Equipment deductions to increase.
Arizona Passes $8 Million Business Tax Cut
Arizona’s Legislature settled on a $9.6 billion budget
earlier this month that includes a tax cut for businesses.
Businesses will be able to deduct more of the cost
of buying new equipment under the new budget, which covers fiscal year 2017. It’s
estimated businesses across the state will save a total of $8 million in the
first year of the tax cut, and $16 million for the 2018 fiscal year.
“This budget would have been unattainable just
15 short months ago, when the state was in a billion dollar hole and government
was living beyond its means,” Gov. Doug Ducey said in a statement about the
budget. “Because of the decisions elected leaders made to set priorities, we
are now in a position to make strategic investments in K-12 education, higher
education, child safety and public safety.”
The budget includes an additional $32 million
for state universities and keeps funding for K-12 education at current levels.
As passed, the budget did not revive KidsCare, which provided federally funded
health care for children in low-income families. But a later bill did restore the
program.
The $9.6 billion state budget is up from last
year’s $9.2 billion.
