Here’s what to know about taxpayer rebate plan in Arizona’s budget

Howard Fischer 

Capitol Media Services 

Gov. Katie Hobbs has inked her approval to the $17.8 billion state budget she negotiated with Republican legislative leaders.

The Democratic governor, in a written statement Friday, touted the provisions she demanded be included, including “unprecedented investments in housing, education, tribal communities and healthcare.”

“Today, we showed what happens when pragmatic leaders come together and compromise to get things done for Arizonans,” Hobbs said.

Republicans had their own take on the deal, emphasizing that they quashed the goal Hobbs stated in her budget proposal released in January to repeal the universal vouchers that allow any student, regardless of reason or need, to get state funds to attend private or parochial schools.

They also pointed to a plan to give tax rebates to families with children — versus Hobbs’ preferred aid to working poor with children — saying they are simply giving taxpayers back some of what they paid in prior years.

Only thing is, the budget actually will result in some taxpayers getting back more than they paid. And it is crafted in a way to disqualify others who also had state income tax liability but chose to eliminate it by giving to certain charities.

A tax attorney told Capitol Media Services it also would allow someone to claim a credit for a live-in partner of any age.

Hobbs, beyond her prepared statement, is not answering questions about the provisions of the tax rebate or anything else in the package. That will have to wait until a news conference on Monday.


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May 2023