AZ HB2505

Establishes a joint legislative income tax credit review committee composed of 5 House members from ways and means committee and 5 Senate members from finance committee, with no more than 3 members from the same political party on each side.

Requires the committee to determine the original purpose of existing tax credits and establish standards for evaluating their success or failure.

Evaluation standards may include the credit's history, rationale, revenue impact, whether it provided measurable benefits to Arizona (such as economic development, new investments, or job creation), and complexity of administration.

Evaluation standards shall include, to the extent practicable, a review of economic impact using dynamic analysis or other techniques that estimate taxpayer behavioral changes and modifications to economic activity patterns.

Committee shall report findings and recommendations to the president of the senate, speaker of the house, and governor by December 15 of the review year, and provide copies to the director of the Arizona state library, archives and public records.