How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Richard Your Own Question
Richard, Tax Attorney
Category: Tax
Satisfied Customers: 53664
Experience:  29 years of experience as a tax, real estate, and business attorney.
Type Your Tax Question Here...
Richard is online now
A new question is answered every 9 seconds

I live in Texas. If I buy property and rent it out in Arizona

This answer was rated:

I live in Texas. If I buy property and rent it out in Arizona will I have to pay AZ Income taxes on the profits I make from Arizona? Or, will I avoid them because I reside in Texas where there is no state income tax?

Good evening. Since the income is earned in Arizona, you are required to file an Arizona state income tax return on income earned in Arizona. But, this will be net income...after the deduction of not only your out of pocket costs such as taxes, insurance, interest, maintenance, broker fees, etc., but also depreciation. This will reduce the net income subject to tax significantly.



I hope this has given you the guidance you were seeking. I wish you the best of luck!


If you have a follow-up question, please remember that there might be a delay between your follow up questions and my answers because I may be helping other clients or taking a break.


If I have adequately answered your question, even though the answer might not have been the one for which you hoped, I would appreciate it if you would please click the GREEN ACCEPT button so that I receive credit for my work; otherwise, though you have made a deposit, I do not receive credit.

If you need additional clarification on this question after clicking ACCEPT, please do not hesitate to click Reply and I will be happy to do what I can to help you further. Thanks for allowing me to be of service to you.


The information given here is not legal advice. As all states have different intricacies in their laws, the information given is general only. This communication does not establish an attorney-client relationship with you. I hope this answer has been helpful to you.

Richard and 2 other Tax Specialists are ready to help you

Related Tax Questions