Arizona Income Tax Calculator 2026 โ Flat 2.5% Rate
Calculate your 2026 Arizona state income tax. Flat 2.5% rate with $14,600 standard deduction. Compare AZ vs NV, UT, NM, CO, and CA tax rates.
Arizona Tax Computation
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Tax Computation Summary
How to Use This Arizona Income Tax Calculator
Enter your annual gross income, select your filing status, and choose standard or itemized deductions. Add dependents for additional exemptions. Arizona's flat 2.5% rate means the calculation is straightforward โ the same percentage applies to all taxable income above the deductions.
Arizona state tax is paid in addition to federal income tax. Both are displayed so you can see your complete tax picture.
The Formula
AZ Tax = max(0, AZ Taxable Income) ร 2.5%
AZ Effective Rate = AZ Tax รท Gross Income ร 100
Note: Prop 208 surcharge (3.5%) was struck down by AZ Supreme Court โ does NOT apply
Example
AZ taxable income: $95,000 โ $14,600 โ $2,300 = $78,100
AZ state tax: $78,100 ร 2.5% = $1,953
AZ effective rate: 2.06% | AZ marginal rate: 2.5%
Compare to California at same income: ~$5,000+ in state tax
Arizona's Tax Advantage
Arizona's flat 2.5% rate is one of the lowest in the Sun Belt. Combined with a generous standard deduction that mirrors the federal deduction, Arizona provides significant tax savings compared to neighboring California โ especially for higher earners who would face California's top rate of 13.3%.
What About Arizona's Prop 208?
Proposition 208 was a 2020 ballot measure that would have added a 3.5% surcharge on income above $250,000 (single) or $500,000 (married). Arizona voters approved it, but the Arizona Supreme Court struck it down in 2022 as unconstitutional under the state's aggregate expenditure limit for education. The surcharge was never collected and does not apply to any tax year.
AZ vs Neighboring States Comparison
Side-by-side Arizona, Nevada, Utah, New Mexico, Colorado, and California tax comparison
State income tax comparison at your current income. Single filer, standard deduction for each state.
| State | Tax Structure | State Tax | Effective Rate | After-State Income |
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Your total tax burden including federal, Arizona state, and FICA payroll taxes.
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Arizona state tax at common income levels using current filing status and dependent settings.
| Income | AZ Taxable | AZ State Tax | Effective Rate | CA Equivalent Tax |
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