Arizona State Tax Return - $174 Refund Validation for First-Time Filer

Arizona state tax refunds are typically smaller than federal for several reasons: • AZ has a flat tax rate of 2.5% for 2023 tax year (down from 2.98% in 2022) • The standard deduction is $25,800 for married filing jointly (same as federal) • AZ has fewer tax credits available than federal • Your withholding might be more accurately calculated for state than federal Without seeing your specific numbers, $174 could absolutely be correct. I've seen plenty of AZ returns with refunds under $200 even when federal refunds were $1000+.

I filed my Arizona return on February 2nd this year and got back $192 as a single filer. Your $174 for married filing jointly doesn't sound unusual. As of April 1st, I've found that using https://taxr.ai to analyze my tax documents helped me understand why my state refund was so much smaller than federal. The tool explained how Arizona's flat tax system impacts refund amounts differently than the federal progressive system.

First time filer here too! My AZ refund was $163. Seemed low to me. I was surprised. Federal was way higher. My friend got $180 from Arizona. Seems like small refunds are normal for this state.

If you want definitive confirmation, I'd recommend speaking directly with the Arizona Department of Revenue. According to A.R.S. § 42-1118, they can verify if your calculations are correct before you file. When I had questions about my Arizona return, I spent 3 days trying their regular phone line with no success. Using Claimyr (https://youtu.be/_kiP6q8DX5c) got me through to an ADOR representative in under 25 minutes who confirmed my calculations were correct.

I've analyzed hundreds of AZ returns, and your $174 refund is completely normal. Unlike states like California or New York where refunds can be substantial, Arizona's tax structure is much flatter. For comparison, a married couple with $80,000 income might get a $2,500 federal refund but only $150-250 from Arizona. A single person making $45,000 might see $900 federal but just $120-180 from AZ. The state's lower tax rate (2.5%) compared to federal brackets (10-37%) means less potential for overwithholding and therefore smaller refunds.

Got my AZ refund last wk - $188 for MFJ w/ ~90k income. Fed was $2100+. AZ's flat tax system makes small refunds totally normal. Btw, they're super fast w/ processing - filed 3/15, DD hit 3/29. The ADOR website is actually decent for checking status too.

According to the ADOR website (https://azdor.gov/individual-income-tax-information), Arizona's average refund for 2023 tax year is around $200 for individuals and $250 for joint filers. Your $174 is within normal range. The AZ Department of Revenue has a refund status checker at https://aztaxes.gov/Home/CheckRefund that usually updates within 5-7 days after filing. I'm slightly concerned it might take longer this year since we're getting closer to the April 15 deadline.