Q: What is the Arizona Working Poor Tax Credit?
A: The Arizona Working Poor Tax Credit is a dollar-for-dollar charitable contribution you can give to 501(c)(3) corporations (nonprofits). With Arizona's Working Poor Tax Credit you can receive a dollar-for-dollar tax credit, up to $200 for individuals and up to $400 for married couples filing jointly, on your state income taxes while helping homeless become employed.
Q: How do I qualify for Charitable Tax Credits?
A: If you make a cash contribution to St. Joseph the Worker and you itemize deductions on your Arizona state tax return, you may qualify for the tax credit.
Q: Can I take the Working Poor Tax Credit if I take the School Tax Credit?
A: Yes, they are separate credits and you are allowed to take advantage of both.
Q: What is the difference between a tax credit and a tax deduction?
A: A tax credit is significantly more beneficial than a tax deduction. A tax credit reduces your taxes, dollar-for-dollar. A tax deduction reduces the taxable income upon which your tax liability is calculated.
Q: Is St. Joseph the Worker a "qualifying charitable organization"?
A: St. Joseph the Worker is a tax exempt (501)(c)(3) organization that allocates at least 50 percent of its budget to services that help the working poor with their immediate basic needs. Services provided by our program qualifies St. Joseph the Worker as a “qualifying charitable organization”.
Q: Can I make contributions to more than one qualifying charitable organization?
A: Yes, but the total Arizona Assistance to the Arizona Working Poor Tax Credit allowed is still $200 per individual or $400 for married couples filing jointly, regardless of the number of organizations you support.
Q: Where can I get more information about the tax credit?
A: You can get more information by visiting the Arizona Department of Revenue website or by calling Taxpayer Assistance at 602.255.3381 or 800.352.4090.