SB 1027 Summary

• Amends Arizona's charitable contribution tax credit under A.R.S. § 43-1088 to provide separate, equal credit limits for contributions to regular qualifying charitable organizations and qualifying foster care charitable organizations.

• Increases the individual income tax credit limits for foster care organizations from $400/$800 (single/joint) to $500/$1,000 (single/joint), while maintaining the $400/$800 limits for other qualifying charities.

• Expands the definition of eligible beneficiaries from "children who have a chronic illness or physical disability" to "individuals who have a chronic illness or physical disability" to include adults with severe physical conditions requiring ongoing medical or surgical intervention.

• Clarifies that taxpayers may claim both credits in the same taxable year by contributing to both types of organizations, with separate credit caps for each category.

• Applies retroactively to all taxable years beginning after December 31, 2018.