Tax Credit Donation
Investing in Children Doesn't Cost You a Dime
When you donate to Sunshine Acres Children’s Home, you are not only changing the lives of children in need—you may also reduce your Arizona state income tax liability.
Sunshine Acres is a certified Qualifying Charitable Organization (QCO) with the Arizona Department of Revenue.
Our QCO Code is: 20349.
How the Arizona Tax Credit Works
The Arizona Charitable Tax Credit program allows you to make a donation to a QCO and receive a dollar-for-dollar credit against your state income taxes.
This means your donation either increases your refund or decreases the taxes you owe—it costs you nothing out of pocket in the end.
You do not need to itemize deductions to claim this credit.
To claim the credit, file Arizona Form 321 with your state income tax return.
Donation Deadline
Donations must be made by April 15 of the following year to qualify.
For example, a gift made by April 15, 2026 may be applied to your 2025 tax return.
Forms to File
AZ Form 321 & Instructions (QCO) https://azdor.gov/forms/tax-credits-forms/credit-contributions-qualifying-charitable-organizations
Maximum Credit for Any Tax Year.
Single or head of household: $495 (Qualifying Charitable Organization)
Married filing jointly: $987 (Qualifying Charitable Organization)
Donate
A: When you receive your W-2 and complete your tax return, one of three things will happen.
- You end up having no tax liability,
- You overpaid during the year and are receiving a refund, or
- You owe additional state taxes because not enough withholdings occurred during the year from your paychecks.
If you fall into #2 or #3, wou will pay Arizona state income taxes. Taking advantage of the tax credit allows you either to increase the amount of refund you receive from the state or decrease what you owe to the state. It also allows a say in where your tax payment actually goes.
A: Of course, Sunshine Acres Children’s Home will accept donations in any amount. New legislation in 2016 now means the most you can give that will qualify for the tax credit is:
- $495 – Single Filer/Head of Household/Married Filing Separately
- $987 – Married Filing Jointly
A: Anyone can invest in our Miracle in the Desert. Anyone who pays Arizona state taxes, whether you itemize or not, single or married, can qualify for the tax credit.
A: You must give before tax filing deadline for the tax credit to apply to the current tax year.
A: No! We do not receive government support for the children and though we are donor-funded, we do not conduct fundraising/solicitation for ourselves. As a 501(c)3 nonprofit organization, every contribution is valuable and necessary for our continued success. Our success depends entirely on generous individual, foundation and corporate donors and still today, we do not turn children away for financial reasons.
A: Yes. Tax deductions are expenses, including charitable donations, that reduce your total taxable income and therefore the amount of tax you pay. A tax credit is different: A tax credit allows you to redirect 100 percent of the amount designated (up to $400 for taxpayers filing jointly and $200 for individual taxpayers), dollar-for-dollar, to the areas you choose.
Additionally, if you itemize your taxes on your U.S. federal tax return, you may be able to claim your donation as a federal tax deduction, thus lowering the amount of federal tax you’ll pay to the IRS.*
We encourage you to check with your professional tax advisor for advice on your personal tax situation and to learn how charitable giving to Sunshine Acres may specifically benefit you.
For more detailed information regarding the Tax Credit program, please call the Arizona Department of Revenue at 602.255.3381 or 800.352.4090 or visit www.azdor.gov.
“Due to the nature of our charitable work, donations made to Sunshine Acres Children’s Home are generally non-refundable. However, in exceptional circumstances, such as a processing error, we may consider a refund upon review of your request. To inquire about a potential refund, please contact us at accounting@sunshineacres.org .”
