Individual Arizona Tax Credits

In 1997, the Arizona State Legislature enacted A.R.S. 43-1089, the Arizona Private School Tuition Tax Credit law. This Original Individual Tax Credit law allows Arizona taxpayers to give what they would otherwise owe the state in income tax to a School Tuition Organization (STO), such as Yuma's Education Scholarship Fund for Kids, Inc. (YES Fund for Kids), as a donation instead. 

In 2012, the Arizona Legislature enacted A.R.S. 43-1089.03, the Overflow Tuition Tax Credit Law (also known as the Switcher Tax Credit). After contributing the maximum amount allowed under the Original Tax Credit, all additional contribution amounts are then applied to the Overflow Tax Credit.

The state tax credit maximums change each year according to the percentage increase in the Phoenix Metropolitan Consumer Price Index. After making the donation, taxpayers can claim it on their Arizona tax form to receive a dollar-for-dollar tax credit against their state income tax liability. If the taxpayer has actual Arizona state income tax liability less than the allowable maximum credit, then the lax allows a carryover of any unused donation for up to five years. A taxpayer may also be able to claim a federal deduction for the donation. The taxpayer should consult with their tax adviser for specific tax advice.

Donor scholarship recommendations are allowed and considered for the tax credits. A donation may not be made for ones own dependent.

The 2017 Arizona state tax credit deadline for contributions is April 17, 2018, so you can calculate your state tax liability and determine the maximum amount of credit that you should take.  The 2017 Federal tax deduction deadline was December 31, 2017. If the contribution is made January 1 through April 17, 2018, then the transaction can be considered a 2017 or a 2018 Arizona tax credit, but must be considered as a 2018 Federal deduction.

Arizona Department of Revenue

Donate Online

Donation options

2018 Donation Limits

Married Tax Credit $2,213

Single Tax Credit $1,107

Donate by Check

See form below

Out of State Donations

We understand that many families have moved from another state, leaving behind a support system of family and friends. Since YES Fund for Kids is a charitable 501c(3) organization, out of state donors may be eligible to claim a charitable tax deduction (not a full tax credit) on their Federal and/or state tax returns. In this situation, there are no minimum or maximum contribution amounts.

Contribute through Payroll Tax Withholding

Arizona allows individuals to redirect a portion pr all of their payroll tax withholding amount in order to make a contribution to a School Tuition Organization. This is great news for taxpayers. Now you can "take the credit" to support school choi8ce without having to adjust you budget. 

Payroll withholding

Tax Credit Loans

AEA Federal Credit Union provides loans to individuals who desire participating in the tax credit program. This allows donorw to participate in the Tax credit program without burdening their budget. 

  • Loan program available October to December 31. 
  • 0% interest A.P.R.
  • Loan payback deadline May 31 

AEA Federal Credit Union