SB1495 is a bill that proposes to increase the business personal property tax exemption in Arizona from the current $207,366 to $500,000. This change would be effective starting January 1, 2025. The bill amends section 42-11127 of the Arizona Revised Statutes and applies to personal property used for agricultural purposes or in a trade or business. The Joint Legislative Budget Committee estimates that this change will result in a state General Fund cost of $5,300,000 beginning in FY 2026, with an offset by savings due to automatic school tax rate adjustments, leading to a net cost of $1,600,000 for FY 2026. The bill's provisions are set to become effective after December 31, 2024.

Statutes affected:
Introduced Version: 42-11127
Senate Engrossed Version: 42-11127