Property Exempt in Arizona
The use of Federal bankruptcy exemptions is prohibited
in Arizona. ARS
Federal non-bankruptcy exemptions are
|Type of Property & Description
Equity in a home, townhouse, condominium, mobile home, or mobile
home and lot in which the debtor resides.
A married couple may have only one homestead, and if the couple
is then divorced the total exemption allowed for that residence to
either or both persons is $150,000. The homestead exemption in
identifiable cash proceeds continues for eighteen months after the
date of the sale of the property or until the person establishes a
new homestead. ARS
§ 33-1101 [Prior to August 25, 2004 the homestead
exemption was $100,000.]
The homestead exemption is automatic and no written claim is
required, but the exemption must be claimed in bankruptcy schedules.
The homestead is abandoned by written declaration, transfer of
the property, or moving from the homestead for more than two years.
ARS § 33-1104
Amended effective 8-25-04
|Availability of exemptions to married persons.
In the case of married persons, each spouse is entitled to the
personal property exemptions listed below [ARS § 33-1120 to 1149],
which may be combined with the other spouse's exemption in the same
property or taken in different exempt property.
|Prepaid rent & security deposit. If
a homestead exemption is not claimed, prepaid rent, including
of $1,000 or one and one-half month's rent
goods. The following household items:
- One kitchen and one dining room table with four chairs each,
plus one additional chair for each dependent of the debtor who
resides in the household if the debtor and dependents exceed four
- One living room couch.
- One living room chair, plus one additional chair for each
dependent of the debtor who resides in the household.
- Three living room coffee or end tables.
- Three living room lamps.
- One living room carpet or rug.
- Two beds, plus one additional bed for each dependent of the
debtor who resides in the household.
- One bed-table, dresser and lamp for each exempt bed.
- Bedding for each exempt bed.
- Pictures, oil paintings and drawings, drawn or painted by debtor
and family portraits in their necessary frames.
- One television set or radio or stereo.
- One radio alarm clock.
- One stove.
- One refrigerator.
- One washing machine.
- One clothes dryer.
- One vacuum cleaner.
fuel & provisions. All food, fuel and provisions
actually provided for the debtor's individual or family use for six
instruments. All musical instruments provided for the
debtor's individual or family use.
& animals. Domestic pets, horses, milk cows and poultry.
All engagement and wedding rings.
The library of a debtor, including books, manuals, published materials
and personal documents.
personal property. One typewriter, one bicycle, one sewing
machine, a family bible, a lot in any burial ground, one shotgun or
one rifle or one pistol.
vehicle. One motor vehicle.
[Prior to August 8, 2001, the motor vehicle exemption was $1,500;
$4,000 if debtor was maimed or crippled.]
($10,000 if debtor is physically disabled)
Amended effective 8-9-01
Professionally prescribed prostheses for the debtor or a dependent of
the debtor, including a wheelchair.
insurance proceeds. Money received by or payable to a
surviving spouse or child upon the life of a deceased spouse, parent
or legal guardian. Exclusion
of a minor child. The earnings of the minor child of a debtor or
the proceeds thereof by reason of any liability of such debtor not
contracted for the special benefit of such minor child. Exclusion
support & spousal maintenance. All monies received by or
payable to a person entitled to receive child support or spousal
maintenance pursuant to a court order. Exclusion
accident, or disability benefits. All money, proceeds or
benefits of any kind to be paid in a lump sum or to be rendered on a
periodic or installment basis to the insured or any beneficiary under
any policy of health, accident or disability insurance or any similar
plan or program of benefits in use by any employer, except for
premiums payable on such policy or debt of the insured secured by a
pledge, and except for collection of any debt or obligation for which
the insured or beneficiary has been paid under the plan or policy and
except for payment of amounts ordered for support of a person from
proceeds and benefits furnished in lieu of earnings which would have
been subject to such order and subject to any exemption applicable to
earnings so replaced. Exclusion
to exempt property. Money from any claim for the destruction
of, or damage to, exempt property, including fire or other insurance.
insurance policies. The cash surrender value of life
insurance policies where for a continuous unexpired period of two
years such policies have been owned by a debtor and have named as
beneficiary the debtor's surviving spouse, child, parent, brother or
sister, or any other dependent family member, in the proportion that
the policy names any such beneficiary, except that, subject to the
statute of limitations, the amount of any premium which is recoverable
or avoidable by a creditor pursuant to title 44, chapter 8, article 1,
with interest thereon, shall not be exempt. The exemption provided by
this paragraph does not apply to a claim for the payment of a debt of
the insured or beneficiary that is secured by a pledge or assignment
of the cash value of the insurance policy or the proceeds of the
policy. For the purposes of this paragraph "dependent" means
a family member who is dependent on the insured debtor for not less
than half support. Exclusion
An annuity contract where for a continuous unexpired period of two
years such contract has been owned by a debtor and has named as
beneficiary the debtor, debtor's surviving spouse, child, parent,
brother or sister, or any other dependent family member, except that,
subjecThe cash surrender value of life insurance policies where for a
continuous unexpired period of two years such policies have been owned
by a debtor and have named as beneficiary the debtor's surviving
spouse, child, parent, brother or sister, or any other dependent
family member, in the proportion that the policy names any such
beneficiary, except that, subject to the statute of limitations, the
amount of any premium which is recoverable or avoidable by a creditor
pursuant to title 44, chapter 8, article 1, with interest thereon,
shall not be exempt. The exemption provided by this paragraph does not
apply to a claim for the payment of a debt of the insured or
beneficiary that is secured by a pledge or assignment of the cash
value of the insurance policy or the proceeds of the policy. For the
purposes of this paragraph "dependent" means a family member
who is dependent on the insured debtor for not less than half support.t
to the statute of limitations, the amount of any premium, payment or
deposit with respect to such contract is recoverable or avoidable by a
creditor pursuant to title 44, chapter 8, article 1 shall not be
exempt. The exemption provided by this paragraph does not apply to a
claim for a payment of a debt of the annuitant or beneficiary that is
secured by a pledge or assignment of the contract or its proceeds. For
the purposes of this paragraph, "dependent" means a family
member who is dependent on the debtor for not less than half
taking of exempt property. Any claim for damages recoverable
by any person by reason of any levy upon or sale under execution of
his exempt personal property or by reason of the wrongful taking or
detention of such property by any person, and the judgment recovered
for such damages. Exclusion
account. Money held in a single account in any one financial
institution as defined by ARS
§ 6-101 [banks, trust companies, savings and loan associations,
credit unions, consumer lenders, international banking facilities and
financial institution holding companies under the jurisdiction of the
state banking department]. The exemption does not apply against normal
service charges assessed against the account by the financial
institution at which the account is carried. Exclusion
Exemptions of ARS § 33-1126.A do not apply to annuities, or to cash
surrender values increased by premium payments within two years in
excess of the average annual premium paid during the previous three
Exemptions of ARS § 33-1126 do not apply to orders which are the
result of a judgment for arrearages of child support or for a child
Money in qualifying Individual Retirement Accounts, except amounts
contributed within one hundred twenty days before bankruptcy or
amounts to an alternate payee under a qualified domestic relations
of trade. The tools, equipment, instrument and books of a
debtor or the spouse of a debtor primarily used in, and necessary to
carry on, the commercial activity, trade, business or profession of
the debtor or the debtor's spouse. This does not include a motor
vehicle primarily used by a debtor for personal, family or household
purposes such as transportation to and from the debtor's place of
implements. Farm machinery, utensils, implements of
husbandry, feed, seed, grain and animals belonging to a debtor whose
primary income is derived from farming.
uniforms and accoutrements. All arms, uniforms and
accoutrements required by law to be kept by a debtor.
earnings. That remaining portion of a debtor's wages, salary
or compensation for his personal services, including bonuses and
commissions, or otherwise, and includes payments pursuant to a pension
or retirement program or deferred compensation plan, after deducting
from such earnings those amounts required by law to be withheld.
Exemption does not apply a Bankruptcy Court
order under Chapter 13, or to any debt due for any state or federal
of 75% or 30 times Federal hourly minimum wage; 50% for support orders
Benefit Society benefits.
compensation benefits. Exemption does not apply to actions to
recover support under the child support enforcement act, or to recover
over issuances of food stamp coupons
relief and pension benefits. Exemption does not apply to child
pension benefits. Exemption does not apply to child support.
State Retirement Benefits. Benefits and annuities, member
and employer contributions and the securities in Arizona State
Retirement System [ASRS] accounts.
Disability [LTD] Program benefits. Employer and member
contributions and the securities in the LTD trust fund established by
section 38-797.02 are not subject to execution or attachment and are
nonassignable except as specifically provided in this article.
Officer Retirement Plan benefits. The right of an individual to a
pension, to a refund of accumulated member contributions, to the
pension itself or to any other right accrued or accruing to any
individual, and the monies and assets of the retirement plan, are not
subject to execution, garnishment, attachment, the operation of
bankruptcy or insolvency law or other process of law except a
qualified domestic relations order and are unassignable except as may
be otherwise specifically provided. Exemption does not apply to
a qualified domestic relations order or a judgment for child support.
Safety Personnel Retirement System. Benefits, employee
contributions or employer contributions, including interest, earnings
and all other credits, payable under this system shall not be subject
in any manner to anticipation, alienation, sale, transfer, assignment,
pledge, encumbrance, charge, garnishment, execution or levy of any
kind, either voluntary or involuntary, prior to actually being
received by the person entitled to the benefit, contribution, earning
or credit, under the terms of the system, and any attempt to
anticipate, alienate, sell, transfer, assign, pledge, encumber, charge
or otherwise dispose of any such right hereunder shall be void.
partnership property. Repealed effective 1/1/2000.
Exemptions listed are based upon information compiled April 2004 and
may not be exhaustive. Before relying upon any exemption, its
current availability should be verified by checking with the applicable Arizona
Revised Statute (ARS) which establish the exemption. The code
may be reviewed and searched at the web site of Arizona Legislative
Computer Service of the Arizona State Legislature, ALIS
This page was last revised: 03/20/08
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