Office of Human Resources - Payroll News

State increases tax withholding rates

The Arizona state income tax withholding rates will increase effective May 1, 2009. ASU employees’ paychecks issued on May 8 will reflect the new tax rates mandated by Arizona Senate Bill 1185, which was signed into law April 9, 2009.  The Senate bill  amends the amounts required to be withheld for Arizona state withholding tax as a percentage of an employee's federal withholding  tax. 

Between May 1 and Dec. 31, 2009, the withholding rates will increase. Between Jan. 1, 2010, and June 30, 2010, the withholding rates will decrease. Please consult your personal tax professional if you need further assistance.