In a push to swiftly enact tax policy changes, the Republican leadership of the Arizona House of Representatives has issued a call to Governor Katie Hobbs—a Democrat—to convene a special legislative session. House Speaker Steve Montenegro, Majority Leader Michael Carbone, Majority Whip Julie Willoughby, Speaker Pro Tempore Neal Carter, Ways & Means Chairman Justin Olson, and Appropriations Chairman David Livingston are pressing for immediate action on ensuring state tax laws align with the newly passed federal guidelines from President Trump's tax legislation.
The group collectively criticized Hobbs for what they describe as her "opportunistic decision" to support Trump's tax cuts. According to a statement sourced by an official press release shared by the Arizona Legislature, the leaders argue that "Governor Hobbs’ late adoption of Republican policy solutions continues her pattern of leading from behind." The proposed changes include eliminating taxes on tips and overtime, as well as providing additional deductions for seniors and a raised standard deduction for all taxpayers.
The legislators are pushing to rapidly give rise to a legislative session, starting as early as January 12th, to pass the required conformity legislation. Their urgency is tinged to provide taxpayers with certainty ahead of the impending tax filing season. The leaders emphasized the need for Hobbs to act, stating in the press release, "Arizonans should not have to wait."
While Hobbs has indicated her willingness to sign the proposed conformity bill, her executive order has been labeled ineffectual by her Republican counterparts until actual legislation is passed by the state's Congress. The Republican caucus in the House appears ready to quickly move to ensure the tax relief measures can be implemented with ease, signaling their readiness to send a conformity bill to the governor's desk at the earliest opportunity. In their conclusion, they assert, "Conformity ensures every taxpayer receives the full relief provided in the Trump tax cuts, and we look forward to sending the Governor a bill that delivers it." This outcome suggests a looming political tussle over tax policy in the state capital, with tangible effects for Arizonans' finances.
