What is the Arizona income tax rate for 2026?

A flat 2.5% on taxable income. It is the lowest flat rate among states that levy an income tax, and it applies equally to every dollar — Arizona has no brackets.

What can I deduct before Arizona's 2.5% applies?

Arizona conforms to the federal standard deduction, so a single filer subtracts $16,100 for 2026 and a couple filing jointly $32,200. You may itemize instead if that produces a larger figure, broadly following federal rules.

Does Phoenix or Tucson charge a local income tax?

No. No Arizona city or county levies an income tax, so where you live in the state does not change your income tax bill. Arizona cities raise revenue through transaction privilege tax — the state's version of a sales tax — instead.

Why do some tables say Arizona's standard deduction is $8,350?

Because they assume Arizona conforms to an older version of the federal code. The Department of Revenue's own published figure for 2025 is $15,750 for a single filer and $31,500 filing jointly — exactly the federal amounts for that year — so the smaller figure is contradicted by the state's own guidance.

Are Arizona payroll deductions taken from my paycheck?

Not by the state. Arizona unemployment insurance is employer-funded, and the state runs no disability or paid family leave program. Beyond the 2.5% state income tax, the only deductions are the federal ones.

Does Arizona tax Social Security or pensions?

Arizona does not tax Social Security benefits. Military retirement pay is fully exempt. Other pension and retirement income is generally taxable at the flat 2.5%, though certain federal and Arizona government pensions receive a partial exclusion.

Is my data sent anywhere?

No. The calculation runs entirely in your browser. There is no account, and the salary you type is never sent to a server or stored. It never leaves your device.

United States · Arizona · Tax year 2026

Arizona Paycheck & Income Tax Calculator

Arizona charges 2.5%, the lowest flat income tax of any state that levies one. Type your salary to see what that leaves once federal tax and FICA come out.

Take-home per paycheck · 2026

$2,312.31

Paid every two weeks · $60,120 a year

You keep 80% of your gross pay. Arizona itself takes 2.0%.

This is your 2026 tax for the whole year, spread evenly across 26 paychecks and rounded to the cent. A real payslip can differ slightly from one paycheck to the next: employers withhold using tables that approximate the year's tax rather than match it, and stop taking a contribution once your wages for the year pass its cap.

Effective rate 19.8% of your gross

Marginal rate 24.5% on your next dollar

Total tax $572.31 a paycheck · $14,880 a year

Federal income tax$295.00
AZ income tax$56.63
FICA$220.68
Take-home$2,312.31

Itemized deductions from gross pay, per paycheck and per year
Deduction	Rate	Per paycheckPer year	Per year
Gross payAnnual salary ÷ 26		$2,884.62$75,000.00	$75,000.00
Federal
Federal income taxAfter the $16,100 standard deduction		−$295.00−$7,670.00	−$7,670.00
Social SecurityCapped at $184,500 of wages	6.20%	−$178.85−$4,650.00	−$4,650.00
Medicare	1.45%	−$41.83−$1,087.50	−$1,087.50
Arizona
AZ income taxAfter the $16,100 standard deduction		−$56.63−$1,472.50	−$1,472.50
Total tax		−$572.31−$14,880.00	−$14,880.00
Net pay		$2,312.31$60,120.00	$60,120.00

Per paycheck, each line is its annual amount ÷ 26, rounded to the nearest cent.

What this means

On a salary of $75,000 you keep $60,120 — about 80% of what you earn. The remaining $14,880 is split across four separate deductions.

The largest is federal income tax at $7,670, roughly 52% of your total tax bill. Arizona's own income tax takes $1,473, which is less than the $5,738 taken for Social Security and Medicare.

Your next dollar of income would be taxed at 24.5% once federal and state are combined, while the rate you actually pay across the whole salary is 19.8%. That gap is why a raise never feels as large as the headline rate suggests — and why the effective rate, not the bracket you land in, is the number worth comparing between states.

Show the working, band by band

Every figure above is computed from published 2026 rates for the whole year, then divided across 26 paychecks.

Federal — on $58,900 taxable income

Band	Rate	Taxed here	Tax
$0 – $12,400	10%	$12,400	$1,240.00
$12,400 – $50,400	12%	$38,000	$4,560.00
$50,400 – $105,700	22%	$8,500	$1,870.00

Arizona — on $58,900 taxable income

Band	Rate	Taxed here	Tax
$0 and above	2.5%	$58,900	$1,472.50

Arizona tax at a glance, 2026

State income tax: 2.5% flat; Lowest flat rate in the country
State deduction: Federal; Arizona conforms to the federal amount
Local income tax: None; No Arizona city levies one
Payroll add-ons: None; No employee-side state levy

How Arizona income tax works

Arizona applies a flat 2.5% to taxable income. No brackets, no phase-outs, no separate state allowance to work out — it is among the simplest state calculations in the country, and the lowest rate of any state that taxes income at all.

Arizona conforms to the federal standard deduction, so the figure the 2.5% applies to is broadly the same one your federal tax starts from. A single filer on $75,000 subtracts $16,100 for 2026, leaving $58,900, and Arizona takes 2.5% of that — under $1,500 for the year.

The effect is that Arizona’s state tax is genuinely small relative to what most people expect. On a typical salary it is comfortably less than the Medicare deduction alone, and a fraction of what the same earner would pay in California or New York.

There is also nothing else at state level: no local income tax anywhere in Arizona, and no employee-side payroll levy of the kind Colorado, New Jersey or Washington deduct.

How Arizona got to 2.5%

This rate is recent, and the speed of the change is why older calculators and articles still get Arizona wrong.

Until 2021 Arizona ran a graduated system with rates rising to 4.5%. Legislation passed that year collapsed it toward a single rate, with the shift tied to state revenue performance. Revenue came in ahead of expectations, the triggers were met early, and the full 2.5% flat rate took effect from the 2023 tax year — sooner than the original timetable anticipated.

Anything describing Arizona as a graduated-rate state, or quoting a top rate of 4.5%, is describing a system that no longer exists.

Which deduction Arizona actually allows

This page was held back for a while over exactly this question, so it is worth setting out plainly.

Arizona’s standard deduction matches the federal one. The Department of Revenue’s own Individual Income Tax Highlights give the 2025 Arizona amounts as $15,750 for a single filer or married filing separately, $31,500 for a couple filing jointly, and $23,625 for head of household. Those are the federal 2025 figures to the dollar.

That matters because several widely used comparison tables list Arizona’s deduction as $8,350 and $16,700, on the basis that Arizona conforms to an older version of the federal code and therefore missed the increase the One Big Beautiful Bill Act made. The department’s own published figures contradict that. The Arizona legislature’s 2026 conformity measure describes the position directly, replacing the Arizona-specific standard deduction by coupling it to the federal standard deduction, including the annual inflation adjustment.

For 2026 that means $16,100 single and $32,200 joint. Building Arizona on $8,350 instead would overstate a single filer’s Arizona tax by 2.5% of $7,750, about $194 a year.

One caveat stated plainly: the department’s most recently published Arizona amounts are the 2025 ones above. The 2026 figures follow from the coupling rather than from a separate Arizona announcement, which has not been made yet.

Take-home pay at every salary in Arizona

After federal tax, the flat 2.5% state tax and FICA. With no local tax and no state payroll levy, these figures hold anywhere in Arizona — Phoenix, Tucson, Mesa and Scottsdale alike.

Annual take-home pay by gross salary · 2026
Gross salary	Total tax	Take-home (single)	Effective rate	Take-home (married)
$30,000	−$4,063	$25,938	13.5%	$27,705
$40,000	−$6,278	$33,723	15.7%	$35,965
$50,000	−$8,493	$41,508	17.0%	$43,950
$60,000	−$10,708	$49,293	17.8%	$51,875
$75,000	−$14,880	$60,120	19.8%	$63,553
$85,000	−$18,095	$66,905	21.3%	$71,338
$100,000	−$22,918	$77,083	22.9%	$83,015
$125,000	−$31,019	$93,981	24.8%	$102,478
$150,000	−$39,557	$110,444	26.4%	$120,240
$200,000	−$55,671	$144,330	27.8%	$155,126
$250,000	−$72,666	$177,335	29.1%	$192,023

What lands in your account each payday

On $75,000 a year in Arizona, filing single, split across the pay schedules employers actually use.

Net pay on $75,000 gross · single filer
Pay schedule	Gross	Net
Every week	$1,442	$1,156
Every two weeks	$2,885	$2,312
Twice a month	$3,125	$2,505
Every month	$6,250	$5,010

What Arizona does not tax

Arizona does not tax Social Security benefits, and it fully exempts military retirement pay — a change made in 2021 that removed the previous cap on the exclusion entirely.

Other retirement income is treated less generously than in Pennsylvania or Illinois. Private pensions and 401(k) or IRA distributions are generally taxable at the flat 2.5%, though a modest exclusion applies to certain federal, Arizona state and local government pensions.

At 2.5% the practical burden is light even where income is taxable, which is part of why Arizona competes with Nevada and Florida for retirees despite levying an income tax at all. The calculator above models wage income and does not apply these exclusions.

Dates that matter for the 2026 tax year

Arizona returns (Form 140) are due April 15, 2027, matching the federal deadline. An Arizona extension follows the federal one, though tax owed remains due in April. Estimated payments, if required, fall quarterly in April, June, September and the following January. The rate on this page applies to income earned between January 1 and December 31, 2026.

Questions people ask

What is the Arizona income tax rate for 2026?: A flat 2.5% on taxable income. It is the lowest flat rate among states that levy an income tax, and it applies equally to every dollar — Arizona has no brackets.
What can I deduct before Arizona's 2.5% applies?: Arizona conforms to the federal standard deduction, so a single filer subtracts $16,100 for 2026 and a couple filing jointly $32,200. You may itemize instead if that produces a larger figure, broadly following federal rules.
Does Phoenix or Tucson charge a local income tax?: No. No Arizona city or county levies an income tax, so where you live in the state does not change your income tax bill. Arizona cities raise revenue through transaction privilege tax — the state's version of a sales tax — instead.
Why do some tables say Arizona's standard deduction is $8,350?: Because they assume Arizona conforms to an older version of the federal code. The Department of Revenue's own published figure for 2025 is $15,750 for a single filer and $31,500 filing jointly — exactly the federal amounts for that year — so the smaller figure is contradicted by the state's own guidance.
Are Arizona payroll deductions taken from my paycheck?: Not by the state. Arizona unemployment insurance is employer-funded, and the state runs no disability or paid family leave program. Beyond the 2.5% state income tax, the only deductions are the federal ones.
Does Arizona tax Social Security or pensions?: Arizona does not tax Social Security benefits. Military retirement pay is fully exempt. Other pension and retirement income is generally taxable at the flat 2.5%, though certain federal and Arizona government pensions receive a partial exclusion.
Is my data sent anywhere?: No. The calculation runs entirely in your browser. There is no account, and the salary you type is never sent to a server or stored. It never leaves your device.

Where these figures come from

Every Arizona number on this page was read from the documents below — the state's own, not a summary of them. Nothing here is estimated. If a figure looks wrong, the source is one click away, and we would rather you checked.

Individual Income Tax Highlightsazdor.gov
Arizona Department of Revenue
The 2.5% flat rate and Arizona's use of the federal standard deduction.
Senate Bill 1106, fact sheetazleg.gov
Arizona State Legislature
The statutory basis for the flat rate and the treatment of the standard deduction.
Payment Taxes - Overviewdes.az.gov
Arizona Department of Economic Security
That unemployment insurance is paid by employers and cannot be taken out of employee pay.