Bill > SB1069

This bill increases the personal property tax exemption for certain agricultural and business-related properties in Arizona from $207,366 to $500,000 of full cash value for each taxpayer. The exemption applies to specific classes of personal property used for agricultural purposes or in certain trades and businesses, as defined in Arizona tax law. The bill maintains the existing provision that requires the Arizona Department of Revenue to annually adjust the exemption amount based on the Employment Cost Index (ECI) for private industry workers, which is calculated using data from the U.S. Department of Labor's Bureau of Labor Statistics. The change in the exemption amount will take effect on December 31, 2025, which means it will first apply to property tax assessments for the 2026 tax year. This amendment aims to provide greater tax relief for farmers and small businesses by significantly increasing the threshold of personal property exempt from taxation.

Budget and Finance

https://apps.azleg.gov/BillStatus/BillOverview/81819