Help fund a deserving child’s tuition with a dollar for dollar tax deductible contribution.
School Tuition Organizations (STO)
An STO is a non-profit organization that accepts tax credit donations and distributes them as tuition scholarships. Arizona is leading the nation in school choice, and the scholarship tax credit program is one key way that our state is making it possible for thousands of students to attend the schools that their parents believe best meet the needs of their child.
This program allows Arizona taxpayers (individuals and corporations) to contribute a portion of their Arizona state tax liability to an STO and take a dollar for dollar tax credit on their Arizona state income tax return, while recommending those dollars go to a specific student or school.
EACH PARENT/FAMILY SEEKING DONATIONS AND/OR SCHOLARSHIPS FOR THEIR CHILDREN SHOULD ALSO BE A DONOR.
INDIVIDUAL-ORIGINAL TAX CREDIT
Any student attending a qualified private school is eligible to apply for an Original Tax Credit Scholarship. In order to be considered, the student must be enrolled at the school and have a completed scholarship application. Any student who is attending Dream City Christian School may apply for an original scholarship.
INDIVIDUAL-OVERFLOW (PLUS Or SWITCHER) TAX CREDIT
Students must meet ONE of the following to be eligible for this scholarship:
Switchers: A student who attended an AZ public/charter school for at least 90 days of the previous school year, and then transferred to Dream City Christian School
Kindergarteners: Any kindergarten student entering a private school
Military: Students who are the dependents of a member of the U.S. Armed Forces who is stationed in Arizona pursuant to military orders
Corporate/Overflow: A student who has previously received a scholarship from the corporate tax credit or overflow tax credit program and has continued in a qualified private school ever since.
CORPORATE TAX CREDIT
Students are eligible if:
Your child is starting kindergarten at Dream City Christian School or attended a public or charter school as a full-time student for at least 90 days or one full semester of the prior year and is transferring to DCCS;
or your child is a dependent of a member of the U.S. Armed Forces who is stationed in Arizona pursuant to military orders;
or your child previously received an individual tax credit or corporate scholarship while continually being enrolled at a private school and your family’s income does not exceed 185% of the income limit required to qualify for reduced price lunches under the National School Lunch and Child Nutrition Acts;
AND the student’s family income meets the family income requirements. See table below:
Lexie’s Law (DISABLED/DISPLACED) TAX CREDIT
Disabled-scholarships for students who have received an IEP or 504 plan issued by an Arizona public school.
Displaced-scholarships for students who were placed at one time in the Arizona foster care system.
TAX CREDIT DONATION
Through the Arizona tuition tax credit program, if you pay any state income tax, you can get a dollar for dollar tax credit by sending your tax obligation to ACSTO. Arizona Private School Tuition Tax Credit law allows Arizona taxpayers to donate up to a maximum of $2609 (couples filing jointly) or $1307 (single taxpayer).
This tuition tax organization will then in turn provide a direct tuition scholarship to a student at Dream City Christian School. It costs nothing extra beyond your usual obligations, since it is money you’d have to pay to the state anyway! You can donate through April 15th, 2024 and claim it on your state 2023 taxes. Any student enrolled in a private school in grades K-12 qualifies for this scholarship.
Empowerment Scholarship Account (ESA)
Did you know you can use state funds to help pay for your child’s education?
All K-12 students in Arizona are eligible to receive a Universal ESA, giving parents more educational options for their students. It consists of 90% of the state funding that would have otherwise been allocated to the school district the student is assigned to attend based on their address.
These funds can be used to pay private school tuition, home education and curriculum, tutoring, and more.
Note: Students cannot receive tax credits and ESA funds at the same time.
Questions? Contact ESA directly at email@example.com or call (602) 364-1969 ESA Call Center open Monday-Friday 8:00am – 8:00pm; Saturday 8:00am – 12:00pm