Sales Taxes

As of May, 2002, the State of Arizona began imposing a 5.6% transaction privilege (sales) tax on most business activities. Yuma County has an additional 1.5% sales tax. San Luis, Arizona has an additional City tax of 3.5%.

Income Taxes

Arizona’s income tax code is patterned after the Federal Internal Revenue Code. Taxpayers use “Federal Taxable Income” as a starting point in calculating tax liability, thus eliminating duplication of reporting forms. Arizona allows the full deduction of State Income Tax in calculating a firm’s State Tax Income. The basic Corporate Income Tax is 6.968%. Arizona uses the allocation of the income of a multi-state corporation on a standard basis.

Payroll Taxes

Payroll taxes in Arizona are computed based on Federal filing by employers and employees.  Generally, withholding for State Payroll Taxes is between 10% and 37% of Federal Withholding based on employee’s income.

Property Taxes

San Luis School District 8.69%;  City/Fire 0.0%;  County 5.70%; Total:  14.69%