Authoritative Content Ecosystem
Data Source and Methodology
Authoritative source: Arizona Department of Revenue (AZDOR) — Individual Income Tax. See: “Arizona Individual Income Tax – Rates and Information,” current guidance and Form 140 Instructions (latest year). Direct link: https://azdor.gov/ and withholding/tax info: AZDOR Withholding Calculations. The Arizona flat rate of 2.5% applies to Arizona taxable income beginning with tax year 2023 and remains in effect as of the last update.
Tutti i calcoli si basano rigorosamente sulle formule e sui dati forniti da questa fonte.
Standard deduction suggestions in this tool follow the federal standard deduction amounts for the selected tax year and filing status; Arizona generally conforms to these amounts and allows an increased standard deduction equal to 25% of charitable contributions for standard-deduction filers. Always verify the latest limits and instructions with AZDOR.
The Formula Explained
Let GI be annual gross income, Adj be pre-tax adjustments, Ded be your deduction (standard, itemized, or none), IncSD be the Arizona increased standard deduction (25% of charitable contributions for standard-deduction filers). Arizona’s flat rate is r = 0.025.
LaTeX:
\( \text{Taxable Income} = \max\big(0,\; GI - Adj - Ded - IncSD \big) \) \( \text{AZ Tax} = \text{Taxable Income} \times r \) \( \text{Effective AZ Tax Rate} = \begin{cases} \frac{\text{AZ Tax}}{GI} & \text{if } GI > 0 \\ 0 & \text{if } GI = 0 \end{cases} \) \( \text{Per‑Paycheck AZ Tax} = \frac{\text{AZ Tax}}{N} \quad \text{where } N \in \{12,24,26,52\} \)
Glossary of Variables
- GI (Annual gross income): Total earned income before any deductions or withholdings.
- Adj (Pre-tax adjustments): Estimated above-the-line reductions (e.g., traditional 401(k), HSA/FSA).
- Ded (Deduction): Either the standard deduction (suggested by filing status and year), your itemized amount, or none.
- IncSD (Increased standard deduction): 25% of charitable contributions, available only if you claim the standard deduction (subject to AZ rules).
- AZ Tax: State income tax computed at the flat rate of 2.5%.
- Effective AZ tax rate: AZ Tax divided by GI.
- Per‑paycheck AZ tax: AZ Tax divided by number of pay periods selected.
Come Funziona: Un Esempio Passo‑Passo
Suppose GI = $75,000, filing status Single, tax year 2024, Adj = $5,000 (401(k)), Standard Deduction = $14,600, and you donated $1,200 to charity (IncSD = 25% × $1,200 = $300). Then:
\( \text{Taxable Income} = \max(0,\; 75{,}000 - 5{,}000 - 14{,}600 - 300) = 55{,}100 \) \( \text{AZ Tax} = 55{,}100 \times 0.025 = 1{,}377.50 \) \( \text{Effective Rate} = \frac{1{,}377.50}{75{,}000} \approx 1.84\% \)
If paid biweekly (26 periods), per‑paycheck AZ tax ≈ $1,377.50 / 26 ≈ $52.98.
Frequently Asked Questions (FAQ)
What is Arizona’s state income tax rate?
Arizona uses a flat 2.5% rate on Arizona taxable income (effective starting 2023 and current as of the latest AZDOR guidance).
Does Arizona still use brackets?
No. Arizona now applies a single flat rate to taxable income.
How does the standard deduction work in Arizona?
Arizona generally conforms to federal standard deduction amounts and also allows an optional increased standard deduction equal to 25% of charitable contributions when you claim the standard deduction. Review the latest AZDOR Form 140 instructions for eligibility and documentation.
Are credits like the Arizona Dependent Tax Credit included?
This calculator focuses on taxable income and the 2.5% rate. Some credits are not calculated here and can reduce your final tax. Consult AZDOR or a tax professional.
Will this match my paycheck exactly?
This is an educational estimate. Actual withholding can differ based on employer settings, AZ withholding elections, and additional income/adjustments.
Is my data stored?
No. All calculations run locally in your browser.
How do I improve accuracy?
Use precise figures for income, adjustments, and deductions, and review the latest AZDOR guidance for your filing year.
Authorship and Review
Tool developed by Ugo Candido. Content verified by CalcDomain Tax Research Team.
Last reviewed for accuracy on: .