SB1638 — The committee discusses and moves Senate Bill 1638 as amended, with a motion to return it with a do-pass recommendation.
SB1638 — Senate Bill 1638 is reported as passing as amended by roughly a 4-3 vote, followed shortly by a final closing reference to the bill at adjournment.
Chad Heinrich — Representing the National Federation of Independent Business; testified in support of the conformity measure and urged quick action during tax season.
Catherine Warren — Named as the next person on deck to speak.
Catherine Warren — Chair calls Catherine Warren as one of the people signed up to speak.
Glenn Sellers — Chair asks whether Glenn Sellers is present to speak.
Jody Paulson — Chair calls Jody Paulson as one of the people signed up to speak.
Blake Lister — Chair calls Blake Lister as one of the people signed up to speak.
Joseph Palomino — Joseph Palomino, director of the Arizona Center for Economic Progress, introduces himself and states his respectful opposition to SB 1368, continuing his testimony against the bill.
SB1638 — Senate Bill 1638 is discussed as a tax conformity bill that updates Arizona statutes to match the Internal Revenue Code as of January 1, 2026, while also incorporating H.R. 1-related changes such as income tax subtractions for tips, overtime, seniors, and auto loan interest. The discussion then turns to two amendments, including a 16-page amendment that clarifies retroactive application of the updated Internal Revenue Code definition and the treatment of foreign dividend income for tax subtraction purposes. Later remarks note that the bill makes the conformity language law while removing certain corporate-related provisions, and questions are raised about how the business-side provisions affect large corporations versus small businesses.
SB1638 — Senate Bill 1638 is discussed in a single legislative moment involving motions to return the bill to a pass recommendation and adopt amendments, including a 16-page amendment and a 14-page amendment. The discussion also references that the bill previously did not include SALT conformity, tying the amendment debate to the bill’s tax conformity provisions.
SB1368 — First clear mention of the bill; Palomino opposes it and argues it does not fit Arizona's budget realities.