Arizona  Tax  Credit  Program

(2017)  

Best Student Fund

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At  No  Cost  to  You  -­‐‑  Redirect  Your  Arizona  State  Tax  Liability  to  Benefit  the  students  of  Noor  Academy  of  Arizona.    

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Introduction  The  state  of  Arizona   introduced  several   laws  starting  in   1998   that   enable   taxpayers   to   claim   a   credit   for  making   a   donation   to   a   School   Tuition  Organization  such  as  Best  Student  Fund  for  scholarships  to  private  schools.   Under   these   laws,   Arizona   residents   can  donate   their   entire   Arizona   State   Tax   liability   to   a  private  school  of  their  choice  and  the  State  will  refund  the  donated  amount  dollar  for  dollar.  

This  program  allows  you  to:  

Donate  thousands  of  dollars  to  Noor  Academy  ofArizona  at  no  cost  to  you,

Takes   advantage   of   the   AZ   state   tax   creditprogram,

Allows   Noor   Academy   of   Arizona   to   provide   ahigh  quality  Academic  &   Islamic   education  withan  affordable  tuition  for  Muslim  students.

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Benefits  

By   donating   your   state   taxes   to   Noor   Academy   of  Arizona  You  are:  

Contributing   to   the   shaping   of   the   future   of   theMuslim  American  generation,

Directing   your   state   taxes   where   our   Muslimcommunity  needs  it  most  –  Education,

Creating   a   continuous   charity   for   you   and   yourfamily  (Sadaqah  Jariyah),

Opening   a   window   of   opportunity   for   a   qualityacademic  &  Islamic  education,

Enabling   Noor   Academy   of   Arizona   to   providereduced  tuition  fees,

Develop   a   real   change   in   the   community   withabsolutely  zero  cost  to  you.

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How  Do  You  Donate  Your  Tax  Credits  and  Get  A  Refund?  

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Everyone who works in Arizona pays income tax. That income tax is comprised of two parts, State taxes and Federal taxes. Your State tax liability is the amount of taxes you owe to the state by the end of each Tax Year. This program applies to the state tax only.  

It is quite simple to donate your Arizona state taxes to Noor Academy of Arizona. The following steps briefly describe the steps you need to follow to complete and claim your tax credit donation.    

Estimate your tax liability for the current year  

In order to make an accurate tax credit donation it is important to correctly estimate your tax liability. The State will only refund your tax liability.  

In order to get an estimate you can:

Review the tax liability from the previous year. This isusually accurate if your income hasn't dramatically changed.

Alternatively, you can use http://www.tax-brackets.org/arizonataxtable to create an estimate.

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Decide  on  the  amount  you  want  to  donate  There  are  two  things  to  consider  when  deciding  the  amount  to  donate:  

1. Your  filing  status:  married  filing  jointly  OR  single.2. You  donation  limits:

Filing  Status   Limits  for  Program A  

$1092.00   $546.00  

Donation  Limits  for  2017  Limits  for  Program  

B*  $1085.00  $543.00  

Total  Programs  A+  B  

$2177.00  $1089.00  

*You  may  donate  towards  program  B  ONLY  if  you  donate  the  maximum  for  Program  A  for  thesame  taxable  year.  

Claim  your  donation  in  your  State  Tax  Return  

Claiming  your  donation  in  your  state  tax  return  is  simple.  Along  with  your  state  tax  income  form  (commonly  AZ  Form  A-­‐‑140), you will need the following:

1. Your  donation  receipt  that  you  will  receive  from  Best  Student  Fund.2. The  correct  Tax  Credit  Contribution  forms  (323,  348  and  301).

You  will  need  to  fill  out  Arizona  tax  form  323  and  possibly  Arizona  tax  forms  301  &  348  in  order  to  claim  your  credit.  (Arizona  tax  form  348  is  required  for  the  new  PLUS  "ʺSwitcher"ʺ  tax  credit.  Program  B).  The  state  splits  private  school  tax  credits  into  323  and  348  contributions.  Even  though  you  made  your  contribution  in  one  amount,  it  needs  to  be  split  across  the  two  tax  forms.  

Married Filing JointlySingle

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Example   1:   Your   state   tax   liability   for   2017   is   $3000   and   you   are   married   and   filing   jointly.   You   can   donate   a  maximum   amount   of   $2177   for   this   year.   This   amount   will   be   your   state   tax   refund.   You   need   to   complete   form   323,   384   and   301   in   addition   to   the   most   common   State  tax  form  A 140.  You  will  split  the  $2177  between   the   323   form   and   384   form   as   follow:   $1092   should   be   claimed   on   form   323   and   the   remainder     $1085   should   be  claimed  on  form  348.  

Example   2:   Your   state   tax   liability   for   2017   is   $1500   and   you   are   married   and   filing   jointly.   You   can  donate  a  maximum  of  $1500  (equal  to  your  tax  liability)  for   this   year.   This   amount   will   be   your   state   tax   refund.   You   need  to  complete  form  323,  384  and  301  in  addition   the   most   commonly   used   State   tax   form   A -140.   You   split   the  $1500   between  the   323   form   and  384  form.  Claim  $1092  on   Form   323   and   claim   the   rest   ($408)   in   Form  384.

Example  3:  You  donation  for  2017  is  $400  and  you  are  filing  single.   You  only   need   to   complete   AZ-­‐‑Form-­‐‑323  and  301  in  addition  the  most  commonly  used  State  tax  form  A-­‐‑140.  

Example 4:   You   state tax liability for 2017   is   $800   and   you   are   filing   single.   You   need   to   complete   AZ Form 323   for   the   first   $546   and   AZ Form 348   for   the   remaining  amount   ($254)   and   301   in   addition  to the   most   commonly  used  State  tax  form  A 140.  

Below  you  can  find  some  practical  State  tax  examples  that  will  further  illustrate  some  common  situations.    

IMPORTANT:  This  information  is  NOT  TAX  ADVICE.  This  information  is  provided  to  give  a  general  idea  of  the  tax  reporting  requirements.  Always  seek  advice  from  a  tax  professional  or  an  accountant  for  your  specific  tax  situation.  

How  Do  You  Pay  your  Tax  Credit  Contribution  to  The  Best  Student  Fund?  

You  can  make  your  payment  to  Best  Student  Fund  by  one  of  the  following  methods:  Donate  Online:  http://www.tempemasjid.com/taxcredit  Online  Credit  Card  donation  must  be  completed  by  midnight  on  April  15  2018.  

Donate  by  Check:  Write  a  CHECK  payable  to  BEST  STUDENT  FUND  Mail  the  donation  Form  &  Check  to:    Best  Student  Fund  P.O.  Box  6226    Chandler,  AZ  85246  Letter  must  be  postmarked  by  April  15,  2018.  

Donate  by  Fax  Fill  out  both  the  Credit  Card  Form  &  The  donation  Form  and  Fax  them  to    480i 829i 1501.  Credit  Card  donation  information  must  be  received  by  5pm  on  April  14,  2018.  

Helpful  Links  Forms to Claim Income Tax Credit https://www.azdor.gov/TaxCredits/SchoolTaxCreditsforIndividuals.aspx# private.  

A school tuition organization cannot award, restrict, or reserve scholarships solely on the basis of donor recommendation. A taxpayer may not claim a tax credit if the taxpayer agrees to swap donations with another taxpayer to benefit either taxpayerʼs own dependent.

Thank  You  The  students,  staff  and  parents  of  Noor  Academy  of  Arizona  would  like  to  thank  you  for  your  contribution.  You  are  helping  establish  the  next  generation  of  American  Muslims.  

Noor Academy of Arizona 1130 W. 23rd Street Tempe, Arizona 85282 (480) 829 – 1443 nooracademyaz@gmail.com

Best Student Fund P.O. Box 6226 Chandler, AZ 85246 (480)-392-9729 beststudentfund@yahoo.com