Arizona Charitable Tax Credit
Qualifying Charitable Organization
QCO Code 20138
The Charitable Tax Credit is a dollar-for-dollar charitable contribution you can give to 501(c)(3) corporations (nonprofits). With Arizona’s Charitable Tax Credit, you can receive a dollar-for-dollar tax credit, up to $470 filing a single or $938 if filing a joint return, on your state income taxes while helping the homeless – at no additional cost to you.
How do I qualify for Charitable Tax Credits?
It is no longer a requirement to itemize your charitable contributions to a qualifying charitable organization.
Furniture Bank, Inc., Phoenix AZ qualifies as a charitable organization - QCO Code 20138 Homes From Heaven is a part of Furniture Bank, and all Tax Credit Donations made to Furniture Bank are being donated to Homes From Heaven.
What is the difference between a tax credit and a tax deduction?
A tax credit is significantly more beneficial than a tax deduction. A tax credit reduces your taxes, dollar-for-dollar. A tax deduction reduces the taxable income upon which your tax liability is calculated.
Can I make a Charitable Tax Credit Donation, if I make a School Tax Credit as well?
Yes, they are separate credits, and you are allowed to take advantage of both. In fact, you can donate to other separate qualifying Arizona charitable organizations. (QCO Codes) Your Tax Professional will advise you based on your situation.
Does the tax credit also apply to my federal income tax returns?
If you itemize your federal return, you will be able to claim a federal tax deduction in addition to your Arizona Charitable Tax Credit.
How do I get my tax credit?
As soon as it is made available by the state, Furniture Bank, Inc. will send you an Arizona Personal Tax Form 321 showing the amount of your Tax Credit – equal to the amount of your gift up to the limits allowed ($470 for an individual; $938 for a couple filing jointly). Take this form with you to your tax preparer when you are ready to file your taxes. If you complete your own Arizona Personal Tax return, include the amount of your credit on the appropriate line. That amount will be subtracted from the amount of your tax liability to either increase your refund or reduce the amount due. Attach form 321 to your return.
What are the Downsides of contributing to the tax credit program?
There are none. The State of Arizona is the only state to adopt a tax CREDIT program so that taxpayers can direct charitable contributions to the charities they hold near and dear. It is a wonderful opportunity for citizens to support qualified non-profits while getting a tax credit on their state taxes as well as a deduction on their federal tax returns.
The Furniture Bank no longer needs used furniture.
We have grown and are blessed to work with partners that provide new furniture and furnishings for our clients.
We recommend Sunshine Acres
Like us, they pick up and every penny goes to the kids.
God bless you!
We are proud to partner with a variety of organizations and businesses to support our community. Our partnerships enable us to expand our reach and provide even more resources and services to those in need.
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