Arizona state income tax rates are 2.59%, 3.34%, 4.17% and 4.50%. Arizona state income tax brackets and income tax rates depend on taxable income, tax-filing status and residency status.
Generally, you have to file an Arizona state income tax return if you’re a resident, part-year resident or nonresident and you have gross income above these amounts:
Arizona gross income equals your federal gross income minus interest from government bonds, Social Security retirement benefits, Railroad Retirement Act benefits, active duty military pay and pay for service in the National Guard.
There are three types of residency statuses when it comes to Arizona state income tax. They determine what portion of your income the state will tax.
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In general, you’re a resident of Arizona for tax purposes if your primary, permanent home is there or you spent more than nine months there during the tax year. Arizona residents file Form 140, 140A or 140EZ.
for how Arizona determines residency status.
Generally, you’re a part-year resident of Arizona if you were a nonresident for some of the tax year. This is often the case for people who moved to Arizona from another state.
If you’re a part-year resident, you typically pay Arizona state tax on all income you received during the part of the tax year you were a resident of Arizona, plus state income tax on income just from Arizona sources while you were a nonresident. Part-year residents file Form 140-PY.
» Need to file in multiple states?
Nonresidents still may have to pay Arizona state tax on income they receive from Arizona sources. This means you may need to file an Arizona state income tax return even if you live in another state but made money from Arizona-related things such as:
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