AZ HCR2031

Creates a new income tax subtraction for federal law enforcement officers' retirement benefits and the Corrections Officer Retirement Plan and Public Safety Personnel Retirement System benefits, allowing the full amount received to be subtracted from Arizona gross income.

Modifies existing subtraction language to clarify that uniformed services retired pay and federal law enforcement officer benefits qualify for a full subtraction under the new paragraph 26 rather than being limited to $2,500 under paragraph 2.

Excludes Corrections Officer Retirement Plan and Public Safety Personnel Retirement System benefits from the $2,500 limitation in paragraph 2, making them eligible for full subtraction instead.

Adds law enforcement officer compensation as an active service exclusion, allowing peace officers in Arizona and federal law enforcement officers to subtract compensation for active service from Arizona gross income.

Requires voter approval through submission to the electorate at the next general election as a referendum measure.