Individual Tax

Withholding for Arizona Residents

The Arizona Dept. of Revenue changed the income tax withholding method for individuals. The new method uses a direct percentage of taxable income as the withholding rate. For persons earning more than $15,00 annually, the rates are 0.5%, 1.0%, 1.5%, 2.0%, 2.5%, 3.0%, and 3.5%. You may also make additional fixed dollar amounts.

You may download the new AZ A-4 withholding form at the link below on this page.

If you are uncertain how much to withhold, the following calculation is a quick ballpark method. Look at your latest AZ tax return and find the tax liability on line 46a or 46b. Divide the AZ tax liability by the amount of earned income from all W-2's Box 1 wages. Compare this percentage amount with the rates listed on form A-4. Choose a rate slightly higher than your calculated rate if you do not wish to owe taxes at year end. If you receive a lot of income not reported on W-2's, see your tax advisor on the best way to do Arizona withholding.

IRS releases automobile mileage rates for year 2024.

The IRS has set the following standard mileage rates for year 2024. Business mileage rate is 67 cents/mile. Moving and medical mileage is 21 cents/mile. Charitable travel remains 14 cents per/mile.

Marginal Tax Bracket Changes for 2024.

The personal exemption rate is ZERO starting in 2018. The standard deduction for single taxpayers, head of household, and married filing joint respectively will be $14,600, $21,900, $29,200. The marginal tax rates appear in next table.

Marginal Rates	Single	HH	MFJ
	2024 Inc.	2024 Inc.	2024 Inc.
10.0%	0 - 11,600	0 - 16,550	0 - 23,200
12.0%	11,601 - 47,150	16,551 - 63,100	23,201 - 94,300
22.0%	47,151 - 100,525	63,101 - 100,500	94,301 - 201,050
24.0%	100,526 - 191,950	100,501 - 191,950	201,051 - 383,900
32.0%	191,951 - 243,725	191,951 - 243,725	383,901 - 487,450
35.0%	243,726 - 609,350	243,726 - 609,350	487,451 - 731,200
37.0%	> 609,350	> 609,350	> 731,200

Need a federal W-4 form? Download a W-4 Form here.

Need an AZ A-4 withholding form? Download an A-4 Form here.

Is Your 2024 W-4 Withholding Correct?

Now is a good time to tune up your federal income tax withholding for 2022. By doing a quick pro-forma tax return we can estimate your tax liability for the year 2022 and estimate the withholding liability for 2022. This estimate will help us determine whether your withholding is correct.

Setting your withholding rate correctly at the beginning of the year can put more money in your wallet. On the other hand, if you have under withheld, adjusting your withholding rate early can avoid those April 15'th blues.

Request a pro-forma tax questionnaire. We'll use the questionnaire results to determine your W-4 withholding rate. It is simple and very inexpensive. Remember, Uncle Sam does not pay interest on your overpayment.