Arizona has a flat 2.50 percent individual income tax rate. Arizona has a 4.9 percent corporate income tax rate. Arizona also has a 5.6 percent state sales tax rate and an average combined state and local sales tax rate of 8.38 percent.
If claiming Arizona itemized deductions, individuals must complete and include Federal Form 1040, Schedule A, and, if applicable, an Arizona Schedule A with an Arizona return. These forms must be attached to their returns.
Arizona Apportionment Methods There are three apportionment methods for multistate corporate income tax returns filed to Arizona: (1) air carrier apportionment, (2) standard apportionment, and (3) sales factor only apportionment. Air carriers are required to use revenue miles.
To submit the Arizona Form 285-I, ensure the form is fully completed with accurate information. You can mail the form to the Arizona Department of Revenue at 1600 West Monroe, Phoenix, AZ 85007 or fax it to (602) 542-3042.
Arizona charges a flat income tax of 2.50% on all income brackets and filing statuses.
Apportionment is the determination of the percentage of a business' profits subject to a given jurisdiction's corporate income or other business taxes. U.S. states apportion business profits based on some combination of the percentage of company property, payroll, and sales located within their borders.
You may file a Form 140X for that year. If you choose this option, you must amend your Arizona return within 90 days of the change. Attach a complete copy of the federal notice to your Form 140X. You may file a copy of the final federal notice with the department within 90 days.
Where to mail your income tax return Arizona Arizona Department of Revenue P.O. Box 52138 Phoenix, AZ 85072 Arizona Department of Revenue P.O. Box 52016 Phoenix, AZ 85072 Arizona Department of Revenue P.O. Box 52138 Phoenix, AZ 85072 more rows
How do I form an S corp in Arizona? First, you'll need to form an LLC or C corporation, if you haven't already done so. To elect S corp status, you need to file Form 2553, Election by a Small Business Corporation, with the IRS.