AZ SB1004

Amends Arizona Revised Statutes section 43-407 to allow state income tax withholding on unemployment compensation payments.

Unemployment compensation payments are treated as wages for withholding purposes when an individual elects to have state income tax withheld under section 23-792, subsection A, paragraph 4.

Withholding amount is set at 10 percent of federal income tax deducted and withheld from unemployment compensation.

Requires written election by the payee to the unemployment compensation payor, accompanied by a department-prescribed form.

Allows payees to terminate withholding at any time by submitting a written request to the payor.