Arizona GOP announced that House and Senate Republicans passed a tax conformity plan and sent it to Gov. Katie Hobbs’ desk, projected to provide $1.1 billion in tax relief over the next three years.
According to a post from the Arizona GOP, the tax conformity plan aligns Arizona’s tax code with federal tax reforms, aiming to provide certainty for families, small businesses, and tax preparers during filing season. The plan focuses on helping working families retain more of their earnings, supporting small businesses and job creators, and offering clear tax guidance for taxpayers. With high costs and tax season underway, the Legislature has completed its part, and it is now up to the Governor to enact this relief into law.
The Arizona Legislature passed Senate Bill 1106 and House Bill 2153 to implement federal tax cuts from the One Big Beautiful Bill into the state’s code. Legislative budget analysts estimate that these bills will cost the state $441.3 million in fiscal year 2026. The bills were passed along party lines in both chambers.
The Tax Cuts and Jobs Act included $5.5 trillion in gross tax cuts, with nearly 60 percent directed towards families. In 2018, it provided more than $2,000 in tax cuts for an average family of four earning $75,000 annually. It also doubled the Child Tax Credit from $1,000 to $2,000 per child and extended eligibility to more middle-income families.
The Arizona Republican Party operates as an affiliate of the national Republican Party with headquarters in Phoenix. It aims to elect Republican candidates, promote conservative policies, and engage voters through county organizations and events while providing resources for involvement.
