ARIZONA DEPARTMENT OF REVENUE
MEMORANDUM
DATE:

October 29, 2004

FROM:

THE OFFICE OF ECONOMIC RESEARCH & ANALYSIS

August 2004 TAX FACTS
SUMMARY OF GENERAL FUND REVENUES

August 2004

Fiscal Year
Total

Individual Income Tax
Net Collections
Percent Change

$176,926,922
16.8%

$326,096,027
13.7%

Corporate Income Tax
Net Collections
Percent Change

$21,253,979
192.9%

$42,246,352
74.4%

Transaction Privilege,
Severance & Use Taxes
Net Collections
Change

$286,991,921
9.7%

$584,745,393
9.8%

Total Big Three Tax Types
Net Collections
Percent Change

$485,172,822
15.4%

$953,087,772
12.9%

January was the first month that the department used a new computer system to process
transaction privilege tax and withholding. Some of the reports necessary to provide Tax
Facts information are still under development. Those sections have been pulled from this
report. Once the information is available, it will be sent out.

Page 1

August 2004 Tax Facts

TAX FACTS
AUGUST 2004
INDIVIDUAL INCOME TAX
Individual Income Tax Receipts
August 2004

Gross Collections
Withholding
Refunds
Urban Revenue Sharing
Net Collections

August 2003

$17,256,736
206,338,811
(15,579,244)
(31,089,382)
$176,926,922
Fiscal Year Total (04/05)

Gross Collections
Withholding
Refunds
Urban Revenue Sharing
Net Collections

% Change

$13,138,440
179,843,713
(11,094,625)
(30,422,097)
$151,465,431

31.3
14.7
40.4
2.2
16.8

Fiscal Year Total (03/04)

$25,238,778
391,698,660
(28,662,648)
(62,178,763)
$326,096,027

% Change

$22,957,004
348,036,097
(23,235,554)
(60,844,193)
$286,913,354

9.9
12.5
23.4
2.2
13.7

Included in the refund amounts above are refunds relating to the alternative fuel vehicle (AFV) income tax
credit. In August 2004, the Department issued two individual income tax refunds for alternative fuel related
credits. There was $43,315 in AFV credit on the returns. After offsetting $995 in liability, $42,320 was
refunded.

Ladewig Refunds
Ladewig, a Supreme Court tax settlement case has resulted in the distribution of 132,083 refunds to
individual income taxpayers during August 2004. These refunds totaled $36,869,279 for an average of
$279.14. For the fiscal year, 434,732 refunds have been issued for a total of $124,362,860. Attorney
payments are not included in the refund amount and total $5,706,555 for the fiscal year. Refunds issued as a
result of the Ladewig case are not included in the total refunds listed in the “Individual Income Tax Receipts”
section above or the “Average Individual Income Tax Refund” section later mentioned in this publication.

Individual Income Tax Document Count
In calendar year 2003, the following individual income tax returns were filed:

#
%

140X
44,149
1.9

140
1,546,452
66.9

140NR
84,078
3.6

140PY
99,313
4.3

140NPR
12
0.0

141
43,604
1.9

140A
287,618
12.4

140PTC
13,546
0.6

140EZ
190,019
8.2

140ET
2,632
0.1

OTHER
24
0.0

TOTAL
2,311,447

In calendar year 2004 the number of returns filed, and processed, are as follows:

#
%

140X
140
38,683 1,512,298
1.7
66.8

140NR
73,155
3.2

140PY
98,820
4.4

140NPR
2
0.0

141 & 141AZ
37,595
1.7

140A
291,735
12.9

140PTC
13,284
0.6

140EZ
195,032
8.6

140ET
2,577
0.1

OTHER
15
0.0

TOTAL
2,263,196

The 2,263,196 returns, representing current and prior tax years, filed through August 2004 compares to
2,172,528 returns filed during the same period of time in 2003 for an annual increase of 4.2%. For tax year
2003 filed in 2004, 2,162,703 returns have been filed, a 3.8% increase over filings in August 2003 for tax
year 2002.

Page 2

August 2004 Tax Facts

Year-Over-Year Comparison of Resident Taxpayers
Comparisons of Federal Adjusted Gross Income (FAGI) and tax liability growth between two tax years can
be made by using data from taxpayers who have filed for both calendar years and have maintained the
same filing status for both years. The Department of Revenue has received 1,547,599 returns in calendar
year 2004 for tax year 2003 from filers who also have returns on record from calendar year 2003 with the
same marital status. On average, these filers experienced a 3.6% increase in FAGI and a 5.9% increase in
tax liability. More specifically, 35.7% of these filers experienced a decrease in tax liability; on average a
decrease of 36.4% with a corresponding average decrease in FAGI of 21.5%. Filers with an increase in tax
liability totaled 792,811 or 51.2% with an average FAGI increase of 25.5% and an average tax liability
increase of 47.9%.

Average Individual Income Tax Refund
Net of Ladewig refunds.
Average
$497.72
$541.97
(8.2%)

2004 CYTD
2003 CYTD
% Change

Number
1,450,313
1,432,979
1.2%

"New" Filers in Calendar Year 2004
Table 1 attached to this report, presents the number of "new" returns filed in calendar year 2004. "New"
returns are for those filers who did not file in the previous calendar year. Therefore, these filers could be
new full-year residents of Arizona, or they may be newly required to file an individual income tax return.
(The filer may not have earned enough income in the previous year to file, such as a recent graduate just
entering the work force.) The table indicates that 233,942 "new" returns have been filed thus far in 2004,
representing approximately 282,484 persons, not including dependents. The average Federal Adjusted
Gross Income for these 277,238 returns is $19,669, with an average tax liability of $314. The right half of
this table presents characteristics of the filers represented on the returns. Of all "new" returns, 19.6% had a
married filing joint filing status, 7.4% claimed a 65 and Over Exemption and 32.9% claimed dependents.

Individual Income Tax Estimated Payments
Taxpayers are required to make estimated payments if their Arizona gross income will exceed $75,000, in
an amount which will represent unpaid tax liability at the end of the taxpayer's tax year. Total estimated
payments paid with form 140ES for tax year 2002 was $295.4 million, for an average of $1,534. An
additional $75.0 million in estimated payments came from 2001 tax returns that applied their refunds as a
2002 estimated payment, for an average of $1,685. Estimated payments received through August 2004 for
tax year 2004 are as follows:
8/04
8/03
8/04
8/03
8/04
8/03

140ES payment
140ES payment
% change
Average payment
Average payment
% change
Applied refund
Applied refund
% change

Total 8/04
Total 8/03
% change

$2,999,038
$5,226,646
(42.6)
$1,034
$932
10.9
$4,856,009
$3,574,040
35.9
$7,855,047
$8,800,686
(10.7)

Cumulative
Cumulative
Cumulative
Cumulative
Cumulative
Cumulative
Cumulative
Cumulative

$117,600,954
$95,346,748
23.3
$1,336
$1,154
15.8
$31,159,831
$33,607,699
7.3
$148,760,785
$128,954,448
15.4

Withholding
Withholding payments are received from employers and applied towards a specific quarter for the
designated year. Information is gathered for 15 months for any given quarter. For example, from January
2001 through March 2003, $544,701,458 was received for the first quarter of 2002. The latest complete
quarter (15 months of information has been compiled) is the second quarter of 2003, which shows an
increase of 2.5% in withholding payments over the second quarter of 2002. Growth in quarters for which
information is still being gathered is as follows:

Page 3

August 2004 Tax Facts

3rd Quarter 2003
4th Quarter 2003

1st Quarter 2004
2nd Quarter 2004
3rd Quarter 2004

0.0%
0.8%

1.8%
(3.6%)
(3.5%)

Current choices for withholding are 0%, 10%, 18%, 21%, 23%, 29% or 34% as the percent of federal taxes
to be withheld for state taxes. The 0% option is only available to those individuals who had no liability in the
prior tax year and expect no tax liability for the current year.

Property Tax Credits
Arizona allows a refundable property tax credit for those who are age 65 or older or who received Title 16,
SSI payments and pay property tax on a home. To qualify for this credit, household income must be below
$3,751 for individuals that live alone, or $5,501 for those that live with others. The maximum credit is $502.

Calendar Year 2004
Calendar Year 2003
% Change

Number
14,909
14,739
1.2

Amount
$5,251,348
$5,017,108
4.7

Average
$352
$340
3.5

Clean Elections
As a result of the November 1998 voter approval of the Citizens Clean Elections, Arizona’s income
taxpayers can make a donation to the Citizens Clean Elections Commission through an income tax check-off
or through a voluntary donation. The following is for tax year 2003:

Check Off
Voluntary Donation
Number of Returns

August 2004
$90,338
$4,129
11,613

Calendar Year Total
$4,099,586
$45,560
564,517

Contributions on the Individual Income Tax Return
Through August 2004, individual income tax return filers have made the following contributions:

Wildlife
Child Abuse
Special Olympics
Neighbors Helping
AID to Education
Domestic Violence Shelter
Democratic Party
Republican Party
Libertarian Party

Number
9,446
10,307
4,960
2,880
597
7,479
1,100
694
84

Amount
$165,789
$189,030
$77,352
$37,932
$45,162
$137,260
$26,346
$16,366
$1,610

Average
$17.55
$18.34
$15.60
$13.17
$75.65
$18.35
$23.95
$23.58
$19.17

CORPORATE INCOME TAX
Corporate Income Tax Receipts
Gross Collections
Refunds
Net Collections

Gross Collections
Refunds
Net Collections

August 2004
$23,683,196
2,429,217
$21,253,979

August 2003
% Change
$11,271,363
110.1
4,015,351
(39.5)
$7,256,012
192.9

Fiscal Year Total (04/05) Fiscal Year Total (03/04) % Change
$48,961,770
$34,572,938
41.6
(6,715,418)
(10,348,504)
(35.1)
74.4
$42,246,352
$24,224,434

Page 4

August 2004 Tax Facts

Corporate Estimated Payments
U

Corporations are required to file estimated tax payments throughout the year only if (1) their Arizona tax
liability exceeds $1,000 and (2) they are required to file federal estimated tax payments.
August 2004
August 2003
% Change

$13,283,337
$9,629,989
37.9%

Calendar Year Total
Calendar Year Total
% Change

$251,070,511
$217,503,194
15.4%

All corporations with an income tax liability of $20,000 or greater are required to make their estimated tax
payments through electronic funds transfer (eft). The table below shows the number of these eft estimated
payments, by size of payment, for August 2004 and for the calendar year.
Size of Payment
Î

Less than
$50,000

August 2004
August 2003
CY 2004
CY 2003

$50,000
up to
$100,000

$100,000
up to
$500,000

$500,000
up to
$1,000,000

$1,000,000
up to
$10,000,000

$10,000,000
and more

Total

%
chg

64
56

10
6

7
7

3
1

2
3

0
0

86
73

17.8

1,644
1,559

213
173

244
194

38
43

41
38

0
0

2,180
2,007

8.6

Corporate Refunds
U

Corporate refunds paid in any state fiscal year are for a mixture of corporate fiscal years. The table below
presents the percent of refunds paid in FY 2003/04 by corporate fiscal year. For example, in FY 2003/04,
9.2% of the refund dollars paid were for corporate fiscal years ending in 1999 or before. The percentages
are for refunds paid through the fiscal year.
Corporate Fiscal Year-End:
FY 2003/04

99 & Prior
9.2%

00
2.7%

01
3.0%

02
74.5%

03
10.4%

04
0.2%

Corporate Fiscal Year-End:
FY 2004/05

00 & Prior
13.3%

01
3.9%

02
2.9%

03
76.1%

04
3.9%

05
0.0%

The corporate refunds shown above are those refunds for which a check is mailed to the corporation.
Sometimes corporations choose to apply their refund as an estimated payment. The following table
presents refunds applied as estimated payments in the most recent month and for the calendar year.
August 2004
August 2003
% Change

$2,438,623
$2,209,116
10.4%

Calendar Year Total
Calendar Year Total
% Change

$48,662,861
$64,619,909
(24.7%)

Corporate Income Tax Document Count
U

The Arizona Department of Revenue received 99,009 corporate returns showing a fiscal year-end of 2002.
The type of return received is indicated below:

#
%

120 X (amended)
289
0.3

120 (regular)
34,612
34.3

120S (S corp)
54,649
54.2

99T (exempt org.)
355
0.4

120 A (short form)
10,889
10.8

Through August 2004, 79,930 documents have been received for a fiscal year-end of 2003, distributed as
follows:
#
%

120 X (amended)
150
0.2

120 (regular)
22,926
28.7

120S (S corp)
46,891
58.7

Page 5

99T (exempt org.)
267
0.3

120 A (short form)
9,696
12.1

August 2004 Tax Facts

The figures shown above for the 2003 returns are most meaningful when compared to 2002 returns received
during the same period of time in the previous year. Through August 2003, the Arizona Department of
Revenue received 73,178 documents with a fiscal year-end of 2002. Compared to 2003 documents, the
department has seen a 9.2% increase in the number of corporate returns received at this point of time in the
calendar year.

Urban Revenue Sharing Returned to Cities/Towns
Incorporated cities and towns receive a share of net individual and corporate income tax collections, called
Urban Revenue Sharing. The amount of money to be distributed during Fiscal Year 2004/05 is 15.0% of net
proceeds from Fiscal Year 2002/03 income tax. Amounts returned for August 2004 are shown on Table 2,
at the end of this report.

TRANSACTION PRIVILEGE, SEVERANCE AND USE TAXES
Transaction Privilege, Severance and Use Tax Receipts
The Arizona transaction privilege and severance tax consists of many classifications of tax. These
classifications include but are not limited to retail, contracting, amusements, restaurants and bars,
hotel/motel and mining severance tax. The collections for all such categories are divided, per statute, into
two parts. One part is called distribution base; the other part is known as non-shared. The division of
collections into these two parts varies from category to category. For example, retail sales tax is 40%
distribution base and 60% non-shared. In contrast, contracting is 20% distribution base and 80% nonshared. Use tax is 100% non-shared.
At the close of each month, transaction privilege and severance tax collections are aggregated by category
and total distribution base and non-shared portions are calculated. The amount shown as "Use Tax" in the
table below includes use tax, use inventory tax and jet fuel use tax. Education tax is in accordance with
Proposition 301 resulting in an additional 0.6% education tax being added to most business classifications.
The "Other Revenue" category includes county excise, road, jail and hospital taxes and various other excise
taxes, such as the 911 excise tax.

August 2004
Distribution Base
Non shared
Use Tax
Education Tax
Other Revenues
Total Collections

Distribution Base
Non shared
Use Tax
Education Tax
Other Revenues
Total Collections

August 2003

114,738,399
224,820,965
48,223,926
42,510,698
22,597,683
452,891,671

104,554,912
205,657,997
44,750,471
39,258,626
19,920,303
414,142,309

Fiscal Year Total (04/05)

Fiscal Year Total (03/04)

235,143,069
458,467,979
98,600,336
86,585,172
45,176,570
923,973,126

215,731,690
420,504,244
90,527,025
78,646,104
37,827,080
843,236,144

% change

9.74%
9.32%
7.76%
8.28%
13.44%
9.36%
% change

9.00%
9.03%
8.93%
10.09%
19.43%
4.22%

Distribution of Transaction Privilege, Severance and Use Tax Receipts
Of the distribution base portion of transaction privilege and severance taxes, described above, 25% is
returned to incorporated cities/towns, 40.51% is returned to counties and 34.49% goes to the state general
fund with the exception of mining severance tax. All of the non-shared revenue and use tax is deposited into
the general fund. Therefore, the "Retained By State" figure presented below includes all non-shared portion
of transaction privilege tax, use tax and 34.49% of the distribution base collections. The education tax is
distributed in accordance with Proposition 301. “Other" revenues are returned to the administering authority.
Page 6

August 2004 Tax Facts

August 2004

August 2003

286,991,921
46,480,526
28,684,600
42,510,698
48,223,926
452,891,671

Retained by State
Returned to Counties
Returned to Cities
Education Tax
Other Revenues
Total Collections

261,639,289
42,355,195
26,138,728
39,258,626
44,750,471
414,142,309

Fiscal Year Total (04/05)

Fiscal Year Total (03/04)

584,745,393
95,256,457
58,785,767
86,585,172
98,600,336
923,973,126

Retained by State
Returned to Counties
Returned to Cities
Education Tax
Other Revenues
Total Collections

% change

532,737,184
87,392,908
53,932,923
78,646,104
90,527,025
843,236,144

9.69%
9.74%
9.74%
8.28%
7.76%
9.36%
% change

9.76%
9.00%
9.00%
10.09%
8.92%
9.57%

Transaction Privilege and Severance Tax Collections By Class
August 2004

Tax Rate
Transporting
Non-Metal Mining Oil/Gas
Utilities
Communications
Private Car/Pipelines
Publishing
Job Printing
Restaurants & Bars
Amusements
Commercial Lease
Rental of Personal Property
Contracting
Feed Wholesale
Retail
Mining Severance
Timber Severance
Hotel/Motel
Membership Camping
Use Tax
Rental Occupancy Tax
Jet Fuel
Telecommunications Devices
Telecomm

% Chg

Fiscal Year Total

% Chg

5.6

252,162

-25.4%

479,259

-26.1%

3.125%

713,489

7.8%

1,631,911

15.7%

5.6%

34,898,000
12,355,687
54,348
568,589
1,365,179
28,834,653
3,176,748
28,057
12,395,126
61,158,205

6.4%
-0.3%
-10.4%
-25.3%
-4.1%
10.3%
-1.8%
-429.3%
-0.3%
15.7%

65,984,087
24,667,495
120,421
1,139,542
2,851,601
59,607,129
6,696,379
28,549
27,856,437
126,489,680

4.8%
2.7%
24.1%
-9.9%
-4.8%
9.7%
5.0%
-182.0%
4.6%
16.7%

0
175,863,297
1,119,041
798
6,451,391
4,508
22,597,683
-17,766
386,870

NA
9.5%
464.7%
-624.3%
9.4%
-41.0%
13.4%
NA
3.5%

0
359,688,795
2,044,501
1,598
13,581,780
9,904
45,176,570
(13,808)
778,204

NA
7.9%
395.8%
99.0%
7.9%
-57.9%
19.4%
NA
7.0%

0

NA

341,092

-31.4%

720,431

-28.3%

5.6%
5.6%
5.6%
5.6%
5.6%
5.6%
0%
5.6%
3.75% - 5.6%
Repealed
5.6%
2.5%
$2.13/$1.51 per 1000 board ft

5.5%
5.6%
5.6%
3.0%
$.0305/$.0105 gal

1.1
----

115,369

NA

241,816

NA

----

90,289

-50.9%

189,247

-49.1%

5,016

NA

5,016

NA

911 Wireline

$0.37/month per active service

1,153,476

7.1%

2,284,053

2.1%

911 Wireless
Total

$0.37/month per active service

1,065,668
364,976,976

11.6%
9.7%

2,099,766
744,360,362

9.8%
9.5%

School for the Deaf and Blind
Poison Control
Teratogen Funding

The Use/Use Inventory category shown on the previous page includes jet fuel use tax. These collections
include only the individual classes of transaction privilege tax, severance tax and use tax. The total does not
include license fees or any other fees collected by the Department.

Page 7

August 2004 Tax Facts

Transaction Privilege and Severance Tax Taxable Sales By Class1
August 2004
Transporting

Fiscal Year Total

% Chg

% Chg

5,043,246

-25.4%

9,608,213

-25.9%

22,831,637

7.8%

52,309,924

15.9%

Utilities

697,960,008

6.4%

1,321,711,403

5.0%

Communications

247,113,736

-0.3%

494,236,587

2.9%

Non-Metal Mining Oil/Gas

Private Car/Pipelines

1,086,955

-10.4%

2,412,459

24.3%

Publishing

11,371,785

-25.3%

22,828,174

-9.7%

Job Printing

27,303,580

-4.1%

57,144,539

-4.6%

576,693,056

10.3%

1,194,422,149

9.9%

63,534,961

-1.8%

134,199,026

5.3%

748,599

-186.3%

760,584

255.2%

Restaurants & Bars
Amusements
Commercial Lease
Rental of Personal Property
Contracting

247,902,520

-0.3%

558,119,935

4.8%

1,225,874,055

15.9%

2,536,483,186

17.1%

Feed Wholesale
Retail

0

NA

0

NA

3,517,265,935

9.5%

7,206,368,037

8.1%

Mining Severance

44,761,652

464.7%

81,874,226

396.4%

Timber Severance

375

-624.3%

738

95.7%

117,298,025

9.4%

247,554,208

8.1%

90,162

-41.0%

199,611

-57.5%

451,365,694

13.5%

903,826,820

19.7%

(592,187)

NA

(458,464)

NA

7,257,653,793

10.1%

14,823,601,355

10.1%

Hotel/Motel
Membership Camping
Use Tax
Rental Occupancy Tax
Total

Telecommunications Devices, 911 Excise and 911 Wireless Service classifications previously listed in the
collections table are not elements of calculated taxable income and therefore, are not included in the above
table. The Use/Use Inventory category shown above does not include jet fuel use tax. Since the jet fuel use
tax is a gallonage tax, this too can not be computed as taxable income. Timber Severance includes only
sales subject to a repealed rate. The current tax is per board feet upon which taxable income cannot be
computed.

Accounting Credit
A credit equal to one percent of the amount of tax due, up to $10,000 per calendar year, is allowed to
businesses for expenses incurred during the accounting and reporting of Transaction Privilege Tax. Due to
our new processing system, the report needed to provide this data is not available.

Taxable Sales by SIC Code Range
The taxable sales by SIC (Standard Industrial Classification) code range is undergoing a conversion to
NAICS codes. The information since January 2004 is not yet available. Once it is available, it will be sent
under separate cover.

Transaction Privilege and Severance Tax Returned to Counties
Taxpayers reported the following taxable transactions and tax collections by county. The share of the
revenues returned to each county for August 2004 is shown in the County Share column.

Apache
Cochise
Coconino
Gila
Graham

County Share

% of Total

FYTD County Share

355,255

0.7%

720,895

% Change
5.6%

843,759

1.7%

1,715,990

6.1%

1,340,571

2.7%

2,685,150

5.0%

368,392

0.8%

757,182

5.2%

214,023

0.4%

438,940

8.4%

1These Taxable Sales figures are calculated on a per return basis, by taking collections and dividing them by the appropriate tax rate.
These figures may not match other Taxable Sales figures calculated on the aggregate.

Page 8

August 2004 Tax Facts

Greenlee
La Paz
Maricopa
Mohave
Navajo
Pima
Pinal
Santa Cruz
Yavapai
Yuma
Total

County Share

% of Total

FYTD County Share

% Change

186,742

0.4%

388,205

29.9%

136,142

0.3%

280,494

10.2%

29,658,610

60.8%

60,978,387

9.1%

1,363,544

2.8%

2,771,397

12.8%

752,552

1.5%

1,552,432

7.6%

6,914,636

14.2%

14,112,598

8.6%

1,253,017

2.6%

2,542,317

9.1%

291,834

0.6%

605,671

5.1%

1,639,681

3.4%

3,321,551

10.2%

1,161,768

2.4%

2,385,248

10.5%

46,480,526

0.7%

95,256,457

9.0%

Transaction Privilege and Severance Tax Returned to Cities/Towns
The portion of transaction privilege and severance tax returned to each incorporated city or town for July
2004 is shown on Table 3, attached to this report.

County Tax Collections
The following county-imposed tax collections were received by the Department of Revenue during August
2004 and returned to the counties. The rental car surcharge in Maricopa County is $2.50 per car and in
Pima County is $3.50 per car. The RV Surcharge in Pima County is $0.50/day on each lease or rental of a
parking space for recreational vehicles.
Road Tax

Apache

1,032,473
$238,289

105,945

Greenlee

53,628

La Paz

75,655
24,250,413
551,132

Navajo

Hospital
Tax/Health
SVCS Dist

Capitol
Projects

Tourism
Authority

$256,415

75,655

481,489

Pima

Yuma

RV
Surcharge

$619,071

9,020,005

Mohave

Santa
Cruz
Yavapai

Stadium
Tax

233,123

Graham

Pinal

Rental Car
Surcharge

509,324

Coconino

Maricopa

Jail Tax

$91,873

Cochise
Gila

Excise Tax

$439
$382,893

107,913
867,746

$863

$1,194,198

$5,812

845,385
185,371
1,190,630

591,162

746,153

746,110

744,981

Page 9

August 2004 Tax Facts

OTHER TAXES
Luxury Taxes
The following revenues were received from luxury taxes in August 2004. The table compares the receipts to
August 2003 and also compares fiscal year (FY) totals. Figures may not add to total due to rounding.

Spirituous
Vinous
Malt
Cigarette
Other Tobacco
Tobacco Licenses
Total

August 2004
$1,669,513
745,502
2,340,023
24,842,975
620,828
325
$30,219,166

August 2003
$1,710,813
609,828
1,770,108
25,486,007
606,516
350
$30,183,622

% Change
(2.4)
22.2
32.2
(2.5)
2.4
(7.1)
0.1

Spirituous
Vinous
Malt
Cigarette*
Other Tobacco
Tobacco Licenses
Total

Fiscal Year (04/05)
$3,485,003
1,517,789
4,064,689
45,821,691
1,361,419
625
$56,251,215

Fiscal Year (03/04)
$3,351,620
1,349,194
3,553,827
43,882,967
1,233,096
1,125
$53,371,829

% Change
4.0
12.5
14.4
4.4
10.4
(44.4)
5.4

*Through August 2004, $435,400 of cigarette and tobacco tax collections has been allocated for
administrative expenses and is not included in the cigarette collections above.
General Fund revenues from luxury taxes:

Spirituous
Vinous
Malt
Cigarette
Other Tobacco
Tobacco Licenses
Total

August 2004
$1,168,659
185,928
585,006
3,199,882
97,501
325
$5,237,300

Fiscal Year (04/05)
$2,439,502
377,966
1,016,172
6,204,938
212,292
625
$10,251,496

Other dedicated revenues from luxury taxes:

Correction Fund revenues
Tobacco Tax & Health Care Fund2
Tobacco Products Tax Fund3
Wine Promotional Fund revenues
Drug Treatment & Education Fund revenues
Corrections Revolving Fund revenues

August 2004
$2,373,257
$8,692,933
$12,976,002
$1,788
$671,939
$265,947

Fiscal Year (04/05)
$4,473,187
$15,895,506
$23,882,464
$5,922
$1,247,730
$494,909

2 Formerly the Health Care Fund
3 This Fund was created by Prop. 303, which increased cigarette & other tobacco products tax rates in November 2002.

Page 10

August 2004 Tax Facts

Estate Tax
August 2004
August 2003
% Change

$4,313,866
$4,892,386
(11.8)

Fiscal Year to Date
Fiscal Year to Date
% Change

$8,225,959
$7,574,546
8.6

August 2004
August 2003
% Change

$37,740
$38,860
(2.9)

Fiscal Year to Date
Fiscal Year to Date
% Change

$107,003
$108,470
(1.3)

$513,375
$2,531,239
(79.7)

Fiscal Year to Date
Fiscal Year to Date
% Change

$1,121,898
$1,836,378
(38.9)

Bingo

Unclaimed Property
August 2004
August 2003
% Change

Please note that some totals throughout Tax Facts may not add due to rounding.

SOURCE: THE OFFICE OF ECONOMIC RESEARCH & ANALYSIS, ARIZONA DEPARTMENT OF
REVENUE

Page 11

August 2004 Tax Facts

TABLE 1
“New” Returns Filed in 2004 for Tax Year 2003
Through August 2004
CHARACTERISTICS OF TAXPAYERS
Federal Adjusted

Number

% of

Average

Average

%

%

Gross Income Bracket

of
Returns

Total

FAGI

Tax Due

Married
Joint

Single

Negative FAGI
$0-$5,000
$5,000-$10,000
$10,000-$15,000
$15,000-$20,000
$20,000-$25,000
$25,000-$30,000
$30,000-$40,000
$40,000-$50,000
$50,000-$75,000
$75,000-$100,000
$100,000-$200,000
$200,000-$500,000
$500,000-$1,000,000
$1,000,000 and over
Total

%

%

%

%

Unmarried Married Over 65
With
Head
Separate
Dependents

2,535
52,480

1.1%
22.4%

-$14,662
$2,689

$1
$1

16.3%
3.9%

76.8%
85.2%

4.2%
10.0%

2.7%
0.9%

14.3%
3.9%

10.4%
14.8%

49,482
33,873

21.2%
14.5%

$7,362
$12,347

$25
$92

7.0%
13.9%

73.8%
57.6%

17.9%
26.9%

1.2%
1.7%

5.7%
8.4%

25.9%
38.3%

24,280
16,666

10.4%
7.1%

$17,361
$22,360

$169
$273

20.3%
25.2%

48.8%
43.2%

28.5%
28.6%

2.4%
3.1%

8.6%
8.0%

43.1%
46.3%

11,817
14,971

5.1%
6.4%

$27,383
$34,479

$391
$555

29.3%
36.4%

40.5%
37.4%

26.4%
22.0%

3.8%
4.1%

8.1%
8.5%

46.3%
45.2%

8,884
11,179

3.8%
4.8%

$44,625
$60,626

$777
$1,159

48.1%
63.0%

31.7%
24.3%

17.0%
10.4%

3.2%
2.4%

10.2%
12.8%

46.3%
46.1%

4,132
3,020

1.8%
1.3%

$85,453
$129,010

$1,857
$3,303

72.7%
74.5%

19.0%
18.1%

6.6%
6.0%

1.7%
1.5%

14.4%
16.1%

45.2%
43.2%

517
66

0.2%
0.0%

$281,551
$655,866

$9,597
$24,068

72.7%
56.7%

20.7%
29.9%

4.8%
6.0%

1.9%
7.5%

21.6%
25.4%

37.5%
32.8%

40

0.0% $1,881,824

$84,151

63.4%

34.1%

2.4%

0.0%

19.5%

14.6%

233,942

$19,669

$314

19.6%

59.4%

19.1%

1.9%

7.4%

32.9%

2.2%

7.6%

34.7%

*An asterisked line indicates that the information cannot be released due to confidentiality laws.

NEW RETURNS FILED IN 2003 FOR TAX YEAR 2002
Total
220,129
$20,256
$329

20.2%

57.0%

20.6%

“NEW" Returns means that there was no return filed by the taxpayer in the previous filing year. This may or may not
mean the filer is new to the state.

Page 12

August 2004 Tax Facts

TABLE 2
Urban Revenue Sharing Returned to Cities/Towns
August 2004
City
Apache County
Eagar
Springerville
St. Johns
Cochise County
Benson
Bisbee
Douglas
Huachuca City
Sierra Vista
Tombstone
Willcox
Coconino County
Flagstaff
Fredonia
Page
Williams
Gila County
Globe
Hayden
Miami
Payson
Winkelman
Graham County
Pima
Safford
Thatcher
Greenlee County
Clifton
Duncan
La Paz County
Parker
Quartzsite
Maricopa County
Avondale
Buckeye
Carefree
Cave Creek
Chandler
El Mirage
Fountain Hills
Gila Bend
Gilbert
Glendale
Goodyear
Guadalupe
Litchfield Park
Mesa
Paradise Valley
Peoria
Phoenix
Queen Creek
Scottsdale

Distribution

Population

$30,901
15,110
27,185

4,033
1,972
3,548

36,096
46,662
126,600
13,416
289,435
11,524
28,603

4,711
6,090
16,523
1,751
37,775
1,504
3,733

405,278
7,938
52,171
21,776

52,894
1,036
6,809
2,842

57,358
6,835
14,834
104,357
3,394

7,486
892
1,936
13,620
443

15,240
70,736
30,817

1,989
9,232
4,022

19,891
6,222

2,596
812

24,059
25,699

3,140
3,354

274,939
65,105
22,427
28,564
1,355,720
58,301
155,042
15,171
840,507
1,676,554
144,898
40,057
29,193
3,047,790
104,695
830,293
10,121,948
33,070
1,553,141

35,883
8,497
2,927
3,728
176,939
7,609
20,235
1,980
109,697
218,812
18,911
5,228
3,810
397,776
13,664
108,364
1,321,045
4,316
202,705

City
Surprise
Tempe
Tolleson
Wickenburg
Youngtown
Mohave County
Bullhead City
Colorado City
Kingman
Lake Havasu City
Navajo County
Holbrook
Pinetop-Lakeside
Show Low
Snowflake
Taylor
Winslow
Pima County
Marana
Oro Valley
Sahuarita
South Tucson
Tucson
Pinal County
Apache Junction
Casa Grande
Coolidge
Eloy
Florence
Kearny
Mammoth
Maricopa
Superior
Santa Cruz County
Nogales
Patagonia
Yavapai County
Camp Verde
Chino Valley
Clarkdale
Cottonwood
Jerome
Prescott
Prescott Valley
Sedona
Yuma County
San Luis
Somerton
Wellton
Yuma
TOTAL

Page 13

Distribution
$236,360
1,215,397
38,111
38,939
23,063

Population
30,848
158,625
4,974
5,082
3,010

258,741
25,545
153,770
321,332

33,769
3,334
20,069
41,938

37,674
27,446
58,960
34,173
24,335
72,943

4,917
3,582
7,695
4,460
3,176
9,520

103,867
244,681
24,840
42,065
3,729,125

13,556
31,934
3,242
5,490
486,699

243,761
193,268
59,657
79,494
116,778
17,232
13,501
38,295
24,932

31,814
25,224
7,786
10,375
15,241
2,249
1,762
4,998
3,254

159,969
6,750

20,878
881

72,414
62,576
26,220
70,330
2,521
260,036
180,327
78,092

9,451
8,167
3,422
9,179
329
33,938
23,535
10,192

117,398
55,673
14,014
595,228

15,322
7,266
1,829
77,685

$31,089,382

4,057,566

August 2004 Tax Facts

TABLE 3
Transaction Privilege and Severance Tax Returned to Cities/Towns
August 2004
City
Apache County
Eagar
Springerville
St. Johns
Cochise County
Benson
Bisbee
Douglas
Huachuca City
Sierra Vista
Tombstone
Willcox
Coconino County
Flagstaff
Fredonia
Page
Williams
Gila County
Globe
Hayden
Miami
Payson
Winkelman
Graham County
Pima
Safford
Thatcher
Greenlee County
Clifton
Duncan
La Paz County
Parker
Quartzsite
Maricopa County
Avondale
Buckeye
Carefree
Cave Creek
Chandler
El Mirage
Fountain Hills
Gila Bend
Gilbert
Glendale
Goodyear
Guadalupe
Litchfield Park
Mesa
Paradise Valley
Peoria
Phoenix
Queen Creek

Distribution

Population

28,511
13,941
25,082

4,033
1,972
3,548

33,304
43,053
116,808
12,379
267,047
10,632
26,390

4,711
6,090
16,523
1,751
37,775
1,504
3,733

373,929
7,324
48,136
20,091

52,894
1,036
6,809
2,842

52,922
6,306
13,686
96,285
3,132

7,486
892
1,936
13,620
443

14,061
65,265
28,433

1,989
9,232
4,022

18,352
5,740

2,596
812

22,198
23,711

3,140
3,354

253,672
60,069
20,692
26,355
1,250,854
53,791
143,050
13,997
775,493
1,546,872
133,690
36,959
26,934
2,812,042
96,596
766,070
9,339,009
30,512

35,883
8,497
2,927
3,728
176,939
7,609
20,235
1,980
109,697
218,812
18,911
5,228
3,810
397,776
13,664
108,364
1,321,045
4,316

City
Scottsdale
Surprise
Tempe
Tolleson
Wickenburg
Youngtown
Mohave County
Bullhead City
Colorado City
Kingman
Lake Havasu City
Navajo County
Holbrook
Pinetop/Lakeside
Show Low
Snowflake
Taylor
Winslow
Pima County
Marana
Oro Valley
Sahuarita
South Tucson
Tucson
Pinal County
Apache Junction
Casa Grande
Coolidge
Eloy
Florence
Kearny
Mammoth
Maricopa
Superior
Santa Cruz County
Nogales
Patagonia
Yavapai County
Camp Verde
Chino Valley
Clarkdale
Cottonwood
Jerome
Prescott
Prescott Valley
Sedona
Yuma County
San Luis
Somerton
Wellton
Yuma
TOTAL

Page 14

Distribution
1,433,005
218,077
1,121,385
35,163
35,927
21,279

Population
202,705
30,848
158,625
4,974
5,082
3,010

238,727
23,569
141,876
296,477

33,769
3,334
20,069
41,938

34,760
25,323
54,399
31,530
22,452
67,301

4,917
3,582
7,695
4,460
3,176
9,520

95,833
225,755
22,919
38,811
3,440,675

13,556
31,934
3,242
5,490
486,699

224,906
178,319
55,042
73,345
107,745
15,899
12,456
35,333
23,004

31,814
25,224
7,786
10,375
15,241
2,249
1,762
4,998
3,254

147,595
6,228

20,878
881

66,813
57,736
24,192
64,890
2,326
239,922
166,379
72,051

9,451
8,167
3,422
9,179
329
33,938
23,535
10,192

108,318
51,366
12,930
549,187

15,322
7,266
1,829
77,685

$28,684,600

4,057,566

August 2004 Tax Facts