareaz.org.

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