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Arizona Senate passes Democrats bill creating low-income tax credit

The proposed $74 million plan would award the average Arizona family $128 per year.

PHOENIX — A Democratic proposal that creates a new tax credit for working low-income Arizonans has passed the Arizona Senate. 

The proposal from Democratic Sen. Sean Bowie drew support from 10 of 16 Senate Republicans and all 11 Democrats voting on Wednesday. 

Ducey included the tax credit in last month’s executive budget proposal. It was the first time in his eight years of pushing tax cuts that he pitched a benefit targeted at low-income Arizonans. 

The $74 million plan would award the average family $128 per year. A family with three children would get more than $300 a year. The measure now heads to the House for consideration.

The Earned Income Tax Credit proposal mirrors the federal credit, which provides refunds to the working poor. The proposal would benefit about 577,000 taxpayers, according to the governor's office.

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