Tax Credits

Your Arizona Charitable Tax Credit Dollars can make a difference in the lives of homeless women and children!

Did you know that by donating to Prescott Area Shelter Services you are eligible for the Arizona Charitable Tax Credit? The Charitable Tax Credit is a charitable contribution you can give to qualifying Arizona charitable organizations. Prescott Area Shelter Services is an approved recipient.

Arizona provides a dollar-for-dollar tax credit for contributions to organizations that serve the working poor. With passage of Senate Bill 1216, the amount of the tax credit doubles the amount that individuals and married couples can make each year.
Senate Bill 1216 also increased the amount that individuals and married couples can contribute to foster care charitable organizations. The amounts allowed under current statute are $400 and $800.

For Example:

  • Single or head of household: $400 (Qualifying Charitable Organization) + $500 (Qualifying Foster Care Organization) = $900 tax credit
  • Married filing jointly: $800 (Qualifying Charitable Organization) + $1,000 (Qualifying Foster Care Organization) = $1,800 tax credit.

New in 2016:

The qualifying charitable organization and qualifying foster care organization donations are no longer linked, so you can take both credits for a new maximum of $900 ($1,800 for married filing jointly).

New in 2018: 

Under the proposed regulations of the TCJA reform, a taxpayer who makes payments or transfers property to an entity eligible to receive tax deductible contributions must reduce their charitable deduction by the amount of any state or local tax credit the taxpayer receives or expects to receive, in other words if you receive Arizona tax credits, you will not be allowed to take the same dollar for dollar deduction at the federal level.

The proposed regulations provide exceptions for dollar-for-dollar state tax deductions and for tax credits of no more than 15 percent of the payment amount or of the fair market value of the property transferred. A taxpayer who makes a $1,000 contribution to an eligible entity is not required to reduce the $1,000 deduction on the taxpayer’s federal income tax return if the state or local tax credit received or expected to be received is no more than $150. For more information go to the Tax Reform Page on IRS.gov.

The Qualifying Charitable Organization (QCO) Code for PASS is 20392. Donors will be required to use this code when taking the tax credit on their income tax returns. Click to download more information HERE.

Thank you card

Prescott Area Shelter Services does not offer legal or tax advice. Please consult with a qualified, licensed professional regarding all legal or tax-related questions. For questions about your donation to PASS and the Arizona Charitable Tax Credit, please contact us at 928-778-5933 or by email at paws.outreach@gmail.com.

Additional information regarding this program is available at http://azcredits.org/

Deadline is April 15th, 2019.

On behalf of PASS and the many homeless women and children that come through our doors, we thank you!