Formerly called the Working Poor Tax Credit, The Charitable Tax Credit is available to anyone who files an Arizona Tax Return. To receive the tax credit, you must make a donation to a qualified charitable organization, and Life Choices Women’s Clinics is one of them. You may receive a tax credit up to $400 if filing as single or $800 for married couples. Amounts lower than $400/$800 also qualify. This is a dollar-for-dollar tax credit. You do not need to itemize to take advantage of this credit. This is in addition to the school tax credit, so you can do both!
John and Mary’s total Arizona tax liability was $2500. They had $3,500 taxes withheld for a refund of $1,000. After making an $800 donation to Life Choices Women’s Clinics, their state refund is now $1,800.
Sue’s Arizona tax liability was $1500. Sue had $1100 taxes withheld and owes $400. After making a $400 donation to Life Choices Women’s Clinics, Sue does not owe anything to the state.