AZ HB2664

Establishes a new certification process for school tuition organizations (STOs) through the Department of Revenue to receive tax-credit eligible contributions.

Allows individual taxpayers a state income tax credit of up to $500 per year (single filers) or $1,000 per year (married couples filing jointly), with amounts adjusted annually for inflation, for voluntary cash contributions to certified STOs.

Requires STOs to allocate at least 90% of annual revenues to educational scholarships or tuition grants for students attending qualified private schools, and prohibits limiting scholarships to students of only one school.

Prohibits taxpayers from claiming the tax credit if they designate their contribution to benefit their own dependent, or if they swap contributions with other taxpayers to indirectly benefit their own dependents.

Mandates certified STOs submit annual fiscal year reports by September 30 detailing contributions received, scholarships awarded, school recipients, and financial audits (for organizations receiving $1 million or more) or reviews (for organizations receiving less).