Arizona SALT Cap Calculator
For Arizona filers on the 2.5% flat tax.
The short answer: At the scenario numbers below, the OBBBA SALT deduction is $4,500 — about $1,080 back at a 24% rate ($42 per biweekly paycheck).
⚠️ This calculator provides estimates for informational and educational purposes only. It is not tax advice. Results are based on the One Big Beautiful Bill Act (OBBBA) and IRS Schedule 1-A. Consult a qualified tax professional for your specific situation.
Your State's Slice of the $40,000 Cap
Arizona's low flat tax keeps income-tax SALT modest — property tax does the heavy lifting.
- • Combined SALT vs the $40,000 cap — most Arizonans are under it
- • The old $10,000 cap still bound many Maricopa homeowners; OBBBA freed them
- • Phase-out above $500,000 MFJ
Worked Example
A Phoenix/Scottsdale MFJ household, $420,000 MAGI: about $9,500 income tax plus $5,000 property tax.
- • Deductible amount: $4,500
- • Federal income tax savings: $1,080 (at the 24% marginal rate)
- • Per biweekly paycheck: $42
Keep Reading
Frequently Asked Questions
Is the SALT cap increase useful in low-tax Arizona?
For itemizers with property tax, yes — many Maricopa County households cleared $10,000 before; now the full amount deducts (to $40,000).
Arizona's flat 2.5% tax — most of my SALT is property tax?
Often. Both count identically toward the deduction.