(The Center Square) – Some members of the Arizona congressional delegation are renewing calls to get a refund on the federally taxed state tax rebate given to families in the state last year.
Congressmen Greg Stanton, David Schweikert, and Juan Ciscomani are asking for a vote on House Resolution 8016, which would make sure the Arizona Families Tax Rebate is not subject to federal taxes marked as miscellaneous income.
The Center Square reported last year that the state’s budget surplus at the time was used for a rebate that was maxed out at $750, but was $250 for each child. The congressmen’s request to have the Internal Revenue Service change course did not come to fruition, and Arizona Attorney General Kris Mayes had an unsuccessful lawsuit against the IRS, according to Tax Notes.
“Twenty-one different states successfully pursued exclusions from federal taxation with similar rebates,” the congressmen wrote to Speaker Mike Johnson and Minority Leader Hakeem Jeffries asking for a floor vote.
“However, Arizona families have not been afforded the same relief that residents in other states have. The inconsistent treatment of state rebate programs undermines the integrity of the tax system writ large while encroaching on a state’s ability to address the unique economic conditions of its residents,” the lawmakers continued.
In a news release, the congressmen are noting the timing of Thanksgiving and other upcoming holidays for the need for the funds returned to Arizonans.
“Ahead of the holiday season, Congress has the power to right this wrong and grant Arizona families financial relief,” the letter added.
Since tax season ended in the spring, the refund for the taxation, if the legislation became law, would have to be dealt with differently. H.R. 8016 was introduced in April and sent to the House Ways and Means Committee, but there has been no movement so far.