A person may donate prior to filing taxes but no later than April 15 of the year following the tax year for which the donor wishes to take the tax credit. (Donations must be postmarked or entered online before midnight, April 15, per tax credit law.)
For donations made between January 1 and April 15, it is up to the donor to determine whether to claim the tax credit for the previous or current year. Donations made between April 16 and December 31 must be claimed in the tax year of the donation.
By Check: Fill out a donor card and mail it to us with your check.
By Credit Card: (1) you may
Donate Online; (2) by phone; or (3) by filling out a donor card with your credit card information and mailing or faxing it to us.
3. How much can I donate?
For 2010 and 2011, the maximum amount you can receive a tax credit for is $1000 for a couple filing jointly and $500 for a single filer.
Starting in 2011, the maximum tax credit amount will increase each year by the percentage that the Metropolitan Phoenix Consumer Price Index has increased for the preceding year.
We will publish the new tax credit amount on our website each year as soon as the information is published by the ADOR.
4. Will I receive a receipt for my donation?
Starting in 2011, we will send receipts out weekly, except for donations made in December. We will send a comprehensive receipt statement for this calendar year by January 31 of the following year. If you need a receipt immediately, please contact ACSTO.
5. Do we get the entire donation as a state income tax credit if we file a joint return?
Yes, if your state income tax liability was that much or more, and your donation is within the tax credit limit, you can use it for that year’s taxes. Any excess can be carried forward and used to offset state income taxes for up to five years.
6. How much of my donation goes for grant/scholarships and how much to ACSTO for administration?
The law requires that 90% go for grant/scholarships. However, ACSTO awards 92% of all donations identifying a school or recommending a student at a particular school. The ACSTO selection committees retain complete discretion regarding all awards.
7. May we make the $400 public school extracurricular activities donation in addition to our donation to ACSTO and claim them both as tax credits?
Yes, but public school donations are made directly to the public school, not to ACSTO. These donations are due by December 31.
9. Is our donation also eligible for a federal income tax deduction?
We are a federally tax exempt 501(c)(3) charitable organization. For federal tax purposes, the deduction must be claimed for the tax year in which the donation was made; the new April 15 deadline does not apply. You should consult your tax adviser for specific tax advice concerning deductibility for you.
10. May we recommend our grandchild for a grant/scholarship?
Yes, you may recommend anyone who is not your child or your dependant. The selection committees retain complete discretion regarding all awards.
11. May we make an agreement to recommend someone else’s child in exchange for their recommending our child (“swapping”)?
No, the law states, “A taxpayer may not claim a tax credit if the taxpayer agrees to swap donations with another taxpayer to benefit either taxpayer’s own dependent.” ACSTO has always discouraged this practice; now the law specifically states the prohibition.
12. May we identify a particular Christian school?
Yes, donations identifying a school will be awarded among applicants from that school. The selection committees make those decisions.
13. May a student receive funds from more than one student tuition organization?
Yes, nothing would prevent that. However, the school may not keep more than the tuition cost of educating your child for the current school year. Any award in excess of tuition would be considered a multi-year scholarship.
14. Are grant/scholarship awards made to individual students or to families?
Awards are only given to individual students and cannot be applied to families. These awards are non-transferable. An award cannot be transferred to a different child, even within the same family.
15. If I want to apply for a tuition grant/scholarship for my child, what is the process?
Complete our application and provide the information requested. Call or visit our website if you need an application. The Financial Information Form and parent narrative are required. Letters of recommendation are optional.
Please Note: If your child is not currently attending the school named on his/her application, or has not begun the enrollment process, ACSTO cannot make an award.
16. (NEW! Date Changes Below!) What are the ACSTO deadlines for donations and applications, and what distributions do the applications cover?
We have 3 Grant/Scholarship distributions.
Summer: Applications are due May 31, and awards are made in late June. These applications are also considered during the following fall and spring distributions.
Fall: Applications are due by September 30, and awards are made in late October. These applications are also considered during the following spring distribution.
Spring: Applications are due by February 28, and awards are made in late March.
All applications expire every year on March 31, regardless of when they are received.
Donation Due Dates: Please be advised that we have removed donation due dates because we always process as many donations as possible for each award cycle.
17. I want to apply for a grant/scholarship for my student; do you require financial information?
Yes, applicants are required to submit a Financial Information Form, and a formula will be applied to assist the selection committees in evaluating the applicant’s financial circumstances. The financial information is never disclosed to anyone but our staff.
18. What factors are considered in making the grant/scholarship awards?
There are three: (1) the narrative provided by the parents; (2) the financial circumstances of the student’s family; (3) recommendations concerning the student.
19. If my child has been recommended for a grant/scholarship,
do I still need to send in an application along with the Financial Information Form and narrative?
Yes, there must be a fully completed application for a student to be eligible for an award. The selection committees exercise complete discretion regarding all awards. (See Question 15 for more information.)
20. Who serves on the selection committees?
The selection committees are made up of people involved in the private Christian school community. No school has more than one member on a committee.
21. If a student receives an award but then changes to another Christian school in Arizona, what happens?
The award is personal to the student for
tuition. The unused portion would be returned
to ACSTO and then would follow the student
to the new Christian school working with
ACSTO. If the student left Arizona or did not
go to another Christian school working with
ACSTO, the remaining money would be
returned to ACSTO and re-awarded among
students at the school
in the next award process.
22. Why should I donate to ACSTO rather than another school tuition organization?
ACSTO has been operating since 1998. We have helped more than 17,600 students and awarded more than $77 million in scholarships. We strive to be a leader in serving students in more than 140 schools throughout Arizona. We participate in defending the scholarship tax credit in litigation and are active through the STO association in legislative efforts.
23. What about the Corporate Scholarship Tax Credit Law?
This is a law that was passed in 2006 allowing corporations to make tax credit donations through a qualified STO. ACSTO is not pursuing these corporate donations. For further questions regarding this new opportunity, you may contact School Choice Arizona, Inc., which was formed for the sole purpose of implementing this new Corporate Scholarship Tax Credit Law. Their website is
www.schoolchoicearizona.org.
24. What if my child isn't in Christian School yet?
Click here and read Starting School next year...
25. How often do I need to apply to be eligible for a Scholarship?
Click Here to see ACSTO's Timeline and application times.
