Social Security benefits in Arizona
Varies
Is Social Security Taxed in Arizona?
Short answer: No. Arizona excludes Social Security retirement benefits (Title II) from state income tax for all taxpayers. Statutory basis: A.R.S. 43-1022, which subtracts the amount included in federal AGI under IRC section 86.
Federally, up to 85% of benefits can be taxable depending on your combined income (IRS Pub 915); that part doesn't change by state.
Records to keep: Keep your state return, W-2s and 1099s (1099-R, SSA-1099), and any state credit worksheets. Check your state revenue department's current-year instructions before you file.
Social Security benefits in Arizona
Varies
Individuals / Personal Taxes
No. Arizona excludes Social Security retirement benefits (Title II) from state income tax for all taxpayers. Statutory basis: A.R.S. 43-1022, which subtracts the amount included in federal AGI under IRC section 86.
Business justification
No. Arizona excludes Social Security retirement benefits (Title II) from state income tax for all taxpayers. Statutory basis: A.R.S. 43-1022, which subtracts the amount included in federal AGI under IRC section 86. Federally, up to 85% of benefits can be taxable depending on your combined income (IRS Pub 915); that part doesn't change by state.
Category
- Personal Tax Deductions