Tax Credit
Arizona residents have the opportunity to allocate a portion of their state tax liability to UCP of Central Arizona and take a dollar-for-dollar credit when filing their state tax return. The dollars add up quickly and make it possible for us to offer our services and programs to even more families in need. More information can be found on the Arizona Department of Revenue tax credit page.
FAQ
How does it work?
Make your contribution online or mail directly indicating you are participating in the Arizona Charitable Tax Credit.
We will send you a receipt to give to your accountant. If using Turbo Tax, just fill in the amount you contributed on the line where it asks if you participated in any of Arizona’s tax credit programs. In addition you may be directed to fill in AZ Tax Form 321.
You do not need to itemize deductions in order to participate. Please check with your tax advisor to see if the Arizona Charitable Tax Credit will benefit you.
How is this different than making a donation?
Unlike a donation which can only be taken as a deduction, a contribution made to UCP through the Arizona Charitable Tax Credit program may reduce the amount of your state tax liability by the exact amount you contribute under certain circumstances. Please check with your tax advisor to see if the Arizona Charitable Tax Credit will benefit you.
For example:
Owe the state $1,000
Direct $470 to UCP through the Charitable Tax Credit Program Now owe the state $530
How do I claim the credit?
The tax credit is available only to individuals who pay state taxes in Arizona. Simply make a monetary donation (no greater than $470 for an individual and $938 for a married couple filing jointly) to UCP of Central Arizona by April 15, 2025. UCP will send an acknowledgement of your gift. Then report the amount donated on Form 321 when filing your state taxes. Please check with your tax advisor to see if the Arizona Charitable Tax Credit will benefit you.
Example for married couple filing jointly:
Owe the state a total of $1,000 in taxes for the calendar year
Make an $938 monetary gift to UCP of Central Arizona
State tax owed for the year is now reduced to $62
Do I need to itemize my deductions in order to take advantage of the Charitable Tax Credit?
Since 2013 there is no need to itemize your deductions to take the crediton your state income tax return. Please check with your tax advisor to see if the Arizona Charitable Tax Credit will benefit you.
For example:
Owe the state $1,000
Direct $470 to UCP through the Charitable Tax Credit Program
Now owe the state $530.
When do I make my contribution?
You can make a 2024 contribution prior to filing your taxes (no later than April 15, 2025) and still take the credit on your 2024 tax return. Please check with your tax advisor to see if the Arizona Charitable Tax Credit will benefit you.
How much can I contribute each year?
You can reach the maximum allowable amounts by a single gift or multiple gifts throughout the year. Any gift below the maximum can still be used as a tax credit. The maximum allowable amounts are $938 per couple filing jointly or $470 per individual or head of household. Or you may contribute at an amount that is comfortable for your family. Please check with your tax advisor to see if the Arizona Charitable Tax Credit will benefit you.
When is the deadline to give?
The final deadline to take the tax credit on your 2024 taxes is April 15, 2025. You must make the gift prior to filing your taxes. Please check with your tax advisor to see if the Arizona Charitable Tax Credit will benefit you.
I currently contribute to Public Education Tax Credit, can I still contribute to the Charitable Tax Credit?
Yes. Each tax credit is independent. You can participate in both each year. Please check with your tax advisor to see if the Arizona Charitable Tax Credit will benefit you.
Maximum Allowable Amounts for Tax Credit
As an established policy of UCP of Central Arizona, our organization adheres to the National Donor Bill of Rights.
