PHOENIX — Arizona Gov. Katie Hobbs is calling on the Legislature to pass several tax cuts from President Donald Trump’s One Big Beautiful Bill at the state level.
She is supporting state versions of tax breaks such as:
- Raising the standard deduction on state tax forms from $15,000 to $15,750 for single filers and to $31,500 for joint filers
- An additional $6,000 deduction for taxpayers older than 65
- Allow the deduction of tipped income and overtime income from taxes
- Allow the deduction of interest on car loans for new vehicles made in the U.S.
But Republican state lawmakers say her proposal doesn’t include all of the tax cuts in Trump’s tax bill.
ABC15’s Manuelita Beck has more on the brewing tax fight in the video player above.
