On June 12, 2018, the Arizona Corporation Commission (ACC) approved EPCOR's request to refund $1,106,392 in tax reform savings to the company's residential and commercial wastewater customers.
Regulated utilities are required to collect local, state and Federal taxes as part of the service provided to customers. The Tax Cuts and Jobs Act of 2017 passed into law in December 2017, reducing the corporate tax rate from 35 to 21 percent. However, current rates for EPCOR's Arizona wastewater customers were set by the ACC in June 2017 based on a 34 percent tax rate.
Until new rates are adopted by the ACC in a future rate case, customers will receive a monthly credit to adjust for the lower corporate tax rate now in effect. Customers will also receive a one-time credit on their July 2018 bill to refund corporate taxes collected from January through June 2018 at the previous tax rate before the ACC's approval of EPCOR's application.
Read our customer notice to learn more.