The Arizona School Tuition Organization (STO) tax credit program presents a unique opportunity for taxpayers across the state of Arizona to make a meaningful impact on children’s education. Individuals and corporations can redirect their state tax dollars to provide scholarships for students attending Catholic schools, all while receiving a dollar-for-dollar state tax credit in return.
How the STO Tax Credit Works
Arizona law allows taxpayers to redirect a portion of their state tax liability to qualifying organizations such as Catholic Education Arizona. Instead of directly to the state, contributors can support scholarships for underserved children, giving them the choice of the education that best meets their needs.
When taxpayers choose to direct their funds to CEA, they receive a tax credit that reduces their state tax liability by the amount of their contribution.
Who Can Contribute?
Both individuals and corporations are eligible to participate in the ArizonaPrivate Education tax credit program. For individual taxpayers, there are two main types of tax credits available:
Original Tax Credit: Arizona taxpayers can contribute up to the maximum limit set by the state each year, allowing them to directly support scholarships.
Overflow/Switcher Tax Credit: This option allows individuals to contribute beyond the original tax credit limit, providing additional support for students in need.
The Benefits of Participating
Engaging in the Arizona tax credit program offers numerous benefits:
-Support for Education: Your contribution directly supports children who may not otherwise have access to quality education. By directing your tax dollars, you help provide scholarships that change lives.
-Tax Liability Reduction: The STO tax credit is a dollar-for-dollar credit against your state tax liability, making it a financially savvy choice for taxpayers. This means your contribution has a dual benefit—supporting education while paying your tax bill.
-Choose Your Impact: Contributors have the option to recommend that their contributions go to specific Catholic schools, allowing you to support the institutions that align with your values.
How to Get Involved
Ready to make a difference? Directing your tax dollars is simple. Visit our website to learn more about how your contributions can provide scholarships for deserving students.
With 45% of Catholic schools in the U.S. participating in Federal Nutrition Programs, according to the United States Conference of Catholic Bishops, your support can significantly impact families in need who aspire for their children to succeed.
When tax season arrives, you can claim a credit for the amount you contributed, making the process not only impactful but also beneficial for your financial situation.
Get in touch with our team at Catholic Education Arizona today to learn more about how you can make a difference in your community. Your support can pave the way for a brighter future for countless students.
