Entrepreneurs filing an LLC in Arizona could benefit from corporate tax cuts

Entrepreneurs who are interested in starting a corporation might be able to benefit from the lower business taxes that Republican legislative leaders are lobbying for in Arizona.

The Arizona Tax Research Association recently held a forum for business leaders and lobbyists where state Senate majority whip Steve Pierce called for a decrease in business property taxes from 21 percent to 18 percent in order to encourage new business in Arizona, the East Valley Tribune reports. The senator also wants to reduce the corporate income tax rate from almost 7 percent to 5 percent.

“These are unmistakable steps towards making us a business-friendly state instead of where we are right now, which is a reputation of being business unfriendly,” Pierce told forum attendees.

Pierce and incoming House majority leader Andy Tobin have said they are crafting a plan which would minimize any reduction to state revenue.

However, politicians calling for tax reform have acknowledged that some of the financial burden will be shifted onto individuals. Bloomberg reports that Arizona House Republicans presented a package which included many of these business tax rate cuts earlier this year, but concerns raised by Arizona Governor Jan Brewer killed the legislation.

Melissa Clark
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Melissa Clark

Head of Content & Customer Marketing at Incfile
Melissa sets the vision for Incfile's content marketing and customer relationship management. Melissa has more than 10 years experience in various marketing roles, and a passion for supporting small businesses as they incorporate and grow. She loves sharing information that will help business owners maximize their LLCs, Corporations and Nonprofits. In her spare time, Melissa is an active member of The Junior League and enjoys running half marathons.
Melissa Clark
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