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Taxes and Cost of Living
A personal income tax is levied on residents and
nonresidents earning income in Arizona. The state
uses a graduated rate structure and the Federal
Internal Revenue Code as the basis for tax
computation.
Arizona taxable income is based on federal adjusted
gross income, with several additions and
subtractions. Arizona stipulated exceptions and
itemized deductions are applied to determine the
Arizona taxable income Please contact your GPGLCC
member accountant for tax questions or the Arizona
Department of Revenue’s Taxpayer
Assistance Line 602-255-3381.
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Rate-Percent
of Taxable Income |
| First $10,000 |
2.87% |
| Next $15,000 |
3.20% |
| Next $25,000 |
3.74% |
| Next $100,000 |
4.72% |
| Amount over $150,000 |
5.04% |
Person Exemptions: Single $2,100; Dependents
$2,300
Special Dependent Exemption for Care of Elderly:
$10,000
Sales Taxes
Arizona’s sales tax is 5.0 percent and Maricopa
County adds an additional .70 percent tax. The
various cities and towns also add on an additional
tax (with the exception of Sun City/Sun City West).
Additional sales taxes: Gilbert 1.0%; Fountain
Hills 1.2%; Glendale 1.3%; Phoenix and Scottsdale
1.4%; Mesa, Avondale, Chandler and Peoria 1.5%;
Tempe 1.7%.
Property Taxes
Maricopa County property tax for homeowners is based
on the assessed value of the home. Assessed value is
10 percent of the full cash value (about 80 % of
market value).
The tax rate varies by district in which the
house is located. The average tax rate for Maricopa
County is $13–$15 for every $100 of Assessed value.
Cost of Living
The cost of living in Phoenix is one of the lowest
in the U.S.
Note: United States Average Cost of Living = 100
Source: ACCRA Cost of Living Index Second Quarter
2004
Average Job Growth
The 2003-004 average was 2.3%
Source: Arizona Dept. of Economic Security
Arizona Ranked #7 of states with Highest
Percentage Job Growth, November 2004 over November
2000
Source: U.S. Dept of Labor, Bureau of Labor
Statistics
Housing Cost
The 2004 median sale price for a new home was
$190,000 in Phoenix and $186,000 in Tucson. Both
compare favorably to the national median for 2004,
which was $204,500 for a new home. Overall, the 2004
Phoenix median sale was $166,00 and $159,700 in
Tucson (national median $191,000). |
