Coyote TaskForce and the Arizona State Charitable Organization Tax Credit
Frequently Asked Questions
What is the charitable organization tax credit?
The State of Arizona’s tax credit program benefits organizations such as Coyote TaskForce that serve the Working Poor or chronically ill/disabled. Arizona residents who donate to Coyote TaskForce can claim a personal tax credit for the amount of their contribution in 2023 (up to $421 for individuals and $841 for couples filing jointly). This is not just a tax deduction–it is a tax credit that reduces the amount you owe dollar for dollar!
What is the difference between a tax credit and a tax deduction?
A tax credit is more beneficial to you on your taxes than a deduction. A tax credit reduces the amount you owe, dollar for dollar. A tax deduction reduces the amount of income on which you are taxed. A tax deduction affects how much you owe to the state but it is not a dollar for dollar reduction. The Charitable Organization Tax Credit allows you the possibility to donate to Coyote TaskForce at no cost to you!
Can I apply the Charitable Tax Credit on my taxes if I take the School Tax Credit?
Yes! The School Tax Credit donation is a separate credit, so you may receive the full tax credit for both contributions.
How do I know that Coyote TaskForce is a Qualifying Charitable Organization?
Coyote TaskForce can be found among the approved charities’ names listed on the Arizona Department of Revenue’s website. CTF’s Qualifying Charitable Organization (QCO) Code is 20823, and is listed on the AZDR’s list of Qualifying Charitable Organizations for 2023 here.
Does the tax credit also apply to my federal income tax returns?
No. The Charitable Tax Credit applies only to your Arizona State income tax. However, you may be able to claim a federal tax deduction for the amount donated.
When can I make the donation?
You can donate to CTF at any time to qualify for the tax credit. Contributions made on or before April 15 can be applied to the current or preceding taxable year.
Do I need to itemize my taxes to claim my credit?
No. As of 2013, you DO NOT need to itemize your taxes to qualify for the tax credit. Just report the amount you donated to CTF on Form 321. CTF will send you a letter confirming your donation, or if you donated online, you will receive an email acknowledgment. This letter or email serves as documentation of your contribution.
