Fifty-fourth Legislature                                                  Finance

Second Regular Session                                                  S.B. 1348




(Reference to printed bill)


Page 30, line 4, after "full‑year" insert "or part‑year"

Line 16, strike "A part‑year resident or"

Line 19, after "full‑year" insert "or part‑year"

Page 40, between lines 34 and 35, insert:

"Sec. 19.  Section 43-1042, Arizona Revised Statutes, is amended to read:

START_STATUTE43-1042.  Itemized deductions

A.  Except as provided by subsections B and C of this section, at the election of the taxpayer, and in lieu of the standard deduction allowed by section 43‑1041, in computing taxable income the taxpayer may take the amount of itemized deductions allowable for the taxable year pursuant to subtitle A, chapter 1, subchapter B, parts VI and VII, but subject to the limitations prescribed by sections 67, 68 and 274 of the internal revenue code.

B.  In lieu of the amount of the federal itemized deduction for expenses paid for medical care allowed under section 213 of the internal revenue code, the taxpayer may deduct the full amount of such expenses.

C.  A taxpayer shall not claim both a deduction provided by this section and a credit allowed by this title with respect to the same charitable contributions. This subsection applies to any contribution for which a credit is allowed by this title even if the contribution is treated as a payment of state income tax.

D.  The taxpayer may add any interest expense paid by the taxpayer for the taxable year that is equal to the amount of federal credit for interest on certain home mortgages allowed by section 25 of the internal revenue code." END_STATUTE

Renumber to conform

Page 58, line 19, after the third comma insert "43‑1162,"

After line 22, insert:

"Sec. 35.  Saving clause

The repeal of the income tax credits by this act does not affect the continuing validity of any amount of the credit carried forward from previous taxable years for application against subsequent tax liabilities as allowed by prior law."

Amend title to conform







05:01 PM