What is the Charitable Tax Credit?
The state of Arizona offers a tax credit to qualifying charitable organizations. This tax credit was previously called the Working Poor Tax Credit. The tax credit is designed to provide assistance to Arizona residents who either receive Temporary Assistance of Needy Families (TANF) benefits, are low income Arizona residents or are children who have chronic illness or physical disability. The dollar-for-dollar tax credit can be taken for contributions to qualifying charities that are made and postmarked by Dec. 31.
Unlike deductions and exemptions, which reduce the amount of your income that is taxable, tax credits reduce the actual amount of tax you owe the state. Arizona’s Charitable Tax Credit is a dollar-for-dollar tax credit.
Why should I donate to SPOT 127 LLC?
In addition to earning a valuable tax credit, your donation can help Arizona youth reach their greatest potential. Donations to SPOT 127 LLC will provide digital media instruction and job training to youth throughout the Valley.
SPOT 127, KJZZ’s youth media center, empowers high school students through training in multimedia production. Students develop state-of-the-art skills in digital media, audio production, video production, digital photography, social media and more. Our innovative afterschool and in-school programs foster job opportunities, internships and self-esteem in high school students around the Valley.
Is SPOT 127 LLC a qualifying charity?
Yes! SPOT 127 LLC has been approved as a qualifying charitable organization as defined by the Arizona Department of Revenue. We spend at least 50 percent of our budget on job training skills, and more than 50 percent of the high school students who participate in our programs come from households that meet the federal government’s poverty guidelines.
How much can I claim?
Taxpayers filing with “single” and “head of household” status may claim a maximum credit of $400. Taxpayers that file as “married filing joint” may claim a maximum credit of $800.
Do I need to itemize deductions to claim the credit?
No! Since the 2013 tax year, Arizona no longer requires taxpayers to itemize deductions to claim a credit for contributions to a qualifying charitable organization.
What do I need to file to claim the credit?
Fill out Arizona tax form 321 and include it with your tax return.
What documentation will I need?
SPOT 127 will send you a letter confirming your contribution. The letter documents your contribution, and is needed to support your tax credit. Click here to make an online contribution.