ARIZONA DEPARTMENT OF REVENUE
MEMORANDUM
DATE:

December 14, 2006

FROM:

THE OFFICE OF ECONOMIC RESEARCH & ANALYSIS

September 2006 TAX FACTS
SUMMARY OF GENERAL FUND REVENUES
September 2006

Fiscal Year
Total

Individual Income Tax
Net Collections
Percent Change

$ 309,566,572
7.7%

$ 734,167,772
4.2%

Corporate Income Tax
Net Collections
Percent Change

$ 191,161,918
12.2%

$ 262,212,925
14.5%

Transaction Privilege, Severance & Use Taxes
Net Collections
$ 379,889,665
Change
10.5%

$ 1,123,816,353
9.6%

Total Big Three Tax Types
Net Collections
Percent Change

$2,120,197,050
8.2%

$ 880,618,155
9.8%

Page 1

September 2006 Tax Facts

TAX FACTS
September 2006
INDIVIDUAL INCOME TAX
Individual Income Tax Receipts
Gross Collections
Withholding
Refunds
Urban Revenue Sharing
Net Collections

Gross Collections
Withholding
Refunds*
Urban Revenue Sharing
Net Collections

$
$
$
$
$

September-06
157,891,628
217,098,127
(19,487,296)
(45,935,888)
309,566,572

$
$
$
$
$

Fiscal Year Total
(06/07)
199,248,988
729,034,406
(56,307,957)
(137,807,665)
734,167,772

$
$
$
$
$

September-05
118,564,270
217,514,066
(13,119,615)
(35,435,744)
287,522,977

$
$
$
$
$

Fiscal Year Total
(05/06)
159,672,659
691,893,323
(40,954,072)
(106,307,232)
704,304,678

% Change
33.2
(0.2)
48.5
29.6
7.7
% Change
24.8
5.4
37.5
29.6
4.2

*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. Ladewig refunds were finalized as of July
2006.

Included in the refund amounts above are refunds relating to the alternative fuel vehicle (AFV) income tax
credit. In September 2006, the department did not issue any individual or corporate income tax refunds for
alternative fuel-related credits.

Individual Income Tax Document Count
In calendar year 2005, the following individual income tax returns were filed:
140X

140

140NR

140PY

140NPR

141 &
141AZ

140A

140PTC

140EZ

140ET

OTHER

#

46,957

1,675,324

99,248

115,957

12

45,036

279,787

12,873

188,966

3,161

8

%

1.9%

67.9%

4.0%

4.7%

0.0%

1.8%

11.3%

0.5%

7.7%

0.1%

0.0%

TOTAL
2,467,329

In calendar year 2006 the number of returns filed, and processed, are as follows:
140

140NR

140PY

140NPR

141 &
141AZ

140A

140PTC

140EZ

140ET

OTHER

TOTAL

43,034

1,586,132

96,553

125,597

0

39,151

389,975

12,103

175,074

3,460

12

2,471,091

1.7%

64.2%

3.9%

5.1%

0.0%

1.6%

15.8%

0.5%

7.1%

0.1%

0.0%

140X
#
%

The 2,471,091 returns representing current and prior tax years, filed through September 2006 compares to
2,360,550 returns filed during the same period of time in 2005 for an annual increase of 4.7%. For the tax
year 2005 filed in 2006, 2,358,395 returns have been filed, a 4.6% increase over filings through September
2005 for tax year 2004.

Page 2

September 2006 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 1,617,392 returns in calendar
year 2006 for tax year 2005 from filers who also have returns on record from calendar year 2005 with the
same marital status. On average, these filers experienced an 11.1% increase in FAGI and a 15.2% increase
in tax liability. More specifically, 34.2% of these filers experienced a decrease in tax liability; on average a
decrease of 20.1% in FAGI with a corresponding average decrease in tax liability of 38.6%. Filers with an
increase in tax liability totaled 873,689 or 54.0%, with an average FAGI increase of 36.7% and an average
tax liability increase of 65.9%.

Average Individual Income Tax Refund
Net of Ladewig refunds.

2006 CYTD
2005 CYTD
% Change

Average
$ 571.38
$ 494.51
15.5

Number
1,542,099
1,444,231
6.8

"New" Filers in Calendar Year 2006
Table 1 attached to this report, presents the number of "new" returns filed in calendar year 2006. "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 273,503 "new" returns have been filed thus far in 2006,
representing approximately 330,257 persons, not including dependents. The average Federal Adjusted
Gross Income is $22,213 with an average tax liability of $381. The right half of this table presents
characteristics of the filers represented on the returns. Of all "new" returns, 16.7% had a married filing joint
filing status, 7.1% claimed a 65 and Over Exemption and 34.1% 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 tax year 2005 was $580.2 million, for an average of $2,690. An additional
$95.0 million in estimated payments came from 2004 tax returns that applied their refunds as a 2005
estimated payment, for an average of $2,351. Estimated payments received through September 2006 for
tax year 2006 are as follows:
09/06
09/05
09/06
09/05
09/06
09/05

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

Total 09/06
Total 09/05

$
$
$
$
$
$
$
$

% change

48,420,893
45,590,555
6.2
1,643
1,638
0.3
8,004,161
5,205,512
53.8
56,425,055
50,796,067
11.1

Page 3

Cumulative $
Cumulative $
Cumulative $
Cumulative $
Cumulative $
Cumulative $
Cumulative $
Cumulative $

271,578,923
212,968,740
27.5
1,930
1,675
15.2
45,260,518
38,679,117
17.0
316,839,441
251,647,857
25.9

September 2006 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
2004 through March 2005, $592,987,493 was received for the first quarter of 2004. The latest complete
quarter (15 months of information has been compiled) is the third quarter of 2005, which shows an increase
of 28.2% in withholding payments over the third quarter of 2004. Growth in quarters for which information is
still being gathered is as follows:
4th Quarter 2005
1st Quarter 2006

18.1%
38.7%

2nd Quarter 2006
3rd Quarter 2006

24.0%
2.2%

As of January 1, 2005, the current choices for withholding are 0%, 10%, 19%, 23%, 25%, 31% or 37% 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 2006
Calendar Year 2005
% Change

Number
Amount
Average
13,796 $ 4,911,866 $
356
14,634 $ 5,182,860 $
354
(5.7)
(5.2)
0.6%

Clean Elections
As a result of the December 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 2005 filed in 2006.

Check Off
Voluntary Donation
Number of Returns

September 2006 Calendar Year Total
$48,111
$4,760,646
$ 955
$ 63,002
6,219
660,628

Contributions on the Individual Income Tax Return
Through September 2006, 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
10,441
11,070
5,405
3,196
807
8,224
1119
663
85

Page 4

$
$
$
$
$
$
$
$
$

Amount
205,594
227,431
100,174
50,026
43,553
169,994
27,229
16,499
2,180

Average
$ 19.69
$ 20.54
$ 18.53
$ 15.65
$ 53.97
$ 20.67
$ 24.33
$ 24.88
$ 25.65

September 2006 Tax Facts

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

Gross Collections
Refunds
Net Collections

Sept 2006
$191,640,170
($478,252)
$191,161,918

Sept 2005
$176,288,184
($5,907,796)
$170,380,388

% Change
8.7
(91.9)
12.2

Fiscal Year Total Prior Fiscal Year Total
$271,543,519
$241,388,310
($9,330,594)
($12,300,125)
$262,212,925
$229,088,185

% Change
12.5
(24.1)
14.5

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.
PLEASE NOTE THAT THIS IS THE SECOND MONTH FOR DATA COMING FROM OUR NEW CORPORATE
TAX SYSTEM. AS WITH THE CHANGEOVER OF ANY SYSTEM, THERE WILL BE VARIATIONS IN DATA.
PLEASE TAKE THE NEGATIVE CHANGE AS A RESULT OF CHANGING DATA GATHERING TECHNIQUES
RATHER THAN AN ECONOMIC TREND.
Sept 2006
Sept 2005

$162,749,918
$170,969,147

Calendar Year Total
Calendar Year Total

$604,101,491
$498,606,685

% Change

(4.8%)

% Change

21.2%

All corporations with an income tax liability of $20,000 or greater are required to make estimated tax
payments through electronic funds transfer (eft). The table below shows the number of these eft estimated
payments, by size of payment.
Size of
Payment Î
Sept 2006
Sept 2005
CY 2005
CY 2004

Less
than
$50,000
580
536
3,013
2,339

$50,000 up
to
$100,000
130
104
467
367

$100,000
up to
$500,000

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

161
125
532
458

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

33
27
116
83

$10,000,000
and more

Total

1
1
1
1

934
818
4,225
3,319

29
25
96
71

%
chg
14.2
27.3

The next table shows the dollars of eft estimated payments received from those counts above.
Size of
Payment Î
Sept 2006
Sept 2005
CY 2006
CY 2005

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
and more

Total

$7,769,799

$9,087,898

$37,398,337

$22,822,100

$72,563,828

$149,641,962

$6,906,933

$7,427,292

$29,349,692

$19,140,300

$84,077,244

$146,901,461

$34,116,400

$32,619,659

$118,565,245

$83,151,100

$232,173,014

$500,625,418

$29,848,190

$26,396,865

$101,947,808

$60,295,428

$191,422,912

$409,911,204

% chg
1.9%
22.1%

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 05/06 by corporate fiscal year. For example, in FY 05/06, 38.4%
of the refund dollars paid were for corporate fiscal years ending in 2001 or before. The percentages are for
refunds paid through the fiscal year.
Page 5

September 2006 Tax Facts

Corporate Refunds continued:
Corporate Fiscal Year-End:
FY 05/06

01 & Prior
38.4%

02
27.7%

03
0.6%

04
19.4%

05
13.8%

06
0.0%

Corporate Fiscal Year-End:
FY 06/07

02 & Prior
18.3%

03
10.7%

04
5.6%

05
63.3%

06
2.3%

07
0.0%

NO DATA IS AVAILABLE ON REFUNDS APPLIED AS ESTIMATED PAYMENTS. MAYBE SOMEDAY
WHEN I FIGURE OUT BRITS, I CAN RESUME THIS TIME SERIES.

Corporate Income Tax Document Count
The Arizona Department of Revenue received 112,597 corporate returns showing a fiscal year-end of 2004.
The type of return received is indicated below:

#
%

120 X
(amended)
274
0.2

120 (regular)

120S (S corp)

35,862
31.8

64,351
57.2

99T (exempt
org.)
379
0.3

120 A (short form)
11,731
10.4

Through September 2006, 93,627 documents were received for a fiscal year-end of 2005, distributed as
follows:

#
%

120 X
(amended)
137
0.1

120 (regular)

120S (S corp)

26,683
28.5

55,599
59.4

99T (exempt
org.)
342
0.4

120 A (short form)
10,866
11.6

The figures for the 2005 returns are most meaningful when compared to 2004 returns received during the
same period of time in the previous year. Through September 2005, the Department of Revenue received
88,092 documents with a fiscal year-end of 2004. Compared to 2005 documents, the Department has seen
a 6.3% 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 2006/07 is 15.0% of net
proceeds from Fiscal Year 2004/05 income tax. Amounts returned for September 2006 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.
Page 6

September 2006 Tax Facts

The "Other Revenue" category includes county excise, road, jail and hospital taxes and various other excise
taxes, such as the 911 excise tax.

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

September 2006
$150,082,193
299,564,520
28,561,796
55,830,892
68,470,577
$602,509,977

September 2005
$137,319,569
270,432,643
25,990,396
51,342,365
57,395,256
$542,480,230

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

Fiscal Year Total
(06/07)
$448,318,163
886,537,489
82,653,929
165,532,639
198,756,788
$1,781,799,009

Fiscal Year Total
(05/06)
$411,935,487
807,049,714
76,484,526
152,809,984
172,382,708
$1,620,662,419

% change
9.3%
10.8%
9.9%
8.7%
19.3%
11.1%
% change
8.8%
9.8%
8.1%
8.3%
15.3%
9.9%

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.

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

September 2006
$379,889,665
60,798,296
37,520,548
55,830,892
68,470,577
$602,509,977

September 2005
$343,784,559
55,628,157
34,329,892
51,342,365
57,395,256
$542,480,230

% change
10.5%
9.3%
9.3%
8.7%
19.3%
11.1%

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

Fiscal Year Total (06/07)
$1,123,816,353
181,613,688
112,079,541
165,532,639
198,756,788
$1,781,799,009

Fiscal Year Total (05/06)
$1,025,610,790
166,875,066
102,983,872
152,809,984
172,382,708
$1,620,662,419

% change
9.6%
8.8%
8.8%
8.3%
15.3%
9.9%

Page 7

September 2006 Tax Facts

Transaction Privilege and Severance Tax Collections By Class
Tax Rate

Transporting
Non-Metal Mining Oil/Gas
Utilities
Communications
Private Car/Pipelines
Publishing
Job Printing
Restaurants & Bars
Amusements
Commercial Lease
Rental of Personal
Contracting
Retail
Mining Severance
Timber Severance
Hotel/Motel
Membership Camping
Use Tax
Rental Occupancy Tax
Jet Fuel
Jet Fuel Use Tax
Telecomm
911 Wireline
911 Wireless
Total

5.6
3.125%
5.6%
5.6%
5.6%
5.6%
5.6%
5.6%
5.6%
0%
5.6%
3.75% - 5.6%
5.6%
2.5%
$2.13/$1.51 per 1000 board ft

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

---$0.28/month per active service
$0.28/month per active service

September
2006
$321,716
674,745
49,583,507
14,849,052
80,924
621,288
1,597,456
34,519,612
3,353,163
N/A
15,859,037
93,858,710
222,219,218
4,166,278
3,781
7,456,758
5,368
28,561,796
N/A
597,806
37,061
567,249
991,024
877,104
$480,803,455

% Chg
24.7
(24.6)
22.7
14.0
(43.0)
10.2
6.1
3.8
11.3
N/A
13.1
16.6
5.5
115.0
449.4
6.3
38.4
9.9
N/A
21.8
17.7
83.5
N/A
(19.7)
10.4

Fiscal Year
Total
1,086,823
2,165,017
129,330,447
43,397,212
242,504
1,907,023
4,695,783
106,924,244
11,963,749
N/A
46,787,318
284,142,044
663,389,557
13,191,192
10,132
23,720,139
16,667
82,981,116
N/A
1,555,922
132,011
1,623,910
3,269,443
2,986,947
$1,425,514,546

% Chg
29.0
(22.6)
14.2
12.1
(66.9)
(1.1)
(0.6)
6.7
16.4
N/A
11.2
18.2
5.0
109.0
83.5
5.4
(17.2)
8.5%
N/A
(5.5)
29.1
89.3
(6.5)
28.1
9.5

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 Class 1

$6,443,430
21,614,025
992,253,753
297,281,272
1,620,019
12,437,024
31,986,718
691,309,732
67,188,044
(238)

24.4
(24.8)
22.4
13.7
(43.1)
9.8
5.7
3.4
10.9
N/A

Fiscal Year
Total
$21,764,386
69,317,986
2,587,593,609
868,450,778
4,852,679
38,159,477
93,979,094
2,140,032,862
239,485,516
1,857

317,563,847
1,879,232,385
4,449,489,513
166,751,979

12.7
15.6
5.2
114.3

936,392,730
5,686,313,394
13,276,404,420
527,817,827

September 2006
Transporting
Non-Metal Mining Oil/Gas
Utilities
Communications
Private Car/Pipelines
Publishing
Job Printing
Restaurants & Bars
Amusements
Commercial Lease
Rental of Personal
Property
Contracting
Retail
Mining Severance

% Chg

% Chg
29.0
(22.7)
14.2
12.0
(66.9)
(1.2)
(0.7)
6.6
16.3
N/A
11.1
17.5
4.9
108.8

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

September 2006 Tax Facts

Transaction Privilege and Severance Tax Taxable Sales By Class continued
% Chg

September 2006
Timber Severance
Hotel/Motel
Membership Camping
Use Tax
Rental Occupancy Tax
Total

1,905
135,882,059
107,597
572,985,966
42,341
$9,644,191,370

435.2
5.9
37.5
9.8
(86.3)
10.3

Fiscal Year
Total
4,889
431,789,248
333,732
1,662,479,629
(140,374)
$28,585,033,739

% Chg
86.2
5.3
(17.3)
8.4%
N/A
9.8

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. 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.

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 September 2006 is shown in the County Share column.

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

$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$

County Share
415,888
1,551,830
1,012,445
457,801
269,399
493,480
153,968
38,944,397
1,746,412
926,481
8,629,799
2,070,181
393,056
2,221,884
1,511,275
60,798,296

% of Total
0.7
2.6
1.7
0.8
0.4
0.8
0.3
64.1
2.9
1.5
14.2
3.4
0.6
3.7
2.5

FYTD County Share
$
1,243,244
$
4,654,204
$
3,056,319
$
1,371,743
$
807,107
$
1,523,997
$
470,686
$
116,345,777
$
5,274,543
$
2,777,318
$
25,636,101
$
6,241,224
$
1,170,620
$
6,588,485
$
4,452,321
$
181,613,688

% Change
(2.7)
5.2
4.6
4.1
6.6
101.6
(3.0)
8.9
8.1
3.4
5.2
29.8
9.1
8.6
6.6
8.8

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
September 2006 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
September 2006 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.

Page 9

September 2006 Tax Facts

Road Tax

Excise Tax

Apache

$

109,488

Cochise

$

599,665

$

1,126,600

$

291,996

Graham

$

146,051

Greenlee

$

113,135

La Paz

$

80,832

Coconino
Gila

Maricopa

$

298,621

$ 31,973,145
$

675,894

Navajo

$

600,847

$

5,751,180

Pinal

$

1,654,526

$

675,958

$

80,831

$ 11,966,545

Mohave
Pima

Jail Tax

Rental Car

Stadium

Surcharge

Tax

Hospital
RV Surcharge Tax/Health

$
$

281,302

30

18

$1,239,391

$ 121,692
$

Authority

Svcs Dist

$

$ 434,812

Tourism

Capitol Projects

$

8,257

1,630,158

S Cruz

$

281,194

$

267,650

Yavapai

$

1,503,322

$

751,860

Yuma

$

978,260

$

978,268

$ 193,181

$

977,472

OTHER TAXES
Luxury Taxes
The following revenues were received from luxury taxes in September 2006. The table compares the
receipts to September 2005 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

Spirituous
Vinous
Malt
Cigarette*
Other Tobacco
Tobacco Licenses
Total

$
$
$
$
$
$
$

September 2006
1,146,158
606,694
1,624,032
30,087,218
764,280
525
34,228,907

$
$
$
$
$
$
$

Fiscal Year (06/07)
4,998,199
2,165,359
6,350,083
76,752,472
2,335,135
2,375
92,603,623

September 2005
2,087,984
859,019
1,814,712
26,002,613
873,707
375
31,638,409

%
(45.1)
(29.4)
(10.5)
15.7
(12.5)
40.0
8.2

Fiscal Year (05/06)
$
5,651,418
$
2,325,176
$
5,714,335
$
71,852,800
$
2,395,915
$
1,400
$
87,941,044

%
(11.6)
(6.9)
11.1
6.8
(2.5)
69.6
5.3

$
$
$
$
$
$
$

*Through September 2006, $495,835 of cigarette and tobacco tax collections has been allocated for
administrative expenses and is not included in the cigarette collections above.

Page 10

September 2006 Tax Facts

General Fund revenues from luxury taxes:

Spirituous
Vinous
Malt
Cigarette
Other Tobacco
Tobacco Licenses
Total

$
$
$
$
$
$
$

September 2006
802,310
151,350
406,008
4,099,637
57,321
525
5,517,152

FY06/07
3,498,740
539,862
1,587,520
10,416,788
238,548
2,375
16,283,834

$
$
$
$
$
$
$

Other dedicated revenues from luxury taxes:
September 2006

Correction Fund revenues
Tobacco Tax & Health Care Fund 2
Tobacco Products Tax Fund 3
Wine Promotional Fund revenues
Drug Treatment & Education Fund
revenues
Corrections Revolving Fund revenues

FY06/07

$
$
$
$

1,913,724
10,449,906
15,674,859
1,292

$
$
$
$

6,795,052
26,807,381
40,084,244
5,909

$

481,529

$

1,881,590

$

190,445

$

745,613

=================================================================================

Estate Tax
September-06 $
September-05 $
% change

40,505
1,322,222
N/A

Fiscal Year to Date
Fiscal Year to Date
% Change

$
$

145,219
8,930,669
N/A

37,842
36,987
2.3

Fiscal Year to Date
Fiscal Year to Date
% Change

$
$

144,804
144,048
0.5

277,613
4,048,239
N/A

Fiscal Year to Date
Fiscal Year to Date
% Change

$
$

8,111,042
5,348,956
51.6

Bingo
September-06 $
September-05 $
% change

Unclaimed Property
September-06 $
September-05 $
% 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

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 11

September 2006 Tax Facts

TABLE 1
“New” Returns Filed in 2006 for Tax Year 2005
Through September 2006
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

2,518
53,688

0.9%
19.6%

-$16,881
$2,735

$4
$0

18.6%
4.0%

73.2%
85.3%

5.9%
9.9%

2.3%
0.8%

14.1%
3.8%

13.7%
15.6%

55,371
38,873

20.2%
14.2%

$7,369
$12,385

$24
$95

6.0%
11.9%

76.2%
60.6%

16.8%
26.1%

1.0%
1.5%

4.9%
7.6%

24.8%
36.7%

29,417
20,782

10.8%
7.6%

$17,366
$22,341

$166
$267

19.1%
24.9%

49.5%
43.9%

29.5%
28.6%

1.9%
2.6%

8.1%
6.9%

43.5%
47.8%

15,825
19,221

5.8%
7.0%

$27,393
$34,523

$389
$551

28.4%
34.9%

42.7%
39.3%

26.1%
22.4%

2.8%
3.4%

7.2%
7.6%

46.6%
46.8%

11,336
14,582

4.1%
5.3%

$44,622
$60,568

$783
$1,136

44.2%
60.2%

34.8%
25.9%

17.7%
11.4%

3.3%
2.5%

9.1%
12.6%

45.9%
46.8%

6,021
4,701

2.2%
1.7%

$85,609
$130,268

$1,791
$3,247

71.5%
72.1%

19.6%
19.5%

7.3%
6.6%

1.6%
1.9%

15.0%
17.5%

45.8%
44.5%

977
132

0.4%
0.0%

$285,858
$684,816

$9,371
$33,896

64.8%
68.4%

25.8%
24.8%

7.3%
3.8%

2.0%
3.0%

26.7%
33.1%

36.0%
30.1%

0.0% $2,168,268 $118,337

57.6%

27.1%

8.5%

6.8%

35.6%

28.8%

16.7%

49.1%

15.9%

1.5%

7.1%

34.1%

1.7%

7.5%

34.2%

59
273,503

$22,213

$381

*An asterisked line indicates that the information cannot be released due to confidentiality laws.
NEW RETURNS FILED IN 2005 FOR TAX YEAR 2004
Total
258,482
$22,021

$390

17.0%

48.3%

16.1%

“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

September 2006 Tax Facts

TABLE 2
Urban Revenue Sharing Returned to Cities/Towns
September 2006
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
Star Valley
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

$41,968
$36,575
$19,541

4,435
2,065
3,865

$44,855
$62,172
$162,717
$17,317
$413,439
$15,235
$36,764

4,740
6,570
17,195
1,830
43,690
1,610
3,885

$578,995
$10,504
$67,282
$29,761

61,185
1,110
7,110
3,145

$70,925
$8,441
$18,500
$146,014
$18,983
$4,192

7,495
892
1,955
15,430
2,006
443

$19,730
$88,574
$43,057

2,085
9,360
4,550

$24,566
$7,684

2,596
812

$31,039
$34,067

3,280
3,600

$656,317
$240,417
$34,862
$45,101
$2,184,490
$303,394
$231,768
$18,737
$1,637,783
$2,293,541
$437,314
$52,567
$42,849
$4,240,339
$131,186
$1,307,249
$13,965,839
$155,326
$2,221,462

69,356
25,406
3,684
4,766
230,845
32,061
24,492
1,980
173,072
242,369
46,213
5,555
4,528
448,096
13,863
138,143
1,475,834
16,414
234,752

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
Dewey-Humboldt
Jerome
Prescott
Prescott Valley
Sedona
Yuma County
San Luis
Somerton
Wellton
Yuma

TOTAL

Page 13

Distribution
$835,253
$1,568,930
$61,491
$57,507
$58,321

Population
88,265
165,796
6,498
6,077
6,163

$361,582
$38,609
$244,714
$505,656

38,210
4,080
25,860
53,435

$51,337
$39,413
$93,258
$46,700
$38,798
$93,069

5,425
4,165
9,885
4,935
4,100
9,835

$252,899
$372,843
$132,388
$53,277
$5,013,221

26,725
39,400
13,990
5,630
529,770

$322,405
$307,264
$77,407
$105,276
$194,276
$21,282
$16,674
$100,527
$30,793

34,070
32,470
8,180
11,125
20,530
2,249
1,762
15,934
3,254

$206,578
$8,706

21,830
920

$101,538
$116,632
$34,824
$102,768
$38,136
$3,123
$385,807
$317,721
$103,478

10,730
12,325
3,680
10,860
4,030
330
40,770
33,575
10,935

$216,987
$92,264
$18,642
$840,079

22,930
9,750
1,970
88,775

$45,935,888

4,859,596

September 2006 Tax Facts

TABLE 3
Transaction Privilege and Severance Tax Returned to Cities/Towns
September 2006
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
Star Valley
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

$34,242
$15,944
$29,841

4,435
2,065
3,865

$36,597
$50,726
$132,761
$14,129
$337,327
$12,431
$29,996

4,740
6,570
17,195
1,830
43,690
1,610
3,885

$472,404
$8,570
$54,896
$24,282

61,185
1,110
7,110
3,145

$57,868
$6,887
$15,094
$119,134
$15,488
$3,420

7,495
892
1,955
15,430
2,006
443

$16,098
$72,268
$35,130

2,085
9,360
4,550

$20,044
$6,269

2,596
812

$25,325

3,280

$27,795

3,600

$535,492
$196,158
$28,444
$36,798
$1,782,336
$247,540
$189,101
$15,287
$1,336,275
$1,871,311
$356,807
$42,890
$34,960
$3,459,713
$107,035
$1,066,591
$11,394,795
$126,731
$1,812,501

69,356
25,406
3,684
4,766
230,845
32,061
24,492
1,980
173,072
242,369
46,213
5,555
4,528
448,096
13,863
138,143
1,475,834
16,414
234,752

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
Dewey-Humboldt
Jerome
Prescott
Prescott Valley
Sedona
Yuma County
San Luis
Somerton
Wellton
Yuma

TOTAL

Page 14

Distribution
$681,487
$1,280,098
$50,171
$46,920
$47,584

Population
88,265
165,796
6,498
6,077
6,163

$295,016
$31,501
$199,663
$412,567

38,210
4,080
25,860
53,435

$41,886
$32,158
$76,321
$38,103
$31,656
$75,935

5,425
4,165
9,885
4,935
4,100
9,835

$206,342
$304,204
$108,016
$43,469
$4,090,311

26,725
39,400
13,990
5,630
529,770

$263,052
$250,698
$63,157
$85,895
$158,510
$17,364
$13,604
$123,025
$25,124

34,070
32,470
8,180
11,125
20,530
2,249
1,762
15,934
3,254

$168,548
$7,103

21,830
920

$82,845
$95,160
$28,413
$83,849
$31,115
$2,548
$314,782
$259,230
$84,428

10,730
12,325
3,680
10,860
4,030
330
40,770
33,575
10,935

$177,041
$75,279
$15,210
$685,425

22,930
9,750
1,970
88,775

$37,520,548

4,859,596

September 2006 Tax Facts