Arizona has a state income tax, so tax time here means two returns — your federal return and your Arizona return. The good news: it's one of the lowest flat rates in the country. Compass Tax Center handles both returns, personally, year-round, and 100% virtually. From the Valley to Tucson to the high country, we're a secure upload and a phone call away.
A federal return and an Arizona return, prepared together so they line up and you claim every credit you're owed. Arizona moved to a flat 2.5% income tax — one of the lowest in the nation — and doesn't tax Social Security, which is a real draw for retirees.
Two returns instead of one means more to keep straight. We handle the whole picture, federal and state, and we're here after April, too.
Arizona taxes personal income at a single flat rate of 2.5% — one of the lowest state income taxes anywhere. It also doesn't tax Social Security benefits, which, combined with the low rate, makes it a popular landing spot for retirees.
A low rate doesn't mean the return runs itself. Arizona has a set of distinctive tax credits — for school and charitable contributions — that are easy to miss, and we make sure your return claims the ones you qualify for.
Arizona's low flat income tax is the headline, but a few other taxes matter too. If any of these are you, they're firmly in our wheelhouse.
You don't need a tax office down the road — you need the right person handling both your returns. Everything we do is secure and fully virtual, so working with us is exactly as easy from Flagstaff as it is from Phoenix. And since we serve all 50 states, if life moves you out of Arizona, your tax help doesn't have to change.
Start now or book a free consultation. We're here year-round — for tax season and everything after it.