Conflicting Tax Signals from the Governor's Office Leave Arizona Taxpayers Seeking Clarity
FOR IMMEDIATE RELEASE
Wednesday, January 21, 2026
PHOENIX, ARIZONA— Senator David Farnsworth, Chair of the Senate Appropriations, Transportation, & Technology Committee, is emphasizing the importance of a clear tax policy in Arizona. This comes in response to recent conflicting actions regarding tax conformity from the Hobbs Administration, which have left Arizona taxpayers without clear guidance as they navigate compliance with state tax laws during the filing season.
The Arizona Department of Revenue (DOR) operates under the executive branch and has released tax forms that fully comply with federal tax law as specified in HR1, President Trump's One Big Beautiful Bill. Recently, both the Senate and House proposed a mirrored conformity plan; however, it was vetoed last week. In response, the governor introduced an alternative conformity approach that does not align with the DOR's guidelines outlined in the released tax forms.
This situation has led to two conflicting tax directives from the same branch of government, leaving taxpayers uncertain about which plan accurately reflects Arizona law. The lack of alignment has created a pressing need for the legislature to develop a new conformity proposal that clarifies the situation and provides certainty. Arizonans expect consistency between the governor's proposals and the guidance from her administration. As it stands, taxpayers are facing conflicting plans during the tax filing season, which creates confusion and may lead to amended returns and additional burdens.
"Arizonans expect their government to deliver a consistent message, especially concerning taxes," said Senator Farnsworth. "When an agency within the executive branch offers guidance that conflicts with the governor's position, it is families and small businesses who suffer the consequences. I am committed to working together to bring everyone back into alignment and to creating a clear tax plan that protects taxpayers while providing them with the certainty they need. Arizonans deserve straightforward answers and a coordinated approach that puts their needs first. I am eager to collaborate with my colleagues to find a solution that safeguards the taxpayers of our state."
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For more information, contact:
Kim Quintero
Director of Communications | Arizona State Senate Republican Caucus