How does it Work?

·Write a $400 personal check to The Gospel Rescue Mission.
On the memo line please write 'Arizona Welfare Tax Credit.' $200 is single.

·Itemize your deductions on Federal Schedule A, including this donation

·Your "add back" is done on your Arizona state Schedule A
(Arizona will not let you take this as both a deduction and a credit)

·Complete Arizona tax forms 321 and 301

·On page one of Arizona Form 140, you will take a dollar-for-dollar credit

·The state of Arizona will reduce the amount you owe by $400!

Since your $400 is Federally deductible and the State of Arizona is reimbursing you 100%, you can save up to $112 (based on the 28% tax bracket) on your Federal taxes, which equates to a 28% return on your investment!

Special Note: The Working Poor Tax Credit is in addition to the public school tax credit and the private school tax credit. In order to qualify you must have itemized deductions on your Federal return at least once since 1996, and you must have at least $400 in personal Arizona state income tax liability in 2010. Consult your tax advisor for more details and to see if you qualify.