Arizona residency for income tax purposes is determined primarily by your domicile. Your domicile is your true, fixed, and permanent home and the place to which you intend to return whenever you are absent. If Arizona is your domicile, you are generally considered an Arizona resident for tax purposes, even if you are temporarily away from the state.
Key Factors for Arizona Residency
- Domicile: Your true, fixed, and permanent home and the place you intend to return to whenever you are absent.
- Intent: Your actions and circumstances must indicate that Arizona is your permanent home.
- Temporary Absences: Temporary absences from Arizona do not change your domicile if you intend to return.
- Other Indicators: Factors that may be considered in determining domicile include voter registration, driver's license, vehicle registration, property ownership, employment, bank accounts, and other personal and business connections.
Arizona uses a domicile standard to determine residency. Residents are generally taxed on all income regardless of source, while nonresidents are generally taxed only on income derived from Arizona sources.
Source:
Pub 10
Form 140
Disclaimer: Always verify residency status and tax obligations with the Arizona Department of Revenue (AZDOR) using current forms and instructions. For complex situations, consult a tax professional or attorney.