How SB 1683 changes current law

AI-generated reading aid from the bill's amendatory text — verify against the official bill.

The bill introduces a new subtraction from Arizona gross income for certain net long-term capital gains based on federal adjusted gross income thresholds.

• Section 43-1022

  FOR TAXABLE YEARS BEGINNING FROM AND AFTER DECEMBER 31, 2023, FOR A SINGLE INDIVIDUAL OR A HEAD OF HOUSEHOLD WHOSE FEDERAL ADJUSTED GROSS INCOME IS NOT MORE THAN $100,000 OR A MARRIED COUPLE FILING JOINTLY WHOSE FEDERAL ADJUSTED GROSS INCOME IS NOT MORE THAN $200,000, an amount EQUAL TO TWENTY-FIVE PERCENT of any net long-term capital gain included in federal adjusted gross income for the taxable year that is derived from an investment in an asset acquired after December 31, 2011, as follows: (a) For taxable years beginning from and after December 31, 2012 through December 31, 2013, ten percent of the net long-term capital gain included in federal adjusted gross income. (b) For taxable years beginning from and after December 31, 2013 through December 31, 2014, twenty percent of the net long-term capital gain included in federal adjusted gross income. (c) For taxable years beginning from and after December 31, 2014, twenty-five percent of the net long-term capital gain included in federal adjusted gross income.

  This addition allows eligible taxpayers to subtract a percentage of their net long-term capital gains from their Arizona gross income, providing tax relief based on their income levels.