Mandatory Changes to Arizona Withholding



Effective After June 30, 2010

The State of Arizona is changing withholding amounts effective July 1, 2010. For amounts withheld on or after July 1, 2010, the amount required to be withheld will no longer be a percentage of federal withholding. Amounts withheld on or after July 1, 2010, must be based on a table prescribed by the Arizona Department of Revenue. This is a substantial change to the current percentage of federal income tax and the department has offered a calculation table along with the form to help employees compute what taxes they should be withholding (link below).

Employees subject to Arizona income tax withholding must fill out a new form that will go into effect on July 1, 2010, and give the completed form to their employer. NPS will be attaching the new forms for the DarwiNet online access employees, attaching to payroll, and providing the link below to clients and employees.

Please follow the following link to the complete the new form and submit to us. This link includes a table to help determine your withholding amounts: http://www.azdor.gov/LinkClick.aspx?fileticket=9_U8ufG2wH8%3d&tabid=265&mid=884