To learn more about the Arizona Qualifying Foster Care Charitable Tax Credit and the Arizona Charitable Tax Credit, review the Frequently Asked Questions below.
You can also contact the Arizona Department of Revenue at (800) 352-4090 or visit their website. Please call ABCS at (800) 678-0648 for questions about how to quality for both tax credits by giving to Community Resource Centers and Caring Ministries.
Frequently Asked Questions
How much is the Arizona Qualifying Foster Care Charitable Tax Credit for individuals and married couples?
As of 2023 the amounts have increased for the foster care state tax credit. Individuals can receive up to $526 and married couples filing joint taxes can receive up to $1,051. Now in 2024, individuals can receive up to $587 and married couples will be able to receive up to $1,173.
When do I need to give my gift to qualify for the tax credit?
According to the Arizona Department of Revenue, the state law allows qualifying donations made during 2023 or donations made from January 1, 2024 through April 15, 2024 to be claimed on the 2023 Arizona income tax return. Gifts claimed for the Arizona state foster care tax credit for 2023 will receive the maximum credit for the 2023 amounts listed above. If you make a qualifying donation from January 1, 2024 through April 15, 2024 and want to claim the higher 2024 maximum credit amount, you must claim the credit on your 2024 Arizona tax return filed in 2025.
I give to schools for their tax credits. Does this mean that I don’t qualify for this tax credit?
Actually, the Arizona Charitable Tax Credits are separate from the Private School and Public School credits. Arizona taxpayers may utilize all of them.
Is the Arizona Qualifying Foster Care Charitable Tax Credit separate from the Working Poor Tax Credit?
Yes, the Working Poor Tax Credit is now referred to as the Arizona Charitable Tax Credit. Arizona taxpayers can now qualify for both the Arizona Charitable Tax Credit and the Arizona Foster Care Charitable Tax Credit when they give to separate qualifying organizations. You can qualify for both by giving to Community Resource Centers and Caring Ministries. For more information about Arizona tax credits, visit the Arizona Department of Revenue website or call (800) 352-4090.
I like to give locally. Where do donations go?
Contributions made to the Community Resource Centers will support the center in your community.
I don’t owe any state taxes, or I don’t owe as much in state taxes as the credit allows me to give. Does it still benefit me to give?
Tax credits may be carried forward up to five years, so even if you give more than you owe in state taxes this year, you can apply the credit to your taxes for the next five years. Whether you claim a state tax credit or not, the amount you give to community resource centers is eligible for a federal deduction. Additionally, with a gift of any amount to community resource centers you can help provide hope and care to hurting children and families in your community, and spread the gospel of Jesus Christ across Arizona. We encourage you to give any amount God leads you to give, regardless of the qualifying tax credit amounts.
What is the difference between a tax credit and a tax deduction?
Tax credits and deductions are very different in the way they benefit you financially. Tax deductions reduce the amount of your gross income that is taxable while tax credits are applied directly against the amount of money owed in taxes. In most cases, a tax credit provides a greater positive impact to you financially.
How do the Community Resource Centers qualify for the Foster Care tax credit?
Community Resource Centers are a ministry of ABCS, which is a 501(c)(3) non-profit organization and for years has been acknowledged as a Qualifying Foster Care Charitable Organization.