Arizona State Income Tax (sales, vehicle registration, homeowners insurance)

[1wildatv]

We were thinking of moving to Az from FLA but we found out that AZ has a State Income Tax. Wheras we dont have a income tax in Fla. We need some advice on the State Income Tax. When you file your state & federal taxes do you get the income state tax back? Also how much percentage are you taxed? I know these are weird questions but we just arent sure of the answer & have looked everywhere for answers so thought we would post here for some great answers. Thanks Again!!!

[iuki001]

Originally Posted by 1wildatv

We were thinking of moving to Az from FLA but we found out that AZ has a State Income Tax. Wheras we dont have a income tax in Fla. We need some advice on the State Income Tax. When you file your state & federal taxes do you get the income state tax back? Also how much percentage are you taxed? I know these are weird questions but we just arent sure of the answer & have looked everywhere for answers so thought we would post here for some great answers. Thanks Again!!!

I don't know if you're retired or not, but retirementliving.com provides info on "Taxes by State".

Although there is state income tax in AZ, property tax and homeowners insurance costs much less than in FL, which is why we will probably move to AZ when our home sells here in Washington State.

iuki

[Master Shake]

You don't get your AZ state income tax back, but if you itemize your federal tax return, you can deduct the amount you pay for state income tax.

[Bummer]

Originally Posted by 1wildatv

We were thinking of moving to Az from FLA but we found out that AZ has a State Income Tax. Wheras we dont have a income tax in Fla. We need some advice on the State Income Tax. When you file your state & federal taxes do you get the income state tax back? Also how much percentage are you taxed? I know these are weird questions but we just arent sure of the answer & have looked everywhere for answers so thought we would post here for some great answers. Thanks Again!!!

Interesting question, 1Wildatv.

Having lived in a few different states, I am a firm believer the overall tax burden (exceptions such as California, New York and Hawaii) usually balances out. One states hits harder on Sales Tax while another one hits on Income Tax or Vehicle Registration and/or Property Taxes.

Personally, I would never return to Florida mainly due to the humidity and the overall higher cost of living in spite of the State Income Tax.

MY TWO CENTS WORTH.

[Ponderosa]

AZ is a good place if you make a lot of money and own an expensive house. Income tax rates are relatively low and are not very progressive (high income people don't get stuck much more than low ones do) and property taxes and insurance are lower than most anywhere. It is a bad place to live if you want to buy an expensive car every year or two or, God forbid, a motorhome. The vehicle taxes are staggering. They have oxygen bottles and smelling salts at MVD for newcomers who hear what their registration is going to cost them (just kidding).

[wng]

+1 Ponderosa...

The vehicle registration tax is quite high.
I came from MA in hopes to be relieved of their 'exise' tax on vehicles...also very high.
This tax is highway robbery.
We already paid sales tax on the vehicle, a possible luxury tax and/or gas guzzler tax...we pay federal AND state fuel taxes, registration and inspection fees, and driver's license. We then pay the core charge/disposal fee on tires, batteries, etc. And in MA also a fee to dispose of your old car (should you not sell it and must scrap it).

At least it's not Oregon where they want to charge you per mile driven too. NUTS!

[Bummer]

Originally Posted by Ponderosa

It is a bad place to live if you want to buy an expensive car every year or two or, God forbid, a motorhome. The vehicle taxes are staggering. They have oxygen bottles and smelling salts at MVD for newcomers who hear what their registration is going to cost them (just kidding).

LMBO . . . great post, Ponderosa.

However, no matter how bad the vehicle taxes are here, they are a "walk in the park" compared to California.

[Arizona Bound]

Say.. can you give an example of what kind of taxes, and
a ball-park price/costs on cars, trucks, Rv's pull/motorized?
From what I have seen.. If you buy from private owner, you
are not charged a sales tax? But if you by off a dealer lot, you
are charged a sales tax? If so.. can you explain why.
What about after moving there full-time and you want (have to)..
register/transfer your car/truck/Rv over to Arizona regs/plates, what
kind of costs are we talking about.. can you give an example?
Thanks! How does Arizona break-down the registration/tags/plate
charges?
Thanks Folks!

[Ponderosa]

Originally Posted by Arizona Bound

Say.. can you give an example of what kind of taxes, and
a ball-park price/costs on cars, trucks, Rv's pull/motorized?
From what I have seen.. If you buy from private owner, you
are not charged a sales tax? But if you by off a dealer lot, you
are charged a sales tax? If so.. can you explain why.
What about after moving there full-time and you want (have to)..
register/transfer your car/truck/Rv over to Arizona regs/plates, what
kind of costs are we talking about.. can you give an example?
Thanks! How does Arizona break-down the registration/tags/plate
charges?
Thanks Folks!

It's hard to give a ballpark because it is tax (and is deductible) that depends on the value of your vehicle. Cheap cars and older cars cost less. Try 2.5% of what your vehicle is worth. I got that by taking fees for my vehicles and doing the math. It goes down by 16% each year, so for old cars, the fees are OK. A 150K MSRP motorhome would cost you about 4000 bucks though (per year). A typical new 5th wheel would be around $500 the first year. New cars would be about $500 too for the average car. MVD cruises parking lots of large employers and sends "courtesy notices" to people with out of state plates to get them registered. There is a hefty fine for not registering here if you have a job, kids in school etc. There is also a web site to turn in people who don't register. http://www.azdot.gov/mvd/motorvehicl...tAViolator.ASP

Sales tax is a different thing. You pay it once. If you move from out of state you generally don't pay sales tax on a car you own. You don't pay on private sales because we, the people, passed an initiative prohibiting it. It was that way, the legislature changed it on the orders of their owners (the money boys), the people voted and it went back to what it was.

[Arizona Bound]

Hi..
In Indiana you pay sales tax on cars, trucks, Rv's, .. even on utility trailers
and it does not matter if you got it from private owner or off a lot.
Indiana sets it tag rates by year and class/weight. If you buy from a private
owner, you go into DMV and they ask you the amount you paid for the
used vehicle .. if you or the seller did not already list selling price on title,
then they figure sales tax on stated price.

Now in Arkansas you have no sales tax on any vehicle under a value of 3K.
But they do charge you a "property tax" on the vehicle... still taxed, just
call it something else lol! And the property tax is each year along with
tags/registration costs.

I like the Idea if you buy from private owner, you are not charged a sales...
very nice! How do the used car dealers feel about that?