Arkansas Arkansas Income Tax Instruction Booklet

Arkansas Income Tax Instruction Booklet
Tax Instruction Booklet
Arkansas 2023
Individual Income Tax
Forms and Instructions

Governor Sarah Huckabee Sanders

Pedestal Rocks Scenic Area, Witt Springs, AR. Photo courtesy Arkansas Department of Parks, Heritage and Tourism https://www.arkansas.com/

Full Year Resident....................................AR1000F
Non-Resident............................................AR1000NR
Part Year Resident....................................AR1000NR
Need help deciding which form to use?
Contact our office for assistance at (501) 682-1100 or
(800) 882-9275 or [email protected].

Need additional forms? Scan this:

Page 2

CONTENTS
Tax Help and Forms ........................................................................................................... 4
Electronic Filing................................................................................................................... 5
Identity Theft ....................................................................................................................... 5
Special Information for 2023 ............................................................................................... 6
If the IRS Audits You ........................................................................................................... 7	
Information Exchange Programs with the IRS .................................................................... 7
Preservation of Tax Records ............................................................................................... 7
Request Copies of Arkansas Tax Returns .......................................................................... 7
Military Personnel ............................................................................................................... 8
	
Definitions ........................................................................................................................... 9	
.
	Instructions .................................................................................................................. 10-16
Form Inserts:
	AR1000F
AR1000NR
AR3
AR4
AR1000ADJ
AR-OI
AR1000D
AR2441
AR1000TC
AR1000CO
AR4684
Consumer Use
Voter Registration

.

Instructions for Form AR3, Itemized Deduction Schedule ........................................... 17-18
Student Loan Interest Worksheet ..................................................................................... 19
IRA Phase Out Chart ........................................................................................................ 19
Self-Employed Health Insurance Deduction Worksheet ................................................... 20
Mileage and Depletion Allowances ................................................................................... 20
Depreciation Information .................................................................................................. 20
How to Fill Out Your Check ............................................................................................... 20
Inflationary Relief Income Tax Credit Worksheet .............................................................. 21
Additional Tax Credit For Qualified Individuals Worksheet ............................................... 22
For Taxpayers’ Information................................................................................................ 23	
Taxpayer Bill of Rights ...................................................................................................... 24
Low Income Tax Tables ............................................................................................... 25-26
Regular Tax Table ........................................................................................................ 27-31
Request For Copies of Arkansas Tax Returns and W-2S (Form AR4506) ....................... 32
Individual Income Tax Penalty and Interest Waiver Request ............................................ 33
Index to Instructions ......................................................................................................... 35
Before Mailing Your Return Checklist .................................................................Back Cover

Page 3

TAX HELP AND FORMS

 Internet
	
	

You can access the Department of Finance and Administration’s
website at www.dfa.arkansas.gov.
	 
	 Check the status of your refund
	 
	 Get current and prior year forms and instructions
	 
	 Access latest income tax info and archived news
	 
	 Get e-file information
You can e-mail questions to:
		

[email protected]

 Phone
	
	

Individual Income Tax Hotline.................................. (501) 682-1100
	
or (800) 882-9275
Representatives are available to assist callers at the
numbers above during normal business hours (Monday
through Friday from 8:00 a.m. to 4:30 p.m.) with:
		 Taxpayer Assistance	

	 Notices Received
		 Forms	
	 Amended Returns
		 Audit and Examination	 
	 Payment Information
For hearing impaired access, call (800) 285-1131 using a
Text Telephone Device (for Spanish, call (866) 656-1842).
Other useful phone numbers:
		
Tax Credits....................................... (501) 682-7106
		
Withholding Tax............................... (501) 682-7290
		 Collections....................................... (501) 682-5000
		
Revenue Legal Counsel.................. (501) 682-7030
		
Corporate Income Tax..................... (501) 682-4775
		
Sales and Use Tax........................... (501) 682-7104
		
Problem Resolution and.................. (501) 682-7751
			
Tax Information Office (Offers In Compromise)
		
		
		

Internal Revenue Service................ (800) 829-1040
Social Security Administration......... (800) 772-1213
ATAP Helpline................................. (877) 280-2827

	Forms
	

To obtain a booklet or forms you may:

		
	

1.	 Access our website at:
www.dfa.arkansas.gov/income-tax

	

2.	 Visit your county revenue office

	

ATAP
	

Arkansas Taxpayer Access Point (ATAP) allows taxpayers
or their representatives to log on to a secure website and
manage their account online. Please contact ATAP helpline
for registration requirement questions.
Access ATAP at www.atap.arkansas.gov to:
	
		
	 	
		
	
	

Make Tax Payments
Make Estimated Tax Payments
Make name and address changes
Check refund status
View account letters
View 1099-Gs

(Registration is not required to make payments, check
refund status or view 1099-Gs.)

 Mail

	
	

Choose the appropriate address below to mail your return:
	 TAX DUE RETURN:
		
Arkansas State Income Tax
		
P.O. Box 2144
		
Little Rock, AR 72203-2144
	 REFUND RETURN:
		
Arkansas State Income Tax
		
P.O. Box 1000
		
Little Rock, AR 72203-1000
	 NO TAX DUE/REFUND RETURN:
		
Arkansas State Income Tax
		
P.O. Box 2144
		
Little Rock, AR 72203-2144
Be sure to apply sufficient postage or your return will not
be delivered by the U.S. Postal Service. If you choose to
use a carrier other than USPS, you MUST use the physical
address located below.

	
	

Walk-In

Representatives are available to assist walk-in taxpayers
with income tax questions, but are not available to prepare
your return.
No appointment is necessary, but plan to arrive before
4:00 p.m. to allow sufficient time for assistance.

		

3.	 Visit your local library or

The Individual Income Tax Office is located at 1816 W. 7th
Street Suite 2300, Little Rock, Arkansas 72201.

	

4.	 Call the Individual Income Tax Hotline
(501) 682-1100 or (800) 882-9275

Office hours are Monday through Friday from 8:00 a.m. to
4:30 p.m.

Page 4

	

ELECTRONIC FILING
www.arkansas.gov/efile
	 E-file is hassle-free both your federal and Arkansas income tax returns can be
filed electronically in one transmission.
	 E-file is smart computer programs catch 98% of tax return errors.
	 E-file is worry-free receive acknowledgement within 2 to 3 business days if your
return has been received and accepted.
Arkansas participates in the Federal/State Electronic Filing Program for Individual
Income Tax. The program is available to most full year residents and certain qualifying
nonresidents and part year residents.
Since Arkansas is a member of the “Free File Alliance,” depending on the level
of income, taxpayers may qualify to file returns for free.  (Go to www.arkansas.
gov/efile for details.)
The State of Arkansas is requesting additional information this filing season in an
effort to combat identity tax fraud and ensure that your hard-earned tax refund goes
to you. Providing information from your driver’s license or state-issued identification
card will help protect your identity and could help process your return quicker.
However, this is only a request. Information from your driver’s license is not required,
and your return will be processed without the additional information. The information
is being requested solely to help protect your identity and ensure a more-secure
refund.

	

IDENTITY THEFT

In recent years, identity theft associated with income tax returns has become an increasingly severe problem.
Sometimes thieves steal a taxpayer’s Social Security Number and other private information then use this information
to file tax returns and receive refunds that were not due to them.  
If you believe your identity may have been used to file an Arkansas state tax return, these are the steps we suggest
you take:
	Contact us at (501) 682-1100 to report that your identity may have been stolen and request a hold on your
account to stop all fraudulent refunds.
	Contact the IRS Identity Protection Specialized Unit at (800) 908-4490 and inform them that your identity was
stolen and may have been used to file a fraudulent tax return.  You should complete IRS Form 14039, an
identity theft affidavit, to support your claim.
	Send a copy of the stamped IRS identity theft affidavit form to: Arkansas Individual Income Tax, PO
Box 3628, Little Rock, AR 72203-3628
	Contact the credit bureaus to ensure there have not been any other thefts related to your identity, and ask to
have a fraud alert put on your credit report. The numbers for the credit bureaus are listed below:
      ●  Equifax - (800) 525-6285

●  Experian - (888) 397-3742

●  Trans-Union - (800) 680-7289
Page 5

SPECIAL INFORMATION FOR TAX YEAR 2023
Individual Income Tax Rate Reduction (Act 532 of the General Session of 2023):
Marginal Income Tax rates for 2023 have been amended and the top rate will be reduced to 4.7%.
Pass-Through Entity Tax
If you are a member of an entity that participate in Pass-Through Entity Tax include all income from the PET return on the
Individual return. Use the AR-OI form to back out the income or losses that were reported on the Pass-Through level.
Inflationary Relief Income - Tax credit (Act 6 of the First Extraordinary Session of 2023)
Allows for a full year Arkansas resident having a net income up to $103,600 an additional tax credit of up to $150.
Additional Tax Credit for Qualified Individuals (Act 1 of Second Extraordinary session of 2021)
Allows for an individual taxpayer having a net income up to $26,100 who timely files a tax return an additional tax credit.
Philanthropic lnvestment in Arkansas Kids Program Scholarship Credit (Act 904 of 2021)
Creates a tax credit for eligible contributions made to a scholarship-granting organization. The total amount of tax credits
awarded in a year shall not exceed $6 million. This limit was raised from the previous $2 million limit in the Act 237
(LEARNS Act) of the General Session of 2023
Remote Work (Act 1019 of the General Session of 2021)
A nonresident who is paid a salary, lump sum payment, or any other form of payment for work inside and outside of
Arkansas is only taxed on the amount of income while physically located inside of Arkansas. For remote workers who
perform all of their duties from outside Arkansas, no income would be taxed. If duties performed are a combination of inside
and outside of Arkansas, only the portion that reasonably can be allocated to work performed in Arkansas is taxable.
Credit for Developmentally Disabled Dependents (Act 191 of the General Session of 2023)
Removed the expiration date of the certification form and made the certification good for the life of the developmentally
disabled individual. This certification will follow the developmentally disabled individual instead of the taxpayer, allowing it to
be transferred from one caretaker to another without recertification. The certification form has been renamed the
AR1000-DD (formerly AR1000RC5).
Historic Rehabilitation Credit (Act 650 and Act 651 of the General Session of 2023)
Act 650 increases the amount of the Arkansas Historic Rehabilitation Tax Credit and creates a tiered system to incentivize
investment in smaller communities. It raised the credit from 25% of investment to a scale of 30%-40% depending on the
population of the city in which the project occurs.
Act 651 extended the application period end date from June 30, 2025 to June 30, 2030.
Teacher and Retired Teacher Death Benefits (Act 171 of the General Session of 2023)
Among other issues addressed, Act 171 allows teacher and retired teacher death benefits from the Arkansas Teacher
Retirement system to be distributed to multiple beneficiaries if requested or to the estate if no beneficiaries are named or
survive to receive benefits. Such death benefits are exempt from Arkansas income taxes.
Additional changes can be found on our website www.dfa arkansas.gov/income-tax
Page 6

IF THE IRS AUDITS YOU
If the Internal Revenue Service examines your return for any tax year and changes your net taxable income, you must report
the changes to the Arkansas Department of Finance and Administration within one hundred eighty (180) days from the receipt
of the notice and demand for payment by the Internal Revenue Service.
File an Amended Individual Income Tax Return for the year(s) involved reporting the changes to your state return. Attach a
copy of the federal changes.
If you fail to notify this Department within one hundred eighty (180) days and do not file the required amended return, the
Statute of Limitations will remain open for three (3) years on the year(s) in question.  Additional interest will be figured on any
tax you owe the State of Arkansas.

INFORMATION EXCHANGE PROGRAMS WITH THE IRS
Under authorization of Internal Revenue Code Section 6103(D) the State of Arkansas participates in several information
exchange programs with the Internal Revenue Service:
	 CP2000: The IRS matches income reported on a taxpayer’s federal income tax return with documents (W-2s, 1099s,
etc.) provided to the IRS by the payer to determine whether income was omitted from the taxpayer’s return. If unreported
income is discovered, the IRS assesses additional federal tax on the omitted income then notifies the State of Arkansas.  
The taxpayer’s state tax return is then reviewed for unreported income. (Some examples of commonly omitted income
include wages, pensions, and cancellation of debt.)
	 Examination Operational Automation Database “EOAD”: When the IRS adjusts a taxpayer’s federal income
tax return as the result of an audit, details are provided to the State of Arkansas. The taxpayer’s state tax return is
then reviewed and adjusted if appropriate. (Some examples of EOAD adjustments include disallowance of deductions,
expenses, or dependents and assessment of early withdrawal penalties.)
	 Non-filer Identification: The IRS provides the Arkansas Department of Finance and Administration with a list of
taxpayers who filed federal returns using Arkansas addresses.  This information is then compared with Arkansas income
tax records to identify individuals who filed federal returns using Arkansas addresses but did not file Arkansas returns.  
Letters are sent inquiring whether the taxpayer is required to file.  The taxpayer should file the return in question or provide
documentation why he/she is not required to file.  If a sufficient response is not received, state tax is assessed using
amounts reported on the taxpayer’s federal return, and the taxpayer is mailed a Notice of Proposed Assessment.

PRESERVATION OF TAX RECORDS
A taxpayer who files an Arkansas income tax return is required to retain records to prove the accuracy of that return.  The
records must be retained for at least six (6) years (unless otherwise provided by law) and are subject to examination by the
Director at any reasonable time during that period.
When a taxpayer fails to preserve and maintain the required records, the Director may make an estimated assessment based
upon any available information as to the amount of tax due by the taxpayer. Per ACA 26-18-506, the burden of proof of
refuting this estimated assessment is upon the taxpayer.

REQUEST FOR COPIES OF ARKANSAS TAX RETURNS
If your tax return was completed by a paid tax preparer, he/she should be able to provide a copy of the return. If you used
a software product to prepare your tax return, you should be able to print a copy of the tax return from the software used.
Otherwise to request a copy of your Arkansas tax return, please complete and submit Form AR4506. Form AR4506 is included
in this book and can also be downloaded from our website at: www.dfa.arkansas.gov/income-tax/forms

Page 7

MILITARY PERSONNEL
Active-Duty Military

Under federal law, a military servicemember’s state of legal residence does not change solely as the result of the servicemember’s assignment for service in another state. An Arkansas resident who enters into military service will remain an Arkansas
resident unless they officially change their state of legal residence as described in DD Form 2058. Military servicemembers
who are Arkansas residents are subject to the same income tax filing requirements as other Arkansas residents, even if they
are serving in another state. These requirements are described under the heading “Who Must File A Tax Return”

Military Pay Exemption (Act 1408 of 2013):
Provides a 100% exemption from income tax for service pay or allowance received by an active-duty member of the armed
forces for tax years beginning on or after January 1, 2014. Active duty includes all members of the armed forces, including the
National Guard and Reserve Units. You must file to claim the exemption.

Military Spouses Residency Relief Act:
Exempts a military spouse’s income from Arkansas tax if the servicemember’s Home of Record is not Arkansas and the
spouse’s domicile is the same as the service member’s Home of Record. Effective January 1, 2009. Write the words
“military spouse” at top of tax return and attach a completed Form AR-MS (available at www.dfa.arkansas.gov/income-tax/
forms) and a copy of service member’s Leave and Earning Statement (LES) to verify Home of Record. (For future tax
purposes, the nonmilitary spouse must submit a new payroll withholding form ARW-4MS, to his/her employer each year to
exempt future withholding.)

The Military Family Tax Relief Act of 2003 (Act 372 of 2009):
This act adopts IRC 121, 134, and 162 as in effect on January 1, 2009.  Provisions of this act include exclusion of gain on sale
of principal residence, deduction of overnight travel expenses for National Guard and Reserve members, and exclusion from
income of “qualified military benefits”.

Military Retirement Exemption (Act 141 of 2017):
Beginning with tax year 2018, retirement benefits received by a member of the uniformed services as defined in this Act
are exempted from income tax. Retirees cannot claim the $6,000 exemption for traditional or employer sponsored distributions
if their military retirement exemption exceeds $6,000. If the military retirement exemption is less than $6,000, the remaining
amount of the exemption may be taken for traditional or employee sponsored distributions. Please see instructions for lines
18A and 18B for details.

The Servicemembers Civil Relief Act:
Deferral of Tax - Upon notice to the Internal Revenue Service or the tax authority of a state or a political subdivision
of a state, the collection of income tax on the income of a servicemember falling due before or during military service
shall be deferred for a period not more than 180 days after termination of or release from military service, if a service
member’s ability to pay such income tax is materially affected by military service.
Accrual of Interest or Penalty - No interest or penalty shall accrue for the period of deferment by reason of
nonpayment on any amount of tax-deferred under this section.
Statute of Limitations - The running of a statute of limitations against the collection of tax-deferred under this
section, by seizure or otherwise, shall be suspended for the period of military service of the servicemember and for an
additional period of 270 days thereafter.
Residence or Domicile - A servicemember shall neither lose nor acquire a residence or domicile for purposes of
taxation with respect to the person, personal property, or income of the servicemember by reason of being absent or
present in any tax jurisdiction of the United States solely in compliance with military orders.
Military Service Compensation - Compensation of a servicemember for military service shall not be deemed to
be income for services performed or from sources within a tax jurisdiction of the United States if the servicemember is
not a resident or domiciliary of the jurisdiction in which the servicemember is serving in compliance with military orders.

RETIRED MILITARY PERSONNEL
Extension of Time for Veterans (Retirees) to File for Refund (Act 238 of 2009):
This act extends the statute of limitations for a veteran to file a claim for refund of an overpayment that results from retroactive
determination by the Secretary of Veterans Affairs that part or all of the uniformed service retirement payments to the taxpayer
are payments made for a service-connected disability and are not included in gross income.  Effective January 1, 2001.
Page 8

DEFINITIONS
GROSS INCOME
Gross income is any and all income (before deductions) other than income specifically described as exempt from tax on
pages 10 and 11 “Exempt From Income Tax”.
Exception: The $6,000 exemption on retirement income, exemption on U.S. active-duty military
income and military retirement as described on pages 10-11 are included in gross income.
DOMICILE
This is the place you intend to have as your permanent home and the place you intend to return to whenever you are
away. You can have only one domicile. Your domicile does not change until you move to a new location which you intend
to make your permanent home. If you move to a new location but intend to stay there only for a limited time (no matter
how long), your domicile does not change. This also applies if you are working in a foreign country.
FULL YEAR RESIDENT
You are a full year resident if you lived in Arkansas all of calendar year 2023, or if you have maintained a domicile or Home
of Record in Arkansas during the tax year.
NONRESIDENT
You are a nonresident if you did not make your domicile in Arkansas.
PART YEAR RESIDENT
You are a part year resident if you established a domicile in Arkansas or moved out of the state during calendar year 2023.
MILITARY PERSONNEL
If Arkansas is your Home of Record and you are stationed outside of Arkansas, you are still required to file an AR1000F
reporting all of your income, including U.S. active-duty military compensation. However, active-duty military compensation
is exempt from Arkansas tax beginning in tax year 2014. (If you are stationed in Arkansas and your Home of Record is
another state, Arkansas does not tax your U.S. active-duty military compensation.)
U.S. active-duty military compensation includes wages received by members of the Army, Navy, Air Force, Marine Corps,
Coast Guard, National Guard, and Reserve Units.
DEPENDENTS
You may claim as a dependent any person who received over half of his or her support from you, earned less than $4,400
in gross income, and was your:
	
	
	

Child	
Stepchild	
Mother	
Father	
Grandparent	Brother
Sister	
Grandchild	 Stepbrother	Stepsister	 Stepmother	Stepfather
Mother-In-Law	 Father-In-Law	 Brother-In-Law	Sister-In-Law	 Son-In-Law	
Daughter-In-Law

Or, an individual (other than your spouse) who, for the tax year of the taxpayer, had the same principal place of abode as
the taxpayer and was a member of the taxpayer’s household. Or, if related by blood: Uncle, Aunt, Nephew, Niece. The
term “dependent” includes a foster child if the child had as his or her principal place of abode the home of the taxpayer
and was a member of the taxpayer’s household for the taxpayer’s entire tax year.
The term “dependent” does not apply to anyone who is a citizen or subject of a foreign country UNLESS that person is a
resident of Mexico or Canada.
If your child/stepchild was under age 19 at the end of the year, the $4,400 gross income limitation does not
apply. Your child/stepchild may have earned any amount of income and still be your dependent if the other dependency
requirements in this section were met.
If your child/stepchild was a student under age 24 at the end of the calendar year, the $4,400 gross income
limitation does not apply. The other requirements in this section must be met.
To qualify as a student, your child/stepchild must have been a full-time student for five (5) months during the
calendar year at a qualified school, as defined by the Internal Revenue Service.
If your dependent died during the tax year, you may claim the full amount of tax credit for the dependent on your tax
return regardless of when the death occurred during the year.
Arkansas has adopted Internal Revenue Code §151(c)(6) regarding the tax treatment of kidnapped children.
Page 9

INSTRUCTIONS
THESE INSTRUCTIONS ARE FOR GUIDANCE ONLY AND DO NOT STATE THE COMPLETE LAW

WHO MUST FILE A TAX RETURN
FULL YEAR RESIDENTS (Use Form AR1000F)

	 If your	
and your	
	
	 MARITAL STATUS	
FILING STATUS		
	 is:	
is:		
	Single (Including divorced	Single		
	 and legally separated)		

file if GROSS
INCOME*
is at least
$13,850

		
Head of Household with 1 or no dependents	
$19,692
		
		
Head of Household with 2 or more dependents	 $23,473
	
	 Married	
Married Filing Joint		
$23,357	
		
with 1 or no dependents				
						
		
Married Filing Joint		
$28,111
		
with 2 or more dependents
			
		
Married Filing Separately		
$9,140
	 Surviving Spouse in	
	 2021 or 2022, and not	
	 remarried in 2023	

Surviving Spouse with 1 or no dependents	

$19,692	

Surviving Spouse with 2 or more dependents	

$23,473

*Gross income is all income (before deductions) other than income specifically 	
described as exempt on pages 9 and 10 “Exempt From Income Tax.”
Exception: The $6,000 exemption on retirement income, exemption on U.S. active
duty military income and military retirement as described on pages 9 -10 are included
in gross income.
If your gross income was less than the amount shown in the last column for your filing status, you are
not required to file a return. However, you must file a return to claim any refund due.

NONRESIDENTS (Use Form AR1000NR)
Nonresidents who received any gross income from Arkansas sources must file a return
(regardless of marital status, filing status, or amount).
Remote workers must file if the employer reports Arkansas taxable income.

PART YEAR RESIDENTS (Use Form AR1000NR)

NOTE:	 The maximum extension that will be
granted to an individual on an AR1055-IT is
two hundred and ten (210) days, extending
the Arkansas due date until November 15th.
When you file your return, check the box indicating
you filed a state extension. If the box on the
front of your return is not checked, you
will not receive credit for your federal or
state extension.
An extension extends the amount of time to file
your return, but does not extend the amount of
time to pay. Any tax due must be paid by April 15,
2024 to avoid failure to pay penalty and interest.
Payments made on extension should be made using
the voucher attached to Form AR1055-IT.

See Page 15 for information on
penalties and interest.

EXEMPT FROM INCOME TAX
NOTE:	 List exempt income on AR4, Part III.
(You do not need to list exclusion
amounts from numbers 11-13.)
1.

Military Pension received as a member of
the uniformed services.

2.

Money you received from a life insurance
policy because of the death of the person
who was insured is exempt from tax.

NOTE:	 You must include as taxable income any
interest payments made to you from the
insurer (the insurance company that
issued the policy).
3.	

Money you received from life insurance, an
endowment, or a private annuity contract for
which you paid the premiums is allowed cost
recovery pursuant to Internal Revenue Code
§72.

4.	

Amounts you received as child support
payments are exempt from tax.

5.	

Gifts, inheritances, bequests, or devises
are exempt from tax.

6.	

Scholarships, fellowships, and grants are
taxed pursuant to Internal Revenue Code §117.
(Stipends are fully taxable.) For additional
information on scholarships, fellowships, and
grants see instructions for Line 22 on Page
13.

7.	

Interest you received from direct United
States obligations, its possessions, the State
of Arkansas, or any political subdivision of the
State of Arkansas is exempt from tax. (Interest
received on tax refunds is not exempt income,
because it did not result from a debt issued by
the United States, the State of Arkansas, or any
political subdivision of the State of Arkansas.)
Interest from government securities paid to
individuals through a mutual fund is exempt
from tax.

Part year residents who received any gross income while an Arkansas resident must file a return
(regardless of marital status, filing status, or amount).

WHEN TO FILE

IF YOU NEED MORE TIME

You can file your calendar year original tax return
any time after December 31, 2023, but NO LATER
THAN April 15, 2024, (unless an extension has
been granted).

If you request an extension of time to file your federal
income tax return (by filing federal Form 4868
with the IRS) you are entitled to receive the same
extension on your Arkansas income tax return. The
federal automatic extension extends the Arkansas
deadline to file until November 15th.

If you file a fiscal year tax return, your return is due
NO LATER THAN three and one-half (3 ½) months
following the close of the income year.
NOTE:	 The date of the postmark stamped by
the U.S. Postal Service is the date you
filed your return.
If the due date of your return falls on a Saturday,
Sunday, or legal holiday, the return will be considered
timely filed if it is postmarked on the next business
day.
Statute of Limitations – Refunds. An amended
return or claim for refund of an overpayment must
be filed by the taxpayer within three (3) years from
the time the return was filed or two (2) years from
the time the tax was paid, whichever is later.
Page 10

The Department no longer requires that a copy of
federal Form 4868 be attached to your state tax
return. When your Arkansas return is complete and
ready to file, simply check the box on the face of
the return indicating you filed a federal extension.
If you do not file a federal extension, you can file an
Arkansas extension using Form AR1055-IT before
the filing due date of April 15th. Inability to pay
is not a valid reason to request an Arkansas
extension. Send your request to:
	
	
	
 	

Individual Income Tax Section
ATTN: Extension	
P.O. Box 8149
Little Rock, AR 72203-8149

8.	

Social Security benefits, VA benefits, Workers’
Compensation, Railroad Retirement benefits
and related supplemental benefits are exempt
from tax.
Railroad Retirement Benefits exempt from
income tax include tier I, tier II, vested dual
benefits (VDB), and supplemental annuity
payments reported on Form(s) RRB-1099-R
and/or RRB-1099. Private pensions
reported on form 1099-R from railroad
companies are not considered exempt
Railroad Retirement Benefits.

9.	

The rental value of a home or the housing
allowance paid to a duly ordained or licensed
minister of a recognized church is exempt to
the extent that it was used to rent or provide a
home. The rental value of a home furnished
to a minister includes utilities furnished to
the minister as part of compensation. The
housing allowance paid to a minister includes
an allowance for utilities paid to the minister
as part of compensation to the extent it was
used to furnish utilities in the home.

10.	 Disability income MAY BE exempt from tax
pursuant to Internal Revenue Code §104.
11.	 Beginning with tax year 2014, U.S. active-duty
military compensation is exempt from tax. To
claim the exemption, you must file a return and
report all of the income you received during
the year.
12.	 If you received income from an employersponsored retirement plan, including disability
retirement, that is not exempt under IRC §104,
the first $6,000 is exempt from tax.   If you
contributed after-tax dollars to your plan, you
are allowed to recover your cost (investment)
in your retirement plan in accordance with
Internal Revenue Code §72.  Then the first
$6,000 of the balance is exempt from tax.
13.	 If you received a traditional IRA distribution
after reaching age fifty-nine and one-half (59
1/2), the first $6,000 is exempt from tax. Your
traditional IRA distribution may be adjusted
for nondeductible IRA contributions, if any, by
completing Federal Form 8606 and attaching it
to your Arkansas return. Premature distributions
made on account of the participant’s death or
disability also qualify for the exemption. All other
premature distributions or early withdrawals
(including, but not limited to, those taken for
medical expenses, higher education expenses
or a first-time home purchase) do not qualify
for the exemption.
A surviving spouse qualifies for the exemption;
however he/she is limited to a single $6,000
exemption.
NOTE:	 Total exemptions from all plans described
under 12 and 13 cannot exceed $6,000
per taxpayer, not including recovery of
cost.
14.	 Beginning with tax year 2017, income received
by a taxpayer under the Community Match
Rural Physician Recruitment Program is
exempt from income tax.

15.	 Public Service Loan Forgiveness: Under
current Arkansas law, the amounts discharged
under the Public Service Loan Forgiveness
(“PSLF”) program should be excluded from
gross income but amounts discharged from
other programs would be included in gross
income for Arkansas income tax purposes.

FILING AN AMENDED RETURN
If filing an amended return, check the
box at the top right corner of Form AR1000F/
AR1000NR. Complete the return, replacing the
incorrect entries from your original return with the
amended entries. Attach an explanation and
supporting documentation for items changed.
(Do not file an amended return until after your
original return has been processed.)
Amended return needed:
•	
to make changes or adjustments to your original
return
•	
if the IRS examines your federal return for any
tax year and changes your net taxable income
(required to file an Arkansas amended return
within 180 days of IRS notification)
Amended return NOT needed:
•	
to correct an address You must provide
a completed Individual Income Tax Account
Change Form located on our website at
www.dfa.arkansas.gov
•	
to correct a Social Security Number
Call (501) 682-1100 or write to Individual
Income Tax Section, P.O. Box 3628, Little
Rock, AR 72203. You may be asked to provide
documentation
•	
if you are notified by the Income Tax Section
that there is an error on your original return
•	
if filing a federal amended return with no impact
on your Arkansas income tax return

1099-G

FILING STATUS
DETERMINE YOUR FILING STATUS
BOX 1.	 Filing Status 1 (Single)
Check this box if you are SINGLE or UNMARRIED
and DO NOT qualify as HEAD OF HOUSEHOLD.
(Read the instructions for BOX 3 to determine if you
qualify for HEAD OF HOUSEHOLD.)
BOX 2.	 Filing Status 2 (Married Filing 	
	Joint)
Check this box if you were MARRIED and are filing
jointly. IF YOU ARE FILING A JOINT RETURN,
YOU MUST ADD BOTH SPOUSES’ INCOME
TOGETHER. Enter the total amount in column A
on Lines 8 through 23 under “Your/Joint Income”.
MARRIED COUPLES
BEST FILING STATUS

CHOOSING THE

If you and your spouse had separate incomes, you
might save money by figuring your tax separately
using one of the following two methods. Use the
method that suits you best.
	
METHOD A.	
List your income separately under Column A (“Your
Income”). List your spouse’s income separately
under Column B (“Spouse’s Income”). Figure your
tax separately and then add your taxes together.
See instructions for Married Filing Separately on
the Same Return, Box 4.
If you use Method A, your result will be either a
COMBINED REFUND or a COMBINED TAX DUE.
	
METHOD B.	
You must file separate individual tax returns. See
instructions for Married Filing Separately on Different
Returns, Box 5.

Arkansas no longer mails paper 1099Gs. Instead, we ask that you get this
information from our website at www.
atap.arkansas.gov. If you wish for us to
mail you a paper 1099-G instead, please
check the box located below address
section on P1 of the AR1000F/AR1000NR.

If you use Method B, one of you may owe tax and
the other may get a refund. The tax due must be
paid with the proper tax return and the refund will be
due on the other return. YOU MAY NOT OFFSET
ONE AGAINST THE OTHER.

Remote workers who file a non-resident return
should check the box on Page 1 of the AR1000NR.
If withholding is claimed, but no taxable income is
claimed, a statement from the employer must be
sent to verify that no work was completed inside
the State of Arkansas.

To file as Head of Household you must have been
unmarried or legally separated on December 31,
2023, and meet either 1 or 2 below. The term
“Unmarried” includes certain married persons who
lived apart, as discussed at the end of this section.

Spouses of non-resident military members should
check the Military Spouse box on Page 1 of the
AR1000NR. The AR-MS will need to be included
with the return along with the AR-NRMILITARY
Personnel Exemption Form.

BOX 3.	 Filing Status 3 (Head of House-	
	hold)

1.	

	
	

You paid over half the cost of keeping a home
for the entire year that was the main home
of your parent whom you can claim as a
dependent. Your parent did not have to live
with you in your home.
OR

2. 	 You paid over half the cost of keeping a home
in which you lived, and in which one of the
following also lived, for more than six (6) months
of the year (temporary absences, such as
vacation or school, are counted as time lived
in the home):
	

a. 	Your unmarried child, grandchild, greatgrandchild, adopted child or stepchild. This
Page 11

PERSONAL TAX
CREDITS

child did not have to be your dependent,
but your foster child must have been your
dependent.
	

b. 	Your married child, grandchild, adopted
child or stepchild. This child must have
been your dependent.

	

c.	 Any other person whom you could claim
as a dependent.

MARRIED PERSONS WHO LIVED APART
Even if you were not divorced or legally separated
in 2023, you may be considered unmarried and
file as Head of Household.  See Internal Revenue
Service instructions for Head of Household to
determine if you qualify.
BOX 4.	 Filing Status 4 (Married Filing 	
Separately on the Same Return)
Check this box if you were married and are filing
SEPARATELY ON THE SAME TAX RETURN. This
method of tax computation may reduce your tax
liability if both spouses had income. The result will
be either a combined refund or a combined tax due.
IF ONE SPOUSE HAD A TOTAL NEGATIVE
INCOME, YOU MUST FILE MARRIED FILING
JOINTLY.
BOX 5.	 Filing Status 5 (Married Filing
Separately on Different Returns)
Check this box if you were married and are filing
separate tax returns.
BOX 6. 	 Filing Status 6 [Surviving
Spouse]
Check this box if you are a SURVIVING SPOUSE.
You are eligible to file as a SURVIVING SPOUSE
if your spouse died in 2021 or 2022 and you meet
each of the following tests:
1.	

You were entitled to file MARRIED FILING
JOINTLY or MARRIED FILING SEPARATELY
ON THE SAME RETURN with your spouse for
the year your spouse died. It does not matter
whether you actually filed a joint return.

2.	

You did not remarry before the end of 2023.

3.	

You had a child, stepchild, adopted child, or
foster child who qualified as your dependent
for the year.

4.	

You paid more than half the cost of keeping
a home, which was the main home of that
child for the entire year except for temporary
absences.

DECEASED TAXPAYER
An  Arkansas tax return should be filed for a taxpayer
who died during the tax year as if the taxpayer
had lived the entire year. Check the box after the
taxpayer’s name.
NOTE:	 Any refund check issued to a deceased
taxpayer will be made out to the estate
of the deceased taxpayer, i.e. “Estate
of John/Jane Doe”. To cash the check,
the bank may require documentation
such as death certificate, will, or power
of attorney.
Page 12

LINE 7A. Each taxpayer and spouse is entitled
to one personal tax credit. You can claim additional
personal tax credits if you can answer “Yes” to any
of these questions:
	
	
	
	

Is your filing status Head of Household or 	
	
Surviving Spouse?
On January 1, 2024, were you age 65 or over?
On December 31, 2023, were you deaf?
On December 31, 2023, were you blind?

Check the box or boxes that apply to you and/or
your spouse. You CANNOT claim any of these
credits for your children or dependents.
Blindness is defined as being unable to tell light
from darkness, having eyesight in the better eye
not exceeding 20/200 with corrective lens, or having
a field of vision limited to an angle of 20 degrees.  
You can claim the Deaf Credit only if the average
loss in speech frequencies (500 to 2000 Hertz) in
the better ear is 86 decibels, I.S.O., or worse.
Any taxpayer age 65 or over not claiming a
retirement income exemption on Line 18 is eligible
for an additional $29 (per taxpayer) tax credit.
Check the box(es) marked “65 Special”.
Add the number of boxes you checked on Line 7A.
Write the total in the box provided. Multiply the
number by $29 and write amount in space provided.
LINE 7B. List the name(s) of your dependent(s),
Social Security Numbers, and relationship to you in
the space provided. DO NOT INCLUDE YOURSELF
AND/OR YOUR SPOUSE. The individual(s) you
can claim as dependent(s) are described on Page
8. (Attach schedule if more than 3 dependents.)

INCOME
FULL YEAR RESIDENTS
If your filing status is Married Filing Separately on
the Same Return, both Column A and Column B
must be used. Write your income in Column A and
your spouse’s income in Column B. For all other
filing statuses, write all income in Column A only.
NONRESIDENTS AND PART YEAR
RESIDENTS
Complete Column A (and Column B if using Filing
Status 4) of the AR1000NR as if you were a full year
resident. List all of your income from all sources
for the entire year in these two columns.
List in Column C the total combined income (for
both spouses) earned while Arkansas residents and
income derived from Arkansas sources.
The total tax must be computed on the income totals
in Columns A and B. After all allowable tax credits
have been subtracted from the total tax, prorate
the remaining balance. See instructions for Lines
38A, 38B, 38C, and 38D on Page 14.
N O N R E S I D E N T S A N D PA RT Y E A R
RESIDENTS MUST ATTACH A COPY OF
PAGES 1&2 OF YOUR FEDERAL 1040.
THE ARKANSAS RETURN WILL NOT BE
PROCESSED WITHOUT IT
Round all amounts to the nearest dollar.
(For example, if your Form W-2 shows $10,897.50,
round to $10,898. If your Form W-2 shows
$10,897.49, round to $10,897.)
Staple the state copy of each of your
W-2(s), 1099-R(s), 1099PT(s) and 1099G(s) to the left margin of the front of
the return.

Add the number of dependents listed on Line 7B.
Write the total in the box provided. Multiply the
number by $29 and write that amount in the space
provided.

LINE 8. Add the wages, salaries, tips, etc. reported
on your W-2(s). Enter the total on this line. Attach
W-2(s).

LINE 7C. Total the tax credits from Lines 7A, 7B,
and 7C. Enter the total on this line and on Line 34.

Ministers Income:
If you were a duly ordained or licensed minister, you
received a housing allowance from your church,
and you do not file a federal Schedule C, enter your
gross compensation from the ministry less rental
value of your home. The balance is subject to tax.
The rental value of your home must be shown
on Form AR4, Part III. Attach AR4 and W-2(s).

NOTE:	 The Developmentally Disabled Dependent
Credit is now claimed on the AR1000TC
form.

Enter U.S. Military Compensation on Line 9.

LINE 9. Service pay or allowance received by an
active-duty member of the armed services is exempt
from Arkansas income tax. If you or your spouse
had U.S. active-duty military compensation, enter
gross amount in the space provided. Do not enter
an amount in Column A. Attach W-2(s).
HOME OF RECORD OTHER THAN
ARKANSAS: If your Home of Record is not
Arkansas, do not report to Arkansas your income
or your nonresident spouse’s income. Fill out and
submit AR-NRMILITARY Form to have a note put
on your account that you are not required to file
a return.

Your spouse’s income is exempt from Arkansas
tax if your Home of Record is not Arkansas and
your spouse’s domicile is the same as your Home
of Record.
However, if your spouse had Arkansas income tax
withheld, he/she will need to file a return to get a
refund. Check the box for Military Spouse and
attach a completed Form AR-MS and a copy of
service member’s Leave and Earning Statement
(LES) to verify Home of Record.
(For future tax purposes, your nonmilitary spouse
must submit a new payroll withholding form, ARW4MS to his/her employer each year to exempt
withholding.)
LINE 10. If you received interest from bank
deposits, notes, mortgages, corporation bonds,
savings and loan association deposits, and credit
union deposits, enter all interest received or credited
to your account during the year. If the total is over
$1,500, complete and attach Form AR4.
LINE 11. If you received dividends and other
distributions, enter amounts received as dividends
from stocks in any corporation. If the total is over
$1,500, complete and attach Form AR4.
LINE 12. Enter alimony or separate maintenance
received as the result of a court order.
LINE 13. If you had business or professional
income and filed a federal Schedule C, enter
the total dollar amount(s) of net income (or loss)
from your federal Schedule C.  If you did not file a
federal Schedule C, submit a similar schedule and
enter the net income (or loss).
If you filed a federal Schedule C, attach it to
your return.
Business income may not be split between you
and your spouse unless a partnership was legally
established. Report partnership income on Form
AR1050 and attach K-1(s) for each partner.
Include on Line 22, Other Income, any federal/
state depreciation differences.
LINE 14. If you had gains or losses from the sale
of real estate, stocks or bonds, or gains or losses
from capital assets from partnerships, S corporations,
or fiduciaries, enter your taxable share. Adjust the
amount of gain or loss for any federal/state
depreciation differences.
Arkansas did not adopt the federal “bonus
depreciation” provision from previous years.
Therefore, there may be a difference in federal and
Arkansas amounts of depreciation allowed. Adjust
your gains and losses for depreciation differences,
if any, in the federal and Arkansas amounts on
Lines 2, 5 and 10 of the Arkansas Form AR1000D.
If, after the netting process, you had a capital gain
or loss reported on federal Schedule D or on
Form 1040/1040A, use Arkansas Form AR1000D
to determine the taxable amount to enter. Attach
federal Schedule D and Arkansas Form AR1000D
to your return.
The amount of capital loss that can be
deducted after offsetting capital gains is

limited to $3,000 ($1,500 per taxpayer for
filing Status 4 or 5). If your capital loss was
more than the yearly limit on capital loss deductions,
you can carry over the unused part to later years
until used up.

LINE 18B.

The gain on the sale of your personal residence
is exempt up to $250,000 per taxpayer ($500,000
for married couples filing on the same return).  The
property must, during the 5 year period ending
on the day of sale, be owned and used by the
taxpayer(s) as the principal residence for periods
aggregating 2 years or more.

If filing status 4, Married Filing Separately
on the Same Return, spouse must enter
the taxable amount on line 18B, Column B.

LINE 15.
Enter the ordinary gain or (loss)
from Part II of federal Form 4797. Adjust for any
differences in Arkansas and federal depreciation.
The capital loss limit does not apply. Attach federal
Form 4797 and/or AR4684 if applicable.
LINE 16. Use this line to report taxable lumpsum distributions, annuities, and traditional IRA
distributions. Include early withdrawal of traditional
IRA distributions on this line. List only the amount
of withdrawal and attach the federal Form 5329
showing the tax on premature distribution. Also,
enter ten percent (10%) of the tax from the federal
Form 5329, Part I and Part II, on Line 32. If you
received a distribution which does not qualify for
the Lump-Sum Distribution Averaging Schedule
(AR1000TD), list the total distribution received in
2022. (See AR1000TD to determine if you qualify
to use the averaging method.) Attach 1099-R(s).
Premature distributions are amounts you withdrew
from your traditional IRA, deferred compensation,
or thrift savings plans before you were either age
59 ½ or disabled. Rollovers on distributions are
tax exempt.
NOTE:	 If you filed a claim under McFadden
v. Weiss or Maples v. Weiss and your
basis has been fully recovered, enter
the amount from Box 1 of your 1099R(s) as the “Gross” and “Taxable
Amount” on Line 18A or 18B.
LINE 17.   Retirement benefits received by a
member of the uniformed services are exempt from
income tax. If you or your spouse had U.S. military
pension compensation, enter gross amount in the
applicable boxes provided for primary and spouse,
regardless of filing status. Retirees cannot claim
both the military retirement exemption and the
$6,000 exemption for traditional IRA distributions
(A.C.A 26-51-307(f)). Attach 1099-R(s).

PRIMARY EMPLOYER PENSION
PLAN(S)/QUALIFIED IRA(s):
LINE 18A. If you had income from an employmentrelated pension plan or a qualified traditional IRA
distribution, enter the gross amount(s) from Box
1 of your 1099-R(s) in the space provided. Enter
the federal taxable amount from Box 2a of your
1099-R(s) in the space provided. If Box 2a is blank,
use the Simplified Method Worksheet in the federal
1040 Instruction Booklet to calculate the taxable
amount of your distribution. You are entitled to a
$6,000 exemption from the taxable amount; the
balance is taxable to Arkansas. Enter the balance
on Line 18A, Column A. Attach 1099-R(s).

If filing status 2, Married Filing Joint,
spouse must enter the taxable amount
on line 18B, Column A.

You might be eligible for the $6,000 exemption
for retirement or disability benefits provided the
distribution was from public or private employmentrelated retirement systems, plans, or programs.
(The recipient does not have to be retired.) The
method of funding is irrelevant. The exemption
may be taken from either lump-sum or installment
payments. The early withdrawal penalty may be
applicable even though the exemption is granted.
If you received a traditional IRA distribution after
reaching the age of fifty-nine and one-half (59 1/2),
the first $6,000 is exempt from tax. Premature
distributions made on account of the participant’s
death or disability also qualify for the exemption. All
other premature distributions or early withdrawals
including, but not limited to, those taken for medical
expenses, higher education expenses, or a first-time
home purchase do not qualify for the exemption.
Military retirees cannot claim the $6,000
exemption for traditional or employer-sponsored
distributions if their military retirement exemption
exceeds $6,000. If the military retirement
exemption is less than $6,000, the remaining
amount of the exemption may be taken for
traditional or employee-sponsored distributions.
NOTE:	 If you made nondeductible contributions
to your traditional IRA, enter taxable
amount from federal Form 8606 in the
space provided. Attach federal Form
8606.
LINE 19. If you had income from rents, royalties,
estates or trusts, profits (whether received or not)
from partnerships, fiduciaries, small business
corporations, etc., enter the amounts as reported
on your federal Schedule E.   If you are filing a
return for a taxable year that is not the same as
the annual accounting period of your partnership or
trust, report your distributive share(s) of net profits
in the accounting period that ends in your taxable
year. Attach federal Schedule E.
Nonresident  beneficiaries  pay  tax  only on  Arkansas
income.
LINE 20. If you had farm income, enter the amount
reported on your federal Schedule F. Farm income
may not be split between you and your spouse
unless a partnership was legally established.
Partnership income must be reported on Form
AR1050, with K-1(s) for each partner. Attach
federal Schedule F.
LINE 21. Beginning with tax year 2018,
unemployment insurance benefits paid from federal
unemployment funds; and unemployment insurance
benefits received from unemployment compensation
(except unemployment for sickness payments) is
income subject to tax. Enter amounts received and
attach Form 1099-G..
NOTE:	 Unemployment for Tax years 2020 and
2021 remain non-taxable.
Page 13

LINE 22. Enter net other income/loss and
depreciation differences. Attach Form AR-OI.
Some examples of what must be reported are:
Pass-Through Entity Tax:
If you are a member of an entity that participates
in Pass-Through Entity Tax include all income from
the PET return on the Individual return. Use the
AR-OI form to back out the income or losses that
were reported on the Pass-Through level.
Gambling winnings:
Gambling winnings are subject to tax. Report
winnings on line 4 as an addition to income on
Form AR-OI. Attach Form W-2G(s).
Reimbursement of medical expenses from
a previous year: if you itemized deductions in
that year and it reduced your tax.
Amounts recovered on bad debts that you
deducted in an earlier year.
Net operating loss (NOL) from an earlier
year to carry forward to 2023: enter as a
subtraction from income. Attach form AR1000-NOL
to show the amount of loss and the year the loss
occurred. A net operating loss may be carried forward.
(NOL carrybacks not allowed.) See instructions
for specifics.
Scholarships, fellowships, and grants:
A   qualified   scholarship, fellowship, or grant is
exempt from tax only if:
	
	 1)	 You were a candidate for a degree at an
educational institution, and
	 2)	

Received a qualified scholarship, fellowship,
or grant.

A qualified scholarship, fellowship, or grant is any
amount you received that was used under the terms
of the grant for:
	
	 1)	 Tuition and fees required for enrollment,
		
or
	 2)	 Fees, books, supplies and equipment
required for the course(s) at the educational
institution. (These items must have been
required of all students in that course.)
Foreign students who are exempt from federal
taxes because of a tax treaty must file and pay tax
on all income including non-qualified scholarship
or fellowship income.
Stipends are taxable.
LINE 23. Add Lines 8 through 22 and enter total
in the appropriate columns on this line. This is your
Total Income.

Page 14

ADJUSTMENTS
LINE 24. If you are claiming an adjustment from
the list below, use Form AR1000ADJ and include
the total on this line. Attach Form AR1000ADJ.
Border city/Texarkana exemption
Tuition Savings Program
Payments to IRA
Payments to MSA
Payments to HSA
Deduction for interest paid on student loans
Contributions to Intergenerational Trust
Moving expenses
Self-employed health insurance deduction
KEOGH, Self-employed SEP and Simple Plans
Forfeited interest penalty for premature withdrawal
Alimony/Separate Maintenance Paid
Support for permanently disabled individual
Organ Donor Deduction
Military Reserve Expenses
Reforestation Deduction
Teachers Qualified Classroom Investment Expense
Achieving A Better Life Experience Program
LINE 25. Subtract Line 24 from Line 23, Total
Income. Enter amount on this line. This is your
Adjusted Gross Income (AGI).

TAX COMPUTATION
LINE 26. Select only one tax table for Line 27.
See tax tables and qualifications for each
table on pages 25-31.
If you use an exclusion for active-duty military
compensation, employer-sponsored pension income,
or a qualified traditional IRA distribution, you do
not qualify for a Low Income Tax Table. You may
elect NOT TO USE the exclusion(s) to which you
are entitled and use a Low Income Tax Table if you
fall within the income limits.
CAUTION:	 If you qualify to use a Low Income
Tax Table, enter zero (0) on Line 27,
Column A. (The Standard Deduction
is already built into the table.)
If you use the regular tax table, enter the larger of
your itemized deductions (from Form AR3) or your
Standard Deduction on Line 27.
Itemized Deductions:
To compute your itemized deductions, complete
Form AR3 and attach it to your return. Make sure
that your total itemized deductions exceed the
Standard Deduction. (For Form AR3 instructions
see pages 16-17 of this booklet.)
NOTE:	 If you are filing status 4 or 5 and one
spouse itemizes, then both spouses
must itemize. (If you are filing status 5
and your spouse itemizes on a separate
return, you must still prorate your
deductions based on both spouse’s
incomes. Include a copy of the AR3 to
support deductions.)

Standard Deduction:
The Standard Deduction for your filing status is
the amount shown below. (If the amount on Line
25 is less than the Standard Deduction, enter the
amount from Line 25 on Line 27.)
	 Filing	Standard
	 Status	
Deduction
	1	 Single	$2,340
	2	 Married Filing Joint	
$4,680
	3	 Head of Household	
$2,340
	4	 Married Filing Separately	 $2,340 each
			 on Same Return
	5	 Married Filing Separately	
$2,340
			 on Different Returns
	6	 Surviving Spouse	
$2,340
NOTE:	 The $2,340 Standard Deduction does
not apply to taxpayer’s dependent(s).
LINE 27. SELECT THE PROPER TAX TABLE
and check the appropriate box. You will be in one
of the following categories:
	 1)	 Low Income Tax Table
	2)	 Standard deduction
3) Itemized deductions
If standard deduction or itemized deductions is
selected you must use the Regular tax table.
LINE 28. Subtract Line 27 from Line 25. This
is your Net Taxable Income.
LINE 29. Using the appropriate tax table locate
the tax for your income and enter here.
LINE 30.
the total.

Add Lines 29(A) and 29(B) and enter

LINE 31. If you received a lump-sum (total)
distribution from a qualified retirement plan during
2023, you may be eligible to use the averaging
method to figure some of your tax at a lower rate.
Read the instructions for Form AR1000TD to
determine if you are eligible to use this method. If
so, complete Form AR1000TD and enter amount
here. Attach Form AR1000TD.
LINE 32. Taxpayers subject to additional tax on
their federal return from a traditional IRA or employer
qualified retirement plan are subject to additional
tax on their state return. Enter ten percent (10%)
of the federal amount from Part I of federal Form
5329. Be sure to enter total distribution(s) from Part
I, Form 5329, on Line 16 or 18 of Form AR1000F/
AR1000NR.
Taxpayers subject to additional tax on a distribution
from a Coverdell Education Savings Account, include
ten percent (10%) of the federal amount from Part II
of federal Form 5329 on this line. Be sure to include
the taxable amount of the Coverdell Education
Savings Account distribution on Line 22 of Form
AR1000F/AR1000NR (Other Income).
LINE 33.
the total.

Add Lines 30 through 32 and enter

TAX CREDITS

PRORATION

LINE 34. Enter the total personal tax credits
from Line 7D.

IF FILING A FULL YEAR RESIDENT RETURN, go
to instructions for Line 39. The instructions for Line
38A through Line 38D apply only to nonresidents
and part year residents.

LINE 35. To Claim the Child Care Credit use
Form AR2441 to figure amount to be claimed.  A
copy of Form AR2441 “Credit for Child and
Dependent Care Expenses” must be attached
to your Arkansas return.
If you are claiming the Early Childhood Program
Credit on Line 43, the total amounts from Line 35
and Line 43 cannot exceed the amount allowed
on Form AR2441.

N O N R E S I D E N T S A N D PA R T Y E A R
RESIDENTS ONLY, read the following instructions
to determine your correct Arkansas tax liability.
Attach a copy of pages 1 & 2 of your federal
return and any necessary schedules.
LINE 38A. Enter adjusted gross income from
Line 25, Column C.

LINE 36. Complete Form AR1000TC if you are
eligible for any credit(s) listed below and include
the total on this line. Attach Form AR1000TC.

LINE 38B. Enter total of Columns A and B from
Line 25.

State Political Contribution Credit
Other State Tax Credit
Credit for Adoption Expenses
Phenylketonuria Disorder Credit
Stillborn Child Credit
Individuals with Developmental Disabilities Credit
Additional Tax Credits For Qualified Individuals
Inflationary Relief Income-Tax Credit
Tax Credit(s)

LINE 38C. Divide amount on Line 38A by amount
on Line 38B to arrive at your Arkansas percentage
of income. Enter as a decimal rounded to six places.
Do not exceed 100%.

LINE 37.
the total.

Add Lines 34 through 36 and enter

LINE 38. Subtract Line 37 from Line 33. This
is your Net Tax. If Line 37 is greater than Line
33, enter zero (0).
If Total Credits on Line 37 is more than Total Tax on
Line 33, the difference is not refundable.
NOTE:	 If your net tax is $1,000 or more, and
you failed to make a declaration of
Estimated Tax (Form AR1000ES,
Voucher 1), or pay withholding equal to
ninety (90%) of your net tax, a penalty
of ten percent (10%) will be assessed.
See instructions for Lines 52A and 52B
for more information.

LINE 40. If you made an estimated declaration
and paid estimated tax payments in 2023 income
OTHER THAN wages, salaries, tips, etc., write
the total paid in this space. The only amount to
enter here is total payments you made on a 2023
Declaration of Estimated Income Tax (includes
January 15, 2024 installment and/or credit brought
forward from 2022 tax return).
DO NOT include PENALTIES OR INTEREST as
part of the amount paid.
If you and your spouse filed a JOINT
declaration and you and your spouse
choose to file your tax returns on separate
forms this year, payments made under
the joint declaration of estimate will be
credited to the primary filer.
If you are filing prior year tax returns
past the due date of the tax return, the
refund/overpayment from those tax returns
cannot be carried forward as estimated
tax.

Example: $2,500/$525,000 = 0.004762
or
$10,000/$60,000 = 0.166667

LINE 41. If you filed an Arkansas extension
request and paid tax with your request, enter the
amount paid.

LINE 38D. Multiply amount on Line 38 by decimal
on Line 38C for Arkansas apportioned tax liability.

LINE 42. PREVIOUS PAYMENTS: This line
is for amended returns only. Enter the total of any
previous payment(s) made with your original return
and/or billing notices and amended return(s).

PAYMENTS
LINE 39. Enter Arkansas tax withheld from
your W-2(s)/1099(s). You have already paid
this amount of tax during the year. If you have
MORE THAN ONE W-2/1099, be sure to add
the Arkansas income tax withheld from all
W-2(s)/1099(s). Enter the total withheld.
IF YOU AND YOUR SPOUSE ARE FILING ON
THE SAME RETURN, add the Arkansas state
income tax withheld from all your W-2(s)/1099(s).
Enter the combined total withheld.
If you did not receive (or lost) your
W-2(s) and Arkansas tax was withheld from
your income, you should take the following
steps IN THE ORDER LISTED BELOW:
1)	 Ask your employer for copies of your
W-2(s). If you cannot obtain them from
your employer you should
2)	 C o n t a c t t h e S o c i a l S e c u r i t y
Administration at (800) 772-1213. Only
if you cannot obtain your W-2(s) from your
employer or SSA you may
3)	 Complete federal Form 4852 and attach
a copy of your final pay stub to support
your amounts.
CAUTION:	You WILL NOT receive credit for
tax withheld or receive a tax refund,
unless you attach CORRECT AND
LEGIBLE W-2(s) or other approved
documentation to your tax return.

LINE 43. Enter the APPROVED Early Childhood
Program Credit Form AR2441. This is for individuals
with a dependent child placed in an APPROVED
childcare facility while the parent or guardian worked
or pursued employment. (Facility must be approved
by the Arkansas Department of Education as having
an appropriate early childhood program as defined
by Arkansas law.) Enter the certification number
and attach Form AR2441 and Certification Form
AR1000EC. Contact your childcare facility for
Form AR1000EC.
If you are claiming the Early Childhood Program
Credit on Line 43, the total amounts from Line 35
and Line 43 cannot exceed the amount allowed
on Form AR2441.
LINE 44. Add the amounts on Lines 39, 40, 41,
42 and 43. This is your TOTAL PAYMENTS.
LINE 45. PREVIOUS REFUND: This line is
for amended returns on