Arizona taxes individual income at a flat 2.5% — one of the lowest state rates in the US — after a standard deduction that matches the federal amounts. This free calculator applies both.
How it works
The Arizona tax formula is:
- Start from your Arizona income (federal AGI is a close approximation for most wage earners).
- Subtract the standard deduction for your filing status — Arizona mirrors the federal figures:
$14,600single,$29,200married filing jointly,$21,900head of household (2024). - Apply the flat 2.5% rate to the remaining taxable income.
Arizona accelerated to this flat rate in 2023, replacing brackets that previously topped out at 4.5%.
Example
A single filer with $60,000 of income subtracts the $14,600 standard deduction, leaving $45,400 taxable. 2.5% × $45,400 = $1,135 of Arizona state income tax, for an effective rate of about 1.89%.
Notes
This estimate covers Arizona state income tax only — not FICA, federal tax, or itemized deductions. Arizona has no local income tax. Because Arizona ties its deduction to the federal figure, those amounts adjust for inflation each year.