Enter the total amount of contributions that you made during 2005 that are allowable as an itemized deduction for 2005.

NOTE: You may claim this credit on your 2005 return even if you do not itemize deductions on your 2005 return. However, the contributions that you made during 2005 must be allowable as an itemized deduction and your total contributions must exceed your contributions made during your baseline year.

Enter your baseline year.

If you itemized deductions and deducted charitable contributions in 1996, 1996 is your baseline year.

If you did not itemize deductions and deduct charitable contributions in 1996, then your baseline year is the first taxable year after 1996 that you itemized deductions and deducted charitable contributions. Your baseline year cannot be a year prior to 1996.

NOTE: You must establish your baseline year in a year prior to the year in which you claim the credit. For example, if 2005 is the first year that you itemize and deduct charitable contributions on your Arizona return, you will not be able to take this credit on your 2005 return. You can take this credit in a future year if your qualifying donations in that future year exceed your charitable contributions deducted on your 2005 return.

You must establish a new baseline year if your filing status changes due to any of the following:

• divorce
• marriage
• remarriage
• death of a spouse
• change in residency

A federal or state audit may also change your baseline year. Your baseline year could change if your deductions are changed from itemized to standard, or from standard to itemized.

Enter the total amount of charitable contributions you deducted as an itemized deduction on your Arizona return filed for the baseline year.

Your baseline amount is the total dollar amount of charitable contributions deducted on Schedule A. This amount includes the total contributions deducted pursuant to Section 170 of the Internal Revenue Code including cash amounts, property, or mileage amounts. For example, if a taxpayer deducted a total of $500 in charitable contributions in 1996, $500 is that taxpayer's baseline amount.

A federal or state audit may also change the amount of your total charitable contributions deducted as an itemized deduction on your Arizona return filed for the baseline year. If these amounts change, you must amend your credit to reflect the new baseline amount.

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