Arizona Income Tax Calculator 2026

Calculate your Arizona state income tax for 2026. Arizona has a flat 0.025% income tax rate.

$
Deduction

Federal Income Tax

$7,670.00

Effective Tax Rate

10.23%

Marginal Tax Rate

22%

FICA (SS + Medicare)

$5,737.50

Total Tax Burden

$13,407.50

After-Tax Income

$61,592.50

Tax Calculation Breakdown

Gross Income$75,000.00
Above-the-Line Deductions- $0.00
Adjusted Gross Income (AGI)$75,000.00
Standard Deduction- $16,100.00
Taxable Income$58,900.00
10% on $0.00 – $12,400.00$1,240.00
12% on $12,400.00 – $50,400.00$4,560.00
22% on $50,400.00 – $105,700.00$1,870.00
Federal Income Tax (before credits)$7,670.00
Federal Income Tax (after credits)$7,670.00
Social Security (6.2%)$4,650.00
Medicare (1.45%)$1,087.50
Total FICA$5,737.50
Total Tax$13,407.50
After-Tax Annual Income$61,592.50
Monthly Take-Home$5,132.71

Disclaimer: This calculator is for informational purposes only and does not constitute tax, financial, or legal advice. Results are estimates based on the information you provide and current rates. Always consult a qualified tax professional or financial advisor for advice specific to your situation.

Arizona Income Tax Overview

Arizona taxes individual income at a flat 2.5%, among the lowest rates of any state that taxes wages. The single rate replaced a graduated system in 2023, so a teacher earning $45,000 and an executive earning $450,000 now face the same marginal state rate on their taxable income. The Arizona Department of Revenue administers the tax, using federal adjusted gross income as the starting point and applying a standard deduction of $16,100 for a single filer before the rate is applied.

State income tax does not replace or reduce federal income tax; it stacks on top, and the two returns are calculated and filed separately. A single Arizona resident subtracts the standard deduction from federal AGI, then multiplies what remains by 0.025 to land on the state tax. Nonresidents owe the tax only on Arizona-source income, such as wages earned while working in the state, and part-year residents prorate based on the time they lived here. Because the rate never changes with income, estimating the bill is unusually straightforward once you know the taxable amount.

Arizona Income Tax Rate

0.025%

Flat rate — same for all income levels

Arizona Tax Snapshot

Sales Tax 0.056%
Avg. Property Tax 0.0054%
Minimum Wage $15.15/hr

Official Sources:

Arizona Income Tax FAQ

Who actually has to pay Arizona income tax?
Full-year residents owe the 2.5% tax on their taxable income, nonresidents owe it on income sourced to Arizona such as in-state wages, and part-year residents prorate for the months they lived there. Whether you are required to file a return depends on gross income and filing-status thresholds set by the Arizona Department of Revenue. Retirees, students, and low earners below those thresholds may owe nothing and still need to check the filing rules.
Does Arizona have a higher rate for high earners?
No. Since 2023 Arizona applies one rate, 2.5%, to all taxable income regardless of how much you make, having phased out its former multi-bracket schedule. There is no surtax or millionaire bracket layered on top. The flat design means the back-of-the-envelope math is simply taxable income times 0.025.
How does the standard deduction interact with the flat rate?
You subtract the standard deduction, $16,100 for single filers, from your starting income before the 2.5% rate touches anything, so only the income left after the deduction is taxed. If your deductible expenses exceed the standard amount you can itemize instead. Either path lowers the base the flat rate is multiplied against.
Can I credit my federal tax against what I owe Arizona?
No. The 2.5% Arizona tax is computed on your state taxable income and is owed in addition to federal tax, not as a deduction or credit against it. Arizona borrows your federal adjusted gross income only as a starting figure to keep the calculation simple; the two tax bills remain entirely separate.