ARIZONA DEPARTMENT OF REVENUE
MEMORANDUM
DATE:

December 20, 2004

FROM:

THE OFFICE OF ECONOMIC RESEARCH & ANALYSIS

October 2004 TAX FACTS
SUMMARY OF GENERAL FUND REVENUES
October 2004

Fiscal Year Total

Individual Income Tax
Net Collections
Percent Change

$ 173,335,954
11.6%

$ 726,745,925
12.7%

Corporate Income Tax
Net Collections
Percent Change

$ 35,109,943
100.6%

$199,714,695
54.0%

Transaction Privilege,
Severance & Use Taxes
Net Collections
Change

$ 294,146,223
10.7%

$ 1,170,415,834
9.6%

Total Big Three Tax Types
Net Collections

$502,592,120

$ 2,096,876,454

14.6%

14.1%

Percent Change

January 2004 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

October 2004 Tax Facts

TAX FACTS
OCTOBER 2004
INDIVIDUAL INCOME TAX
Individual Income Tax Receipts
October 2004

Gross Collections
Withholding
Refunds
Urban Revenue Sharing
Net Collections

October 2003*

$27,192,307
187,072,940
(9,839,911)
(31,089,382)
$173,335,954
Fiscal Year Total (04/05)

Gross Collections
Withholding
Refunds
Urban Revenue Sharing
Net Collections

% Change

$21,360,425
187,639,147
23,203,042
(30,422,097)
$155,374,433

27.3
(0.3)
(42.4)
2.2
11.6

Fiscal Year Total (03/04)*

$138,398,823
763,228,460
(50,523,832)
(124,357,526)
$726,745,925

% Change

$115,563,481
715,263,097
(64,291,655)
(121,688,386)
$644,846,538

19.8
6.7
(21.4)
2.2
12.7

*October 2003 and FYTD 03/04 refunds and net collections do not include Ladewig attorney fees.

Included in the refund amounts above are refunds relating to the alternative fuel vehicle (AFV) income tax
credit. In October 2004, the department did not issue any refunds for alternative fuel related credits.

Ladewig Refunds
In October 2004, the department did not issue any refunds for Ladewig, a Supreme Court tax settlement
case. For the fiscal year, 434,789 refunds have been issued for a total of $124,306,442. 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
42,489 1,541,610
1.8
66.8

140NR
78,342
3.4

140PY
100,517
4.4

140NPR
3
0.0

141 & 141AZ
39,751
1.7

140A
294,401
12.7

140PTC
13,298
0.6

140EZ
196,189
8.5

140ET
2,611
0.1

OTHER
13
0.0

TOTAL
2,309,224

The 2,309,224 returns, representing current and prior tax years, filed through October 2004 compares to
2,257,761 returns filed during the same period of time in 2003 for an annual increase of 2.3%. For tax year
2003 filed in 2004, 2,199,338 returns have been filed, a 2.6% increase over filings in October 2003 for tax
year 2002.

Page 2

October 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 1,569,998 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 3.7% increase in FAGI and a 6.2% increase in
tax liability. More specifically, 35.8% of these filers experienced a decrease in tax liability; on average a
decrease of 37.1% with a corresponding average decrease in FAGI of 22.0%. Filers with an increase in tax
liability totaled 803,374 or 51.1% with an average FAGI increase of 26.3% and an average tax liability
increase of 49.7%.

Average Individual Income Tax Refund
Net of Ladewig refunds.
Average
$504.97
$554.40
(8.9)

2004 CYTD
2003 CYTD
% Change

Number
1,479,914
1,476,192
0.3

"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 236,470 "new" returns have been filed thus far in 2004,
representing approximately 285,999 persons, not including dependents. The average Federal Adjusted
Gross Income for these 236,470 returns is $19,845, with an average tax liability of $321. The right half of
this table presents characteristics of the filers represented on the returns. Of all "new" returns, 16.5% 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 October 2004 for
tax year 2004 are as follows:
10/04
10/03
10/04
10/03
10/04
10/03

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

Total 10/04
Total 10/03
% change

$8,246,488
55,405,281
(85.1)
$1,836
$1,708
7.5
$6,939,398
$13,990,157
(50.4)
$15,185,886
$69,395,438
(78.1)

Page 3

Cumulative
Cumulative
Cumulative
Cumulative
Cumulative
Cumulative
Cumulative
Cumulative

$201,284,016
$162,412,182
23.9
$1,493
$1,280
16.6
$43,213,839
$52,832,241
(18.2)
$244,497,855
$215,244,423
13.6

October 2004 Tax Facts

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:
4th Quarter 2003
1st Quarter 2004
2nd Quarter 2004

3rd Quarter 2004
4th Quarter 2004

0.9%
3.9%
(1.1%)

2.9%
na

Current choices for withholding are 0%, 10%, 18.2%, 21.3%, 23.3%, 29.4% or 34.4% 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
14,891
14,921
(0.2)

Amount
$ 5,261,633
$5,084,905
3.5

Average
$353.34
$340.78
3.7

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

October 2004
$40,189
$761
5,095

Calendar Year Total
$4,171,909
$46,874
573,792

Contributions on the Individual Income Tax Return
Through October 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
9,534
10,401
5,011
2,916
604
7,524
1,117
701
86

Page 4

Amount
$ 167,721
191,260
78,444
38,246
43,203
135,465
27,049
16,743
1,730

Average
$17.59
18.39
15.65
13.12
71.52
18.00
24.22
23.88
20.12

October 2004 Tax Facts

CORPORATE INCOME TAX
Corporate Income Tax Receipts
October 2004
$ 41,115,100
($ 6,005,157)
$ 35,109,943

Gross Collections
Refunds
Net Collections

October 2003
% Change
$ 37,166,100
10.6
($ 19,666,477)
(69.5)
$ 17,499,623
100.6

Fiscal Year Total (04/05) Fiscal Year Total (03/04) % Change
$ 219,006,190
$ 166,241,894
31.7
($ 19,291,495)
($ 36,594,261)
(47.3)
54.0
$ 199,714,695
$ 129,647,633

Gross Collections
Refunds
Net Collections

Corporate Estimated Payments
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.
October 2004
October 2003
% Change

$ 27,143,731
$ 20,938,792
29.6%

Calendar Year Total
Calendar Year Total
% Change

$ 394,107,292
$ 327,073,101
20.5%

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 October 2004 and for the calendar year.
Size of Payment
Î
October 2004
October 2003
CY 2004
CY 2003

Less than
$50,000

$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

190
142

19
10

28
18

2
3

4
5

0
0

243
178

36.5

2,297
2,156

311
241

373
307

51
57

60
59

1
0

3,093
2,820

9.7

Corporate Refunds
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
9.2%

01
2.5%

02
2.3%

03
81.2%

04
4.8%

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.
October 2004
October 2003
% Change

$ 26,019,689
$ 39,422,004
(34.0%)

Calendar Year Total
Calendar Year Total
% Change

Page 5

$ 83,555,536
$ 105,844,894
(21.1%)

October 2004 Tax Facts

Corporate Income Tax Document Count
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 October 2004, 101,030 documents have been received for a fiscal year-end of 2003, distributed as follows:
#
%

120 X (amended)
222
0.2

120 (regular)
30,960
30.6

120S (S corp)
58,393
57.8

99T (exempt org.)
289
0.3

120 A (short form)
11,166
11.1

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 October 2003, the Arizona Department of
Revenue received 92,254 documents with a fiscal year-end of 2002. Compared to 2003 documents, the
department has seen a 9.5% 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 October 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% nonshared. In contrast, contracting is 20% distribution base and 80% non-shared. 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.
October 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

October 2003

$ 118,605,189
232,631,491
49,860,789
43,408,531
20,607,802
$ 465,113,802

$ 106,921,890
210,110,140
45,873,137
39,351,595
18,743,839
$421,000,600

Fiscal Year Total (04/05)

Fiscal Year Total (03/04)

$350,764,809
687,884,528
147,034,572
129,686,768
67,406,302
$1,382,776,979

$323,227,912
630,858,029
135,808,983
118,521,443
57,345,848
$1,265,762,215

Page 6

% change
10.9%
10.7%
8.7%
10.3%
9.9%
10.5%
% change
8.5%
9.0%
8.3%
9.4%
17.5%
9.2%
October 2004 Tax Facts

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.
October 2004
Retained by State
Returned to Counties
Returned to Cities
Education Tax
Other Revenues
Total Collections

October 2003

$ 294,146,223
48,046,962
29,651,297
43,408,531
49,860,789

$ 265,731,338
43,314,057
26,730,472
39,351,595
45,873,137
421,000,600

465,113,802

Fiscal Year Total (04/05)
Retained by State
Returned to Counties
Returned to Cities
Education Tax
Other Revenues
Total Collections

% change

Fiscal Year Total (03/04)

$ 1,170,415,834
190,141,786
117,342,500
173,095,299
196,895,362
1,847,890,781

$ 1,065,416,522
174,253,685
107,537,450
157,873,038
181,682,120
1,686,762,815

10.7%
10.9%
10.9%
10.3%
8.7%
10.5%

% change
9.9%
9.1%
9.1%
9.6%
8.4%
9.6%

Transaction Privilege and Severance Tax Collections By Class
October 2004

Tax Rate

% Chg

Fiscal Year Total

% Chg

5.6%

$ 216,680

-50.8%

$ 1,020,115

-24.8%

3.125%

752,254

-0.9%

3,118,832

6.7%

5.6%

35,374,854
11,815,811
68,301
609,418
1,527,343
29,791,283
2,578,897
247
12,761,701
65,559,518

4.9%
5.2%
-43.5%
130.5%
-2.0%
6.6%
13.6%
-97.7%
-1.9%
17.9%

137,886,872
48,998,503
256,921
2,315,711
5,854,584
118,289,539
12,021,588
30,425
53,085,879
257,097,419

5.7%
4.5%
-16.0%
-0.1%
-2.0%
8.6%
8.2%
NA
4.0%
18.3%

0
181,223,000
1,238,673
788
7,309,836
10,628
20,632,238
1,046
360,477

NA
11.1%
305.0%
-25.1%
16.4%
250.3%
10.1%
-90.6%
4.3%

0
716,825,960
4,367,054
3,189
27,082,275
24,178
88,077,821
(10,974)
1,572,051

NA
7.7%
347.8%
21.1%
9.6%
-19.2%
15.6%
NA
14.5%

NA

0

NA

----

339,382

-18.7%

1,406,565

-22.3%

89,836

-35.4%

448,936

67.2%

----

114,791

5.5%

395,825

-31.9%

4,991

NA

15,106

NA

911 Wireline

$0.37/month per active service

1,092,926

-1.9%

4,534,301

1.7%

911 Wireless
Total

$0.37/month per active service

1,048,273
$ 374,523,196

2.5%
10.6%

4,210,132
$ 1,488,928,806

5.9%
9.6%

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

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

School for the Deaf and Blind
Poison Control
Teratogen Funding

Page 7

October 2004 Tax Facts

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.

Transaction Privilege and Severance Tax Taxable Sales By Class1
October 2004

% Chg

Fiscal Year Total

% Chg

Transporting

$ 4,333,608

-50.8%

$ 20,425,341

-24.7%

Non-Metal Mining Oil/Gas

24,072,133

-0.9%

99,891,412

6.8%

Utilities

707,497,086

4.9%

2,759,767,100

5.8%

Communications

236,316,230

5.2%

980,856,734

4.6%
-15.9%

Private Car/Pipelines

1,366,030

-43.5%

5,142,461

Publishing

12,212,340

131.0%

46,378,904

0.0%

Job Printing

30,546,864

-2.0%

117,204,212

-1.9%

595,857,576

6.6%

2,368,115,154

8.7%

51,577,947

13.6%

240,703,203

8.4%
25.9%

Restaurants & Bars
Amusements
Commercial Lease

8,244

-99.2%

889,038

255,283,481

-1.9%

1,062,758,230

4.1%

1,317,182,106

18.5%

5,176,101,952

19.1%

Rental of Personal Property
Contracting
Feed Wholesale

0

NA

0

NA

3,624,485,925

11.1%

14,351,076,465

7.8%

Mining Severance

49,546,936

305.0%

174,776,361

348.1%

Timber Severance

370

-25.1%

1,596

29.1%

132,906,111

16.4%

493,017,757

9.8%

212,554

250.3%

485,101

-8.6%

412,271,168

10.1%

1,760,788,036

15.9%

34,874
7,455,711,581

-90.6%
11.1%

(364,007)
$ 29,658,015,051

NA
10.1%

Retail

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.

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

October 2004 Tax Facts

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 October 2004 is shown in the County Share column.

Apache
Cochise
Coconino
Gila
Graham
Greenlee
La Paz
Maricopa
Mohave
Navajo
Pima
Pinal
Santa Cruz
Yavapai
Yuma
Total

County Share

% of Total

FYTD County Share

% Change

$ 363,013
1,278,015
849,459
369,925
217,701
212,312
133,271
30,866,818
1,371,426
783,832
7,066,606
1,283,567
300,059
1,711,401
1,239,558
$ 48,046,962

0.8%

$ 1,443,399
3,846,922
4,835,726
1,490,984
865,444
799,677
545,340
121,743,237
5,487,084
3,099,581
28,204,093
5,102,923
1,202,377
6,679,599
4,795,400
$190,141,786

7.7%
18.7%
-3.5%
4.7%
7.4%
36.1%
7.9%
9.3%
12.5%
7.7%
8.2%
9.6%
6.3%
10.9%
10.5%
9.1%

2.7%
1.8%
0.8%
0.5%
0.4%
0.3%
64.2%
2.9%
1.6%
14.7%
2.7%
0.6%
3.6%
2.6%

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 October
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 October
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

Excise Tax

Jail Tax

Rental Car

Stadium

RV

Hospital

Capitol

Tourism

Surcharge

Tax

Surcharge

Tax/Health

Projects

Authority

SVCS Dist
Apache

$ 88,942

Cochise

497,275
940,382

Coconino
Gila

$ 248,326

Graham

100,631

Greenlee

71,788
69,033

La Paz
Maricopa

$ 563,816

25,481,005

69,033
9,391,119

Mohave

546,030

Navajo

512,753

Santa Cruz
Yavapai
Yuma

$ 312
$ 429,631

109,909

Pima
Pinal

$ 233,511

241,202

903,615

$ 2,314

$ 1,156,552

$ 9,109

879,261
193,793
1,165,631

582,919

820,137

820,094

819,296

Page 9

October 2004 Tax Facts

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

Spiritous
Vinous
Malt
Cigarette
Other Tobacco
Tobacco Licenses
Total

October 2004
$ 1,733,944
805,057
2,310,327
22,082,140
469,762
550
$ 27,401,779

October 2003
$ 1,741,540
613,859
1,881,223
21,809,525
645,911
100
$ 26,692,158

% Change
(0.4)
31.2
22.8
1.3
(27.3)
450.0
2.7

Spiritous
Vinous
Malt
Cigarette*
Other Tobacco
Tobacco Licenses
Total

Fiscal Year (04/05)
$7,081,684
2,844,905
7,903,570
90,462,991
2,593,838
1,425
$ 110,888,413

Fiscal Year (03/04)
$6,709,818
2,716,356
7,230,118
86,063,721
2,516,910
1,650
$ 105,238,573

% Change
5.5
4.7
9.3
5.1
3.1
(13.6)
5.4

*Through October 2004, $448,400 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:

Spiritous
Vinous
Malt
Cigarette
Other Tobacco
Tobacco Licenses
Total

October 2004
$ 1,213,761
200,869
577,582
2,991,992
76,232
550
$ 5,060,986

Fiscal Year (04/05)
$ 4,957,179
708,907
1,975,892
12,196,341
406,736
1,425
$ 20,246,480

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

October 2004
$ 2,353,921
$ 7,615,795
$ 11,404,553
$ 1,581
$ 681,861
$ 269,984

Fiscal Year (04/05)
$ 8,717,214
$ 31,270,375
$ 46,803,600
$ 9,276
$ 2,428,774
$ 964,194

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

October 2004 Tax Facts

Estate Tax
October 2004
October 2003
% Change

$2,266,156
$3,006,279
(0.2)

Fiscal Year to Date
Fiscal Year To Date
% Change

$15,020,647
$13,630,779
10.2

October 2004
October 2003
% Change

$60,992
$66,473
(0.8)

Fiscal Year to Date
Fiscal Year to Date
% Change

$206,298
$213,398
(3.3)

Fiscal Year to Date
Fiscal Year to Date
% Change

$7,904,337
$14,500,798
(45.9)

Bingo

Unclaimed Property
October 2004
October 2003
% Change

$6,101,214
$12,261,559
(50.2)

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

October 2004 Tax Facts

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

Number

% of

Average

Average

%

%

Gross Income Bracket

of
Returns

Total

FAGI

Tax Due

Married
Joint

Single

%

%

%

%

Unmarried Married Over 65
With
Head
Separate
Dependents

Negative FAGI
$0-$5,000

2,691
52,947

1.1%
22.4%

-$17,656
$2,686

$2
$1

16.6%
3.9%

76.6%
85.2%

4.0%
10.0%

2.8%
0.9%

14.1%
3.9%

10.7%
14.7%

$5,000-$10,000
$10,000-$15,000

49,832
34,188

21.1%
14.5%

$7,362
$12,346

$25
$91

7.1%
13.9%

73.8%
57.6%

17.9%
26.8%

1.2%
1.7%

5.7%
8.4%

25.9%
38.3%

$15,000-$20,000
$20,000-$25,000

24,520
16,810

10.4%
7.1%

$17,361
$22,361

$169
$273

20.4%
25.2%

48.7%
43.2%

28.4%
28.5%

2.4%
3.1%

8.6%
8.0%

43.2%
46.3%

$25,000-$30,000
$30,000-$40,000

11,923
15,118

5.0%
6.4%

$27,382
$34,484

$390
$554

29.3%
36.4%

40.5%
37.5%

26.4%
21.9%

3.8%
4.1%

8.1%
8.6%

46.4%
45.1%

$40,000-$50,000
$50,000-$75,000

9,010
11,352

3.8%
4.8%

$44,635
$60,637

$776
$1,158

48.0%
62.7%

31.9%
24.5%

16.9%
10.4%

3.2%
2.4%

10.2%
12.9%

46.1%
46.0%

4,248
3,127

1.8%
1.3%

$85,457
$129,193

$1,855
$3,307

72.3%
74.1%

19.3%
18.0%

6.7%
6.3%

1.7%
1.5%

14.5%
16.1%

45.3%
43.2%

$200,000-$500,000
$500,000-$1,000,000

581
73

0.2%
0.0%

$281,712
$658,997

$9,483
$24,818

71.2%
52.0%

21.5%
33.3%

4.9%
8.0%

2.4%
6.7%

20.5%
25.3%

38.3%
34.7%

$1,000,000 and over

50

0.0% $1,808,827

$78,643

58.8%

37.3%

3.9%

0.0%

21.6%

19.6%

236,470

$19,845

$321

16.5%

49.5%

15.9%

1.6%

7.4%

32.9%

2.2%

7.6%

34.7%

$75,000-$100,000
$100,000-$200,000

Total

*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

October 2004 Tax Facts

TABLE 2
Urban Revenue Sharing Returned to Cities/Towns
October 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

$30,921
15,119
27,203

4,033
1,972
3,548

36,119
46,692
126,682
13,425
289,621
11,531
28,621

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

405,539
7,943
52,205
21,790

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

57,395
6,839
14,843
104,425
3,396

7,486
892
1,936
13,620
443

15,250
70,782
30,837

1,989
9,232
4,022

19,904
6,226

2,596
812

24,074
25,715

3,140
3,354

275,115
65,147
22,441
28,583
1,356,594
58,338
155,142
15,181
841,048
1,677,635
144,991
40,083
29,211
3,049,754
104,762
830,828
10,128,471
33,091
1,554,142

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
$236,512
1,216,180
38,136
38,964
23,078

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

258,907
25,562
153,869
321,539

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

37,699
27,463
58,998
34,195
24,350
72,990

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

103,934
244,838
24,856
42,092
3,731,528

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

243,918
193,393
59,695
79,545
116,853
17,243
13,509
38,319
24,948

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

160,072
6,755

20,878
881

72,461
62,617
26,237
70,376
2,522
260,203
180,443
78,142

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

117,474
35,673
14,023
595,612

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

$31,089,382

4,057,566

October 2004 Tax Facts

TABLE 3
Transaction Privilege and Severance Tax Returned to Cities/Towns
October 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

$29,472
$14,411
$25,928

4,033
1,972
3,548

$34,426
$44,504
$120,744
$12,796
$276,047
$10,991
$27,279

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

$386,531
$7,571
$49,758
$20,768

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

$54,705
$6,518
$14,148
$99,530
$3,237

7,486
892
1,936
13,620
443

$14,535
$67,464
$29,391

1,989
9,232
4,022

$18,971
$5,934

2,596
812

$22,946
$24,510

3,140
3,354

$262,221
$62,093
$21,390
$27,243
$1,293,009
$55,604
$147,870
$14,469
$801,628
$1,599,003
$138,195
$38,204
$27,842
$2,906,810
$99,852
$791,887
$9,653,743
$31,540

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
$1,481,298
$225,427
$1,159,177
$36,348
$37,138
$21,996

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

$246,772
$24,364
$146,657
$306,468

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

$35,932
$26,176
$56,232
$32,592
$23,209
$69,569

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

$99,063
$233,363
$23,691
$40,119
$3,556,629

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

$232,486
$184,328
$56,897
$75,817
$111,376
$16,435
$12,876
$36,524
$23,779

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

$152,569
$6,438

20,878
881

$69,065
$59,682
$25,007
$67,077
$2,404
$248,007
$171,986
$74,480

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

$111,968
$53,097
$13,366
$567,695

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

$29,651,297

4,057,566

October 2004 Tax Facts