The Arizona Republic adds some detail regarding the state's Tuition Tax Credit program the US Supreme Court has now agreed to review.
Arizona's private-school tuition tax-credit program gives donors a dollar-for-dollar reduction in state income taxes for annual contributions of up to $1,000. Non-profit organizations called school-tuition organizations collect the money and distribute it in the form of scholarships. Many school-tuition organizations are closely linked to a certain religion and give the majority of scholarships to schools tied to that faith or denomination.
An analysis of 2008 scholarships by The Arizona Republic found that religious schools received 93 percent of the $54 million collected by school-tuition organizations that year. In 2009, at least 91.5 percent of $52 million collected went to religious schools.
A dollar-for-dollar tax credit means the state is basically paying the money in question, redirected by the "donor." It sure seems reasonable to at least ask how a whopping 90+% of that money ended up in religious schools. Stay tuned.
