A new year means new laws, and that is certainly the case for Arizona in 2026. On Jan. 1, the state’s minimum wage rose to $15.15 an hour. In Tucson, it is now $15.45 an hour. This is due to Tucson Proposition 206, an initiative that voters approved in 2021.
Also happening as of Jan. 1, the business property tax exemption was increased to $500,000, while property tax exemptions expanded to 100% for disabled veterans and their spouses. The individual income tax subtraction for unreimbursed adoption expenses also increased from $3,000 to $5,000 for a single individual or head of household. For a married couple filing a joint return, it is $10,000.
Meanwhile, some laws took effect in the final months of 2025.
“Without lines built into the law specifically, it’s always 90 days after the end of the session,” said Arizona Chamber of Commerce and Industry CEO Danny Seiden. “For the most part, the end of September is when our laws were in effect.”
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