Successes
Since it began in 1998, ACSTO has awarded scholarships to more than 14,000 students attending 150 Arizona Christian schools. Over 40,000 visionary Arizona taxpayers have made this possible by donating to ACSTO, and taking advantage of Arizona's unique opportunity to receive a dollar-for-dollar credit against their Arizona state income tax.

Whether you are a parent looking for ways to afford Christian education for your child, or an Arizona taxpayer looking for new ways to support Christian education, you are invited to check out our program.

Purpose
The Arizona Christian School Tuition Organization, Inc (ACSTO) was incorporated in 1998 for the sole purpose of implementing the private school tuition tax credit law passed and signed into law in 1997 as A. R. S. Section 43-1089.



ACSTO is a tax exempt organization pursuant to federal tax law, Section 501(c)(3).

The constitutionality of the tax credit law has been upheld by the Arizona Supreme Court. The U.S. Supreme Court determined not to review the favorable Arizona Supreme Court decision. The law is effective for donations made during calendar year 1998 and for each year thereafter.

Leadership
ACSTO was organized by David J. Harowitz and Steven B. Yarbrough (pictured).  Richard Bellah serves as an advisor to the organization.  Each is an attorney in Maricopa County with a significant history of leadership in their local church and various Christian organizations.  Richard has a general practice in Glendale.  David is general counsel and emphasizes estate planning and charitable organizations law in Tempe.  Steve serves as executive director and is in his third term as a member of the Arizona House of Representatives.

The Goal of the leadership of ACSTO is to further Christian education by effectively implementing the provisions of this law for the benefit of Christian school students and their families.

Benefits
The Arizona Private School Tuition Tax Credit Law, A. R. S. Section 43-1089, allows a  married couple filing jointly to make a donation to the ACSTO up to $1000 in the current year and receive a dollar-for-dollar tax credit against the taxpayer's Arizona state income tax.  A single taxpayer is limited to $500.  If the taxpayer has actual Arizona state income tax less than the maximum allowable, the available credit in a given year is limited to the actual tax.  The law allows a carry forward for up to five years if a donation is made in excess of the actual state income tax due.  Arizona State income tax forms 301 and 323 are used for claiming the credit.

The public school extracurricular activities tax credit of $400 for married couples filing jointly may be taken in addition to the private school tuition tax credit.  These donations should be made directly to the public (including charter) school of your choice.

A taxpayer may also be able to claim a federal deduction for the donation. The taxpayer should consult their tax advisor for specific tax advice.