Arizona Department of Revenue Reminds Taxpayers of April 18th Deadline for Charitable Donations Tax Credits

The Arizona Department of Revenue (ADOR) has issued a reminder to individuals that they have until April 18 to make donations to qualified charitable organizations and claim Arizona tax credits on their 2022 Arizona individual income tax return.

There are two separate tax credits available for taxpayers who contribute to qualified charitable organizations: one for donations to Qualifying Charitable Organizations (QCO) and another for donations to Qualifying Foster Care Charitable Organizations (QFCO). Each organization is assigned a five-digit code by the ADOR to be used on the relevant tax forms - Form 321 for QCOs and Form 352 for QFCOs.

The Department updates the list of qualified charities and their corresponding codes weekly. Taxpayers can only claim tax credits for donations made to qualified charities, so it is essential to ensure that tax software is up-to-date before filing. The list of certified charities for the current year can be found on the ADOR website at azdor.gov.

Arizona law permits QCO and QFCO donations made in 2022 or between January 1, 2023, and April 18, 2023, to be claimed on the 2022 Arizona income tax return. Donations made between January 1, 2023, and April 18, 2023, may be claimed on either the 2022 or 2023 tax return.

For tax year 2022, the maximum QCO credit is $800 for married filing joint taxpayers and $400 for single, heads of household, and married filing separate taxpayers. For tax year 2023, the maximum QCO credit increases to $841 for married filing joint filers and $421 for single, heads of household, and married filing separate filers.

Similarly, the maximum QFCO credit for tax year 2022 is $1,000 for married filing joint taxpayers and $500 for single, heads of household, and married filing separate taxpayers. For tax year 2023, the maximum QFCO credit rises to $1,051 for married filing joint filers and $526 for single, heads of household, and married filing separate filers.

Taxpayers are advised to use the correct forms and charity codes when claiming credits to avoid processing delays or rejections. For more information on charitable tax credits in Arizona, the required forms, and the list of qualified charities, visit https://azdor.gov/tax-credits/contributions-qcos-and-qfcos.