Senior Citizen Property Tax Refund Credit (Circuit Breaker)

State

Arizona

Year

2018

Variations in Receipt of Benefit

Benefit Varies with Income

Benefit Type

Circuit Breaker

Benefit

The benefit is a refundable credit to income tax bill for property taxes accrued or rent, or both, paid in that taxable year. The benefit for tax year 2018 paid in 2019 is determined by 21 income brackets with maximum relief ranging from $502 if income is under $1,751 (living alone) or $2,501 (living with spouse/dependents), to $56 if income is $3,651-$3,750 (living alone) or $5,351-$5,500 (living with spouse/ dependents). The benefit for tax year 2017 paid in 2018 is determined by 21 income brackets with maximum relief ranging from $502 if income is under $1,751 (living alone) or $2,501 (living with spouse/dependents), to $56 if income is $3,651-$3,750 (living alone) or $5,351-$5,500 (living with spouse/ dependents). The maximum benefit cannot exceed the property tax bill or the designated rent. The landlord designates the percentage of rent attributable to property taxes.

How is Benefit Disbursed

Credit to the income tax bill

Eligible Property Type

Residential

Characteristics of Eligible Property

Only homesteads are eligible for this benefit. A homestead is the principal dwelling owned or rented by the claimant. A homestead may also include a mobile home and the land upon which it is located.

Eligibility Criteria

Age

Homeowner

Income Ceiling

Principal Residence

Renter

Other Criteria

Description of Eligibility Criteria

To be eligible, the applicant must be the 65 or older during the taxable year or must be a recipient of Supplement Security Income (SSI) benefits under the Social Security Act. The individual also must have paid either property taxes or rent during the taxable year. And must have resided in Arizona the whole year. The maximum for 2018 household income for 2019 return is $3,750 for individuals and $5,500 for married couples or, those that live with others regardless of marital status. The maximum 2017 household income for 2018 return is $3,750 for individuals and $5,500 for married couples or, those that live with others regardless of marital status. Income is based on salary and wages and retirement income as well as income from business sources. Income does not include social security benefits or other government benefits, such as veteran's disability payments.

Local Option in Adoption of Program

Local government is unable to exercise an option

Local Option Regarding Program Features

No local option regarding program features

State Funding for Local Tax Loss

State reimburses all of the local government tax loss

Description of State Funding for Tax Loss

The state provides the benefit directly to the taxpayer through the income tax.

Record ID

AZ103_RR18

Footnotes

To apply for the program, a claimant shall fill out the required forms by April 15th. A six month extension may be granted for filing the claim if it is requested by the applicant. Applicants 70 years old or over may be eligible to defer payment of property taxes. If they participate in that program, they cannot claim this credit.

Sources

Ariz. Rev. Stat. § 43-1072 (in effect for 2018)
Arizona Department of Revenue, Property Tax Credit Claim Form - 140 PTC, 2018 form for filing in 2019, [https://azdor.gov/forms/individual/property-tax-refund-credit-claim-form-fillable accessed 01/29/2019] View Archived Source

Arizona Department of Revenue, Property Tax Credit Claim Form - 140 PTC, 2017 form for filing in 2018, [https://azdor.gov/forms/individual/property-tax-refund-credit-claim-form-fillable accessed 01/29/2019]
View Archived Source

Arizona Department of Revenue Booklet 140PTC: Property Tax Refund Credit, Tax Year 2018 for filing in 2019, [https://azdor.gov/forms/individual/property-tax-refund-credit-booklet accessed 01/30/2019]
View Archived Source

Arizona Department of Revenue Booklet 140PTC: Property Tax Refund Credit tax year 2017 for filing in 2018
[https://www.azdor.gov/Portals/0/ADOR-forms/TY2017/10500/140PTCBooklet.pdf accessed 08/23/2018] View Archived Source

Join Our Mailing List

Back to top