Title 42 — Taxation

In this article and article 2 of this chapter, unless the context otherwise requires: 1. "Business" includes all activities or acts, personal or corporate, that are engaged in or caused to be engaged in with the object of gain, benefit or advantage, either directly or indirectly,…

A. For the purpose of this article the total amount of gross income, gross receipts or gross proceeds of sales shall be deemed to be the amount received, exclusive of: 1. The taxes imposed by this chapter and chapter 6, article 3 of this title, sales or transaction privilege taxe…

A. The administration of this article is vested in and shall be exercised by the department of revenue according to chapter 1, articles 1 and 3 of this title and this article, and all payments required by this article shall be made to the department. B. The enforcement of this ar…

A. The department shall keep records and accounts showing separately the taxes collected under each of the classifications and amounts collected from businesses engaged in within each county as prescribed in this article and article 2 of this chapter. Each month the department of…

A. Every person who receives gross proceeds of sales or gross income on which a transaction privilege tax is imposed by this article and who desires to engage or continue in business shall apply to the department for an annual transaction privilege tax license accompanied by a fe…

A. Notwithstanding section 42-1102, the department shall require a surety bond for each taxpayer who is required to be licensed under title 32, chapter 10 or who is regulated under title 41, chapter 37, article 3, if the taxpayer's principal place of business is outside this stat…

A. In lieu of the bond required under section 42-1102 or 42-5006, a person who is in the construction business, who does not have a principal place of business in this state and who enters into a prime construction contract to be performed in this state, at the time the contract …

A. There is levied and there shall be collected by the department, for the purpose of raising public money, privilege taxes measured by the amount or volume of business transacted by persons on account of their business activities, and in the amounts to be determined by the appli…

A. A person that is either a prime contractor subject to tax under section 42-5075 or a subcontractor working under the control of such a prime contractor, that purchases tangible personal property, the purchase price of which was excluded from the tax base under the retail class…

A. A person who conducts any business classified under article 2 of this chapter may establish entitlement to the allowable deductions from the tax base of that business by both: 1. Marking the invoice for the transaction to indicate that the gross proceeds of sales or gross inco…

(Caution: 1998 Prop. 105 applies) A. The tax imposed by this article is levied and shall be collected at the following rates: 1. Five percent of the tax base as computed for the business of every person engaging or continuing in this state in the following business classification…

A. From and after June 30, 2021 through June 30, 2041, in addition to the rates prescribed by section 42-5010, subsection A, an additional rate increment is imposed and shall be collected. The additional tax rate increment is levied at the rate of six-tenths of one percent of the…

For the purpose of computing the tax levied by this article, conditional sales shall be treated as credit sales and the tax shall be paid only upon the amounts received under such conditional sales contracts, but if the seller transfers his interest in such contract to a third pe…

In determining value as applied to sales from one to another of affiliated corporations or persons, or other circumstances where the relation between the buyer and seller is such that the gross proceeds from the sale are not indicative of the true value of the subject matter of t…

A. All taxes levied under this article upon the business activities of a partnership shall be a liability and charge against each and all of the partners, but when the tax is paid by the partnership the liability against each and all of the partners shall terminate. B. Licenses i…

A. Except as provided in subsection B, C, D, E or F of this section, the taxes levied under this article: 1. Are due and payable monthly in the form required by section 42-5018 for the amount of the tax, to the department, on or before the twentieth day of the month next succeedi…

A taxpayer who is required to pay any transaction privilege and affiliated excise taxes to this state or a county or municipality may report and pay the required tax through electronic means. The electronic system shall be administered by the department of revenue. The department…

A. A credit is allowed against the taxes imposed by this article and other affiliated excise taxes for taxpayers in the business of selling and delivering telecommunications services to residential customers in an amount equal to the dollar amount of payments for telecommunicatio…

A. A credit is allowed against the taxes imposed by this article and article 5 of this chapter for expenses incurred by the taxpayer in accounting and reporting those taxes. The credit is: 1. For a taxpayer who files a paper return, one percent of the amount of tax due but not to…

All remittances of taxes imposed by this article shall be made by bank draft, check, cashier's check, money order, cash or electronic funds transfer to the department, which shall issue receipts therefor to the taxpayers, but no remittance other than cash shall be final discharge…

A person engaged in any business in which sales are made on which the same rate does not apply, or in two or more businesses with respect to which the rate to be applied is not the same, shall make separate returns of the gross proceeds of sales or the gross income of each busine…

Any person engaging in two or more forms of business of like classification taxable under this article may file a consolidated return covering all business activities of like classification engaged in within this state.

Any additional tax due as disclosed by an audit made under section 42-1108 shall be paid within thirty days after receipt of such assessment, or if an appeal is taken to the department, within ten days after the order or decision of the department has become final.

The burden of proving that a sale of tangible personal property was not a sale at retail shall be on the person who made the sale, unless either: 1. The person has taken from the purchaser a certificate signed by and bearing the name and address of the purchaser that the property…

For the purpose of proper administration of this article and to prevent evasion of the tax imposed by this article it is presumed that all gross proceeds of sales and gross income derived by a person from business activity classified under a taxable business classification compri…

Every tax imposed by this article and all increases, interest and penalties thereon shall become, from the time they are due and payable, a personal debt of the taxpayer to the state and may be collected by legal action under section 42-1114. Such remedy shall be in addition to e…

A. It is unlawful for any person to knowingly fail or refuse to permit any lawful examination of any book, paper, account, record or other memoranda by the department or any of its authorized agents or employees. A person violating this section is guilty of a class 2 misdemeanor.…

A. If any person required to file a return fails or refuses to do so, the department shall proceed to obtain facts and information on which to base the tax prescribed by this article, and for such purpose the department or its agent may examine the books, records and papers of su…

Any person against whom a tax is levied under this article may be enjoined by an action commenced by the attorney general or a county attorney in the name of the state, at the request of the department, from engaging or continuing in any business for which a tax is imposed by thi…

A person who fails to remit any additional charge made to cover the tax or truthfully account for and pay over any such amount is, in addition to other penalties provided by law, personally liable for the total amount of the additional charge so made and not accounted for or paid…

(Caution: 1998 Prop. 105 applies) A. The department shall deposit, pursuant to sections 35-146 and 35-147, all revenues collected under this article and articles 4, 5 and 8 of this chapter pursuant to section 42-1116, separately accounting for: 1. Payments of estimated tax under …

B. For the purposes of this section: 1. "Community college" includes any college that is owned, operated or chartered by a qualifying Indian tribe. 2. "Qualifying Indian tribe" has the same meaning prescribed in section 42-5031.01, subsection D.

A. All monies collected pursuant to section 42-5010.01 and section 42-5155, subsection E shall be distributed each fiscal year pursuant to this subsection. The monies distributed pursuant to this subsection are in addition to any other appropriation, transfer or other allocation …

A. At the same time as the first distributions each fiscal year pursuant to section 42-5029, the department shall credit to the Arizona convention center development fund established by title 9, chapter 6, article 1 the amounts determined pursuant to this section. B. The departme…

From and after June 30, 1999, if there are outstanding state school facilities revenue bonds pursuant to title 41, chapter 56, article 6, and if the amount of monies available under section 37-521, subsection B, paragraph 1 is insufficient to pay the debt service due on the outst…

A. Subject to the requirements of subsection D of this section, if a county stadium district is authorized by an election pursuant to section 48-4237, subsection E, paragraph 5 to use the amounts paid to the district pursuant to subsection B of this section as permitted by law, t…

B. The monies distributed pursuant to this section are for the exclusive purpose of supporting the maintenance, renewal and capital expenses of one or more community college campuses in this state that are owned, operated or chartered by each qualifying Indian tribe on its own In…

A. If, by June 30, 1998, the department of transportation enters into an intergovernmental agreement pursuant to section 28-401, subsection C or section 28-7652, subsection A for the construction of a bridge, the state treasurer shall pay each month, beginning from and after June…

A. Each month the state treasurer shall pay, from the amount designated as distribution base pursuant to section 42-5029, subsection D, the amount determined under subsection B of this section to the tourism and sports authority for deposit in the authority's facility revenue cle…

B. The state treasurer shall not make any payments under subsection C of this section until both of the following apply: 1. Ten percent of the qualifying capital investment that is certified under subsection D of this section and that constitutes construction phase services, as d…

(Rpld. 4/1/56) A. Subject to section 48-4238, beginning the first month following September 26, 2025 and each month thereafter through March 31, 2056, the state treasurer, on instruction from the department, shall transmit the amount determined under subsection B of this section …

A. During the fifth year following the decennial census, a county, city or town may cause to be taken by the United States bureau of the census a special census of the population of the county, city or town. The results of the special census may be certified by the director. Begi…

In lieu of conducting a special census as provided by sections 28-6532 and 42-5033: 1. Before May 1 of the sixth year following a federal decennial census, a county may submit to the director of the department of revenue, the director of the department of transportation and the s…

A. For the purpose of determining the location of a business for purposes of this chapter, a taxpayer shall be deemed to be engaged in business as classified under: 1. Section 42-5062, at the location where the transportation begins. 2. Section 42-5072, at the location where the …

A. For purposes of any tax that is levied and collected under this chapter relating to mobile telecommunications services, the department shall levy and collect the tax pursuant to the requirements of the mobile telecommunications sourcing act (P.L. 106-252; 114 Stat. 626; 4 Unit…

A. The tax monies accruing to the counties under this article shall be credited to the general fund of each respective county. B. The department, on or before the first Monday of July each year, shall estimate the anticipated tax monies to be collected under this article payable …

All monies paid to a county in a fiscal year under this article which are in excess of the amount of such monies estimated in the budget for that year shall be placed and kept in a special fund by the county until the next succeeding fiscal year, and the amount in the special fun…

A. Notices required or authorized by this article to be given by mail to a taxpayer shall be addressed to him at his last known address, or to such address as may appear in the records of the department, and shall be sent by registered first class mail with return receipt request…

Taxes imposed by this article shall be in addition to all other licenses and taxes levied by law, whether as a condition precedent to engaging in any business taxable under this article or for any other purpose.

A. A qualified destination management company is not subject to transaction privilege tax under this chapter on the gross proceeds of sales or gross income derived from a qualified contract for destination management services. The gross proceeds of sales or gross income derived b…