The Arizona Revised Statutes have been updated to include the revised sections from the 56th Legislature, 1st Regular Session. Please note that the next update of this compilation will not take place until after the conclusion of the 56th Legislature, 2nd Regular Session, which convenes in January 2024.
DISCLAIMER
This online version of the Arizona Revised Statutes is primarily maintained for legislative drafting purposes and reflects the version of law that is effective on January 1st of the year following the most recent legislative session. The official version of the Arizona Revised Statutes is published by Thomson Reuters.
A. For taxable years beginning from and after December 31, 2021, a credit is allowed against the taxes imposed by this title for a taxpayer who is a partner in a partnership or a shareholder of an S corporation that elects to pay the tax under section 43-1014.
B. The amount of the credit is the portion of the tax paid by the partnership or S corporation under section 43-1014 that is attributable to the partner's or shareholder's share of income taxable in this state.
C. The estate or trust and its noncorporate beneficiaries shall apportion the credit under this section in the same proportion as their respective shares of the federal distributable net income of the estate or trust from the partnership or S corporation. The noncorporate beneficiaries shall treat their share of the credit under this section as a credit under section 43-1077.
D. If the allowable credit exceeds the taxes due under this title on the claimant's income, or if there are not taxes due under this title, the amount of the claim not used to offset taxes due under this title may be carried forward for not more than five consecutive taxable years as a credit against subsequent years' income tax liability.