AZ SB1142

Arizona elects to participate in the federal tax credit program under Internal Revenue Code Section 25F for individuals who contribute to scholarship granting organizations

The Department of Revenue must comply with all federal laws and regulations to ensure Arizona's eligibility to participate in taxable years beginning after December 31, 2026

Nonprofit organizations exempt under IRC Section 501(c)(3) may apply to the Department for certification as scholarship granting organizations if they meet federal requirements

The Department must annually submit a list of certified scholarship granting organizations to the U.S. Secretary of the Treasury and post the list on its website by January 1 each year

Certified scholarship granting organizations may provide scholarships to eligible students for qualified elementary or secondary education expenses as allowed under federal law, effective after December 31, 2026