AZ HB2817

Extends the tax year limitation for Arizona individual income tax subtractions for contributions to college savings plans established under Internal Revenue Code section 529 by removing the December 31, 2012 expiration date.

Allows taxpayers to subtract contributions made during the taxable year to section 529 college savings plans from Arizona gross income, up to $750 for single filers/heads of household and $1,500 for married couples filing jointly.

Permits married couples filing separately to divide the $1,500 subtraction between them, with combined total not exceeding $1,500.

Applies the subtraction only to contributions not already deducted in computing federal adjusted gross income.