Individual Income Tax Highlights

2017 HIGHLIGHTS

 

Form 1099-G available on Department’s website

One of the most common uses of Form 1099-G is to report state income tax refunds you received last year.

You may need to report some of the information it contains on your federal tax return. Beginning January 1, 2018, the Arizona Department of Revenue will no longer mail you a Form 1099-G. To get a copy of your 1099-G for tax year 2017, go to www.AZTaxes.gov.

 

Due date for calendar year filers

Because April 15, 2018, falls on a Sunday and District of Columbia Emancipation Day will be observed on Monday, April 16, 2018, you have until Tuesday, April 17, 2018, to file your income tax return.

 

2017 Individual Income Tax Brackets Adjusted for Inflation

For 2017, the Arizona individual income tax brackets were adjusted for inflation.

 

2017 Arizona Personal Exemption Amounts Adjusted for Inflation

For 2017, the Arizona personal exemption amounts were adjusted for inflation.

If your filing status is:Personal Exemption Amount is:
Single$2,150
Married filing joint a return and claiming no dependents$4,300
Head of household and you are not married$4,300
Head of household and you are a married person who qualifies to file as head of household$3,225, or
complete Form 202*
Married filing a separate return with neither spouse claiming any dependents$2,150, or
complete Form 202*
Married filing a separate return with one spouse claiming at least one dependent excluding persons listed who did not qualify as a dependent on your federal return$3,225, or
complete Form 202*

*Personal Exemption Allocation Election

 

2017 Arizona Standard Deduction Amount Adjusted for Inflation

For 2017, the Arizona standard deduction amounts were adjusted for inflation.

  • $5,183 for a single taxpayer or a married taxpayer filing a separate return
  • $10,336 for a head of household or a married couple filing a joint return

 

Subtraction for Arizona Bonus Depreciation

For assets placed in service in taxable years beginning from and after December 31, 2016, the allowable subtraction for Arizona’s bonus depreciation is the full amount (100%) of the amount of federal bonus depreciation pursuant to Internal Revenue Code § 168(k).

 

New voluntary contribution checkoff box for spaying and neutering of animals

Beginning 2017, a taxpayer who files Form 140, 140A, 140NR, or 140PY may designate an amount as a voluntary contribution to the Spaying and Neutering of Animals Fund. Donations made will be provided to qualifying entities who will help reduce the pet overpopulation by sterilizing, at minimal or no cost, dogs and cats in this state, including those that are impounded and sterilized.

 

Credit for Contributions to Private School Tuition Organizations (Arizona Form 323)

The allowable current year’s credit for contributions to private school tuition organizations was adjusted for inflation purposes. For 2017, the maximum current year’s credit is:

  • $546 for single and head of household taxpayers
  • $1,092 for married taxpayers filing a joint return

 

Credit for Contributions Made to Certified School Tuition Organization (Arizona Form 348)

The allowable current year’s credit for contributions to a certified school tuition organization was adjusted for inflation purposes. For 2017, the maximum current year’s credit is:

  • $543 for single and head of household taxpayers
  • $1,085 for married taxpayers filing a joint return