Since our first session in 2006, the Club has successfully lobbied to reduce personal income taxes (10% cut for all brackets), cut the corporate tax rate (from 7% to 4.9%), reduce both residential and commercial property taxes, and now cut the capital gains tax rate by 25 percent.
The House and Senate sent to Gov. Brewer a bill to cut Arizona’s capital gain tax. Brewer is expected to sign the bill this week.
The capital gains tax cut would allow taxpayers a 25% subtraction from how capital gains are currently taxed (as regular wages). So if you’re in the 4.54% tax bracket, realized capital gains would be taxed at 3.4% rather than 4.54%.
The Arizona Free Enterprise Club for two years has pushed to have capital gains eliminated, but this 25% subtraction is a good first step.
The legislative session came to a close and the legislature saw fit not to send a film subsidy package to Gov. Brewer, who was expected to veto.