Additional depreciation substantially reduces tax
liability for most personal property devoted to commercial, industrial and
agricultural uses by reducing the taxable value during its first five years of
Arizona capital gains tax liabilities associated with investments in small
Arizona income tax credit for the installation of
solar energy devices in Arizona business facilities.
Competitive States Analysis Chart
This chart provides a market-by-market comparison of the Arizona business climate to other states.
Center (CDC) Program
Provides sales and use tax exemptions at the state,
county and local levels, on qualifying purchases of equipment. An owner, operator or qualified co-location
tenant of a data center may receive the exemptions provided by the incentive
for up to 10 calendar years or 20 calendar years if the CDC qualifies as a
Sustainable Redevelopment Project.
located in a zone or sub-zone are eligible for up to a 72.9 percent reduction
in state real and personal property taxes.
Securities issued by or on behalf of a local
government to provide debt financing for projects used for the business of a
private user. The program can be used for the construction of industrial and
manufacturing facilities as well as the purchase of equipment.
Provides a refundable tax credit to expanding or
locating manufacturing facilities including manufacturing-related research and
development or headquarter facilities.
up to $9,000 of Arizona income or premium tax credits to employers creating a
minimum number of net new jobs and capital investment in Arizona.
Renewable Energy Production Tax Credit
The program offers a refundable income tax credit up
to 10% of the new qualifying investment to utility-scale generation in the solar, wind, geothermal and other renewable
The Research and Development (R&D) incentive
provides an Arizona income tax credit for increased research and development
activities conducted in this state, including research conducted at a state
university and funded by the company.
Exemptions for Manufacturing
are available at the state and county level for machinery or equipment, as well
as the electricity or natural gas used directly in manufacturing.