Arizona Senate Republicans are wasting no time in getting down to business in a new legislative session.
In the recent newsletter published by Arizona Senate Republicans, two legislators reported on the progress made by the caucus in advancing priorities and bills in the first few weeks of the 57th Regular Session.
Senator Janae Shamp wrote, “Senate Republicans have hit the ground running this session, and I’m thrilled to share the 2025 Senate Majority Plan to guide our efforts! With Arizona’s future in mind, our agenda is built on three unshakable pillars: Securing Our Cities from the Front Door to the Border, Preserving the American Dream in Arizona, and Embracing Federalism and State Sovereignty. We stand on the threshold of possibility, entrusted with a majority that carries the hopes and expectations of every Arizonan.
Shamp added, “This session offers an opportunity to reaffirm the principles that have made Arizona a beacon of freedom and prosperity. As Senate Majority Leader, I am fully committed to advancing these priorities for the benefit of all Arizonans. By the power of the Republican-led Legislature, Arizonans can expect fiscal responsibility and commonsense bills to make it to the Governor’s desk this year. Together, we will remain unified in protecting the freedoms and constitutional rights of every citizen in Arizona.”
Senator Wendy Rogers reported on some of the key bills that her colleagues had already taken action on in various committees across the chamber. She said, “We’ve had a number of Senate bills pass out of their respective committees over the past two weeks. This is an important step in the legislative process because it allows the public and stakeholders to weigh in on legislation. As Chair of the Judiciary & Elections Committee, I’m happy to report SB 1011 passed and continues its journey through the Senate. This will provide voters results on election night, alleviating a lot of frustration and increasing confidence in the system.”
The northern Arizona lawmaker also shared the progress of three additional bills, saying, “My bill, SB 1015, passed out of Government Committee. This legislation prohibits a city, town, or county from imposing a tax or fee on the use of blockchain technology. Additionally, SB 1013 passed out of Government Committee. This bill requires a two-thirds vote of support from a local government before taxes and fees can be raised, or before new taxes can be imposed. In Senate Health Committee, SB 1076 passed and would provide newborn screening for early detection of Duchenne Muscular Dystrophy.”
Supporters says that despite a divided state government shared with Democrat Governor Katie Hobbs, Senate Republicans have deftly managed to defend Arizona’s interests against the chief executive’s attempts to proliferate her radical agenda. They – and Arizona House Republicans – are being counted upon yet again to stand up to Hobbs and to advance key priorities that affect the state’s future.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
The State of Arizona is fast-tracking a tax reduction policy through the legislature that became a staple of President Donald J. Trump’s campaign platform over the past year.
This week, the Arizona House of Representatives Committee on Ways and Means passed HB 2081, which would exempt taxation on tipped wages from the state’s individual income tax.
State Representative Gail Griffin, a Republican who was the sponsor of this legislation, said, “I worked in the service industry years ago and understand the challenges tipped employees face. Tips are an expression of appreciation from customers for services provided. Tips are gifts and, in my opinion, should not be taxed. HB 2081 ensures that Arizonans who rely on tips to support themselves and their families can keep more of their hard-earned money. I’m grateful to Chairman Olson for making this the committee’s first bill for the session.”
Another Republican lawmaker, State Representative Neal Carter, added, “A key feature of a good taxation system is voluntary compliance and simplicity of administration. Tips are often paid in real time and in strange amounts. Taxing tips simply punishes the honest because strict compliance is difficult to achieve.”
As a candidate for President, Trump announced his plan for no federal taxes on tips back in June in the State of Nevada. Shortly after Trump’s announcement last summer, his Democrat opponent, then-Vice President Kamala Harris, mirrored his proposal in an attempt to woo voters on the campaign stump. On Inauguration Day this week, the newly minted Commander in Chief riffed that he thought his campaign may have secured the State of Nevada’s electoral votes in the November General Election because of that promise.
A poll from The Associated Press-NORC Center for Public Affairs Research earlier this month showed that 54% of respondents would strongly or somewhat favor eliminating taxes on earnings from tips.
The U.S. Bureau of Labor Statistics estimates that there are 2,277,900 waiters and waitresses across the country.
The bill passed the Arizona House committee along a party-line vote – 5-3, with one Democrat member absent.
According to the Arizona Legislature’s Request to Speak system, representatives from the Republican Liberty Caucus of Arizona, Arizona Licensed Beverage Association, and Fraternal Order of Police AZ State Lodge, signed in to support the bill. Representatives from Living United for Change in Arizona, the Arizona Center for Economic Progress, and Rural Arizona Action opposed the legislation.
HB 2081 will soon make its way to the floor of the Arizona House of Representatives for a vote from the full chamber.
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
Arizona Republicans highlighted their state’s low tax rate after a recent signing of a baseball star with the hometown team.
Late last month, Corbin Burnes, a free agent pitching star, decided to sign with the Arizona Diamondbacks, shocking most onlookers, who had predicted that he would likely end up with another Major League Baseball suiter.
One report shared that Burnes made his decision based on Arizona’s lower tax rate. Burnes had been wooed by the Toronto Blue Jays and San Francisco Giants – two jurisdictions with significantly higher taxes than the Grand Canyon State.
Corbin Burnes turned down more money per year and overall but the big benefit in addition to the $35M per year, low state tax in Arizona and opt out after two years is he and his young family live in the Phoenix area. @BNightengale said CB had bigger offers from SF and Toronto
Former Arizona Governor Doug Ducey added, “I’ll be looking forward to watching Corbin Burnes in a Dbacks jersey next year – and very glad to see that Arizona’s lowest flat tax in the nation is what brought him to AZ! Sorry Gavin Newsom [&] Justin Trudeau!”
I’ll be looking forward to watching Corbin Burnes in a @DBacks jersey next year — and very glad to see that Arizona’s lowest flat tax in the nation is what brought him to AZ!
Burnes had been reportedly offered more money by the aforementioned teams before deciding to ink a deal with the Arizona Diamondbacks.
According to a post on X, the top tax rate in California is 14.4%, and the top federal and provincial tax rate in Toronto, Ontario is 53.53%. Arizona’s tax rate is 2.5% in comparison.
Arizona owes its low tax rate to the work of Governor Ducey and legislative Republicans, who enacted the transformational tax bracket in 2021.
Two staunch free-market advocates, Tim Phillips (President of Americans for Prosperity) and Grover Norquist (President of Americans for Tax Reform), wrote a piece in Newsweek, praising the accomplished feat of the Arizona Legislature, spearheaded by State Senator J.D. Mesnard and Ducey. They stated, “Arizona, on the other hand, provides a good example: lower the tax rates to let people keep more of what they earn and invest in what they care about most. Limit government spending to grow no faster than the incomes of the citizens who pay the taxes. Create a magnet for job-creating investment and hardworking Americans who simply wish to be left alone to work hard, take care of their families and support their communities.”
Phillips and Norquist added, “The Arizona reform is a positive model and one that should be followed by other states and the federal government.”
When the Arizona Supreme Court gave the green light for these tax reforms to go into effect, Arizona Free Enterprise President Scot Mussi said, “Today’s decision from the Arizona Supreme Court is a big win for taxpayers in our state. The legislature passed historic tax cuts last year that benefit all Arizona taxpayers. It’s time for Invest in Arizona and out-of-state special interest groups to accept this reality and stop making a farce of the referendum process.”
Mesnard touted the progress of his historic legislation in a campaign newsletter in January 2023, saying, “The historic tax reform that I championed in 2021 is now in effect for income earned this year – a full year ahead of schedule thanks to strong government revenues. Valued at more than $2 billion, this reform reduced individual tax rates to 2.5%, resulting in a tax cut for every single Arizona family and Arizona having the lowest flat tax in the nation.”
Daniel Stefanski is a reporter for AZ Free News. You can send him news tips using this link.
One of the highest priorities for the incoming Trump administration should be to end the Democrats’ weaponization of powerful government agencies against taxpayers and businesses they don’t like. Nowhere has this mission been more pernicious than the party-line vote to fund the Internal Revenue Service (IRS) with nearly $80 billion and hire tens of thousands of new tax snoops.
By the way, according to the IRS press office, the additional audits have so far raised less than $2 billion, far less than the additional expenditures. So how is this program “paying for itself”?
This was never about seeking tax fairness as liberals claimed. It was about unleashing an aggressive, permanent and unchecked enforcement assault on U.S. taxpayers to rake in more tax dollars to pay for liberals’ political agenda. The American people voted to end such madness, and the IRS should now act accordingly and immediately by ignoring the Biden administration’s 11th-hour efforts to ram through a slew of costly new rules and regulations as they now head toward the exit.
Progressive leaders made wildly erroneous claims that a supersized IRS would raise nearly $1 trillion over 10 years from stepped-up enforcement against higher-income earners and businesses. And they attempted to justify their proposals by broadly portraying entrepreneurs, small businesses, family-owned private enterprises and the wealthy as tax cheats.
The entire exercise was designed to harass lawful taxpayers and threaten them as guilty parties until they could prove themselves innocent.
Fortunately, most voters saw their efforts for what they were: a liberal fantasy grab of other peoples’ money and an attempt to assert greater control over their livelihoods. Democrat leaders did not help themselves by immediately oversteering the car. This included efforts to have the IRS spy on personal bank accounts and require income reporting for basic Venmo payments among friends, as well as punitive measures on those whose incomes are derived from tips or numerous other types of transactions.
Another target for IRS harassment has been business partnerships. Such businesses are one of the most common and practical ways to structure private enterprises of all sizes. A simple analogy might be when one party owns an available tractor and another has available land, and they go into business together to farm the land.
All told, there are an estimated 4.5 million business partnerships in America. Collectively, these partnerships generate more than $12 trillion in revenue and employ millions of U.S. workers.
Yet the IRS, before President-elect Donald Trump returns to office, is now stealthily attempting to implement new rules that threaten the future viability of such partnerships. These proposed changes to the tax code impact what is known as “basis shifting” — a routine and legal practice that business partners use to adjust the tax basis of their respective assets. In short, the proposed rules would deliberately embed uncertainty and subjective IRS interpretations of how taxable assets are treated when one transfers or sells their interest in a business partnership. Basically, the opposite of tax fairness.
Meanwhile, the multibillion-dollar bounty the Biden administration claimed their newly armed IRS would secure through added enforcement and new tax rules has completely failed to materialize. The IRS recently disclosed that just $1 billion had been recovered since their aggressive campaign went into effect two years ago, and there is no way of knowing if that would have occurred with or without it.
How ironic and sad is it for taxpayers to learn that the vast amount of the $80 billion Democrats awarded to the IRS to recover or find new “savings” is instead on pace to serve as a massive cost to the U.S. Treasury?
The last thing voters now want is for the IRS to impose any more costly last-minute tax changes that will make problems even worse for taxpayers, workers and employers. Accordingly, the Biden team and the IRS should put down their pencils.
And if they persist with these fourth-quarter rule changes, the Trump team should be prepared to immediately repeal them in January.
Stephen Moore is a contributor to The Daily Caller News Foundation and a visiting fellow at the Heritage Foundation. His new book, coauthored with Arthur Laffer, is “The Trump Economic Miracle.”
Against all odds, former President Donald Trump appears to have won a decisive victory and will become the 47th president of the United States. He will be only the second American in history reelected to a non-consecutive presidential term. Trump prevailed despite the opposition of every institution in America, including the corrupt media and government.
Far from merely a defeat for his notional opponent, Vice President Kamala Harris, a stand-in for the status quo, or the failed presidency of dotard Joe Biden, Trump’s victory marks a consolidation of the New Right. What lies ahead will be such a radical break that it will make Trump’s first term look like a warmup.
Many pundits across the political spectrum will hope that the election result is an aberration: that Trump is a populist who bewitched the Republican Party and then duped the electorate. Perhaps he won because of Biden’s decay, the late switch to Harris, or an electorate that the elite deems too stupid to understand how good it has it.
Unfortunately for the doubters, the reality is far more stark than merely a transient setback or misunderstanding. Trump is the vehicle. The force behind his victory marks a fundamental turning point in U.S. history and the politics of the right around the world. This is not the high-water mark of the fight against the system. Rather this marks a critical mass in the effort to replace that system.
Trump’s first victory in 2016 was a willingness by a public angered by a lost decade of economic stagnation and lost wars to give an unknown outsider a chance to mix things up. His second victory is a decision by that electorate, which now has his measure precisely, to supplant a corrupt system that runs through American and western society — a feckless compilation of self-appointed referees known also as the “elite” or the “establishment.”
What was whimsy then is now determination and it is much bigger than just Trump. The system put everything it had into this election and it lost.
Those at home and abroad who have estranged themselves from the MAGA movement will take false solace from Trump’s previous term. This time will be different. The degree to which Trump changes America will depend on the effectiveness of his administration and an always-disappointing Congress. But it will be different.
In broad terms, one should assume that Trump will reduce regulations and taxes to spur the productive part of the economy. Conceptually, his polices will supplant globalism with nationalism, including higher tariffs.
He will dispense with the progressive religions of climate change alarmism and racism under the banner of diversity. Despite being a late addition to his campaign, he will seek reductions in government spending except Social Security and Medicare.
Internationally, he will devote fewer resources and less time to irrelevant or exotic alliances and partnerships, focusing instead on ones that matter most. He will order the largest deportation program since the Eisenhower administration. However, he will otherwise seek the reduction of the national security state, especially the intelligence bureaucracy, the Justice Department and the secret police, all of which sought to undermine his presidency and reelection campaigns.
The big question is how far Trump wants to go and how far he will be able to go. In a nation of 335 million, it theoretically should not be hard to find effective and loyal people to fill the roughly 4,000 politically appointed positions in the executive branch. Yet subject-matter expertise in government and a willingness to confront the swamp while living in it are evidently rare qualities.
Trump One had more than its fair share of appointees who were indifferent or opposed to the president’s wishes, joined by two million federal civilian employees, most of whom hated his guts. Trump’s own aides recognized the failure with personnel and were planning big changes in a second term. Trump himself acknowledged the problem in his recent podcast with Joe Rogan.
If Trump and his top lieutenants manage personnel better — acknowledging that some duds and flops among appointees are impossible to avoid entirely — his impact will be magnified greatly. His term could see big tech broken up, the military transformed radically and reoriented to the Pacific, the seeds planted for the type of news media that America deserves, the border secured and all illegals deported, mass reductions in government employment and handouts in order to balance the budget, and universities regulated to teach real things instead of disdain for America.
However, no matter how well Trump does, one thing is already clear. The New Right he has helped to create is now not only dominant but insurmountable on its side of the political spectrum. The “NeverTrump” Republicans may still land some media money, but they no longer exist as a political force.
They have gone the way that Rockefeller Republicans did during the Reagan administration. The fact that anyone under fifty will have to look up what a “Rockefeller Republican” was is a testament to their extinction — and that of today’s opponents of Trump and the New Right among Republicans.
A final point is that this election’s rebuke of the system is not just political but cultural as well. Trump and the rise of the New Right are not just about the economy, inflation, tax rates and America losing. It is also a cultural shift. The system told Americans that voting for Trump would lead not just to bad policy but was morally wrong. He is a (fake) felon. He is a (fake) fascist. He is a lout and a liar — or so came the word from the system’s hypocrites projecting their own traits on Trump.
Electing Trump was a rejection of this schoolmarmery. It is a rejection of they/them pronouns, tampons in boys’ rooms, school shutdowns, neurotic Karens who politicize everything, celebrities who deign to preach, attempts to emasculate the military and everything else in America, and all of the other progressive passions. Trump’s election marks a return to normalcy in which merit and achievement are celebrated instead of politics and preening.
Like President Calvin Coolidge observing that “the chief business of the American people is business,” it is a deliberate turn inward, a focus on real life, and a decision to keep politics in its place.
Presumably there will be much emoting ahead. Who can forget the screaming woman at Trump’s first inauguration or the boo-hoo look on the faces of reporters for most of the following four years? (I was reminded of my own return to State Department headquarters after President George W. Bush’s 2004 reelection — I had Darth Vader’s “Imperial March” tune in my head as I enjoyed all of the sadder-than-usual faces.) Less amusing were the Russia hoax, the phony Ukraine impeachment, and the “Summer of Love” riots orchestrated by Antifa and BLM.
Who knows what lies ahead this time. But it is important to keep in mind that Trump and his policies have a clear mandate from the republic he will soon lead again. The country has spoken. And the country and the world will be changed.
Christian Whiton is a contributor to the Daily Caller News Foundation. He was a State Department senior advisor in the Trump and Bush administrations. He is a senior fellow at the Center for the National Interest and a principal at DC International Advisory. The author of “Smart Power: Between Diplomacy and War,” he co-hosts the “Domino Theory” podcast and edits “Capitalist Notes” on Substack. This article was first published on “Capitalist Notes.”
