A.R.S. § 42-18303 — Arizona Code / Title 42 / Chapter 18 / Article 7 / Section 18303
42-18303 Auction and sale of land held by state under tax deed; disposition of proceeds
Status: in_force

42-18303. Auction and sale of land held by state under tax deed; disposition of proceeds

A. After advertisement, pursuant to section 42-18302, the board of supervisors may sell the real property in the county held by the state by tax deed to the highest bidder for cash except as provided in subsections E, F and G of this section. The property may also be posted on the treasurer's website.  The sale may include a live auction or an online bidding process in which the board receives bids electronically over the internet in a real-time, competitive bidding event.

B. On selling the property, the board of supervisors shall execute and deliver to the purchaser, at the purchaser's cost, a deed conveying the title of the state in and to the parcel purchased. The deed shall be acknowledged by the chairman and clerk of the board.

C. The purchase money shall be paid to the county treasurer. After deducting and distributing interest, penalties, fees and costs charged against the parcel, the treasurer shall apportion monies to the funds of the various taxing authorities in proportion to their current share of the taxes charged against real property. Any balance remaining with the treasurer after payment of the taxes, interest, penalties, fees and costs shall be paid to the owner of the property who was dispossessed by the sale.

D. If the property is not sold before the time for the next succeeding notice of sale, the board of supervisors may omit it from the notice.

E. The board of supervisors may accept an offer from, and sell real property held by this state by tax deed to, the county or a city, town or special taxing district in the county for a public purpose related to transportation or flood control.  The board of supervisors shall convey the deed and apportion the monies received in the transaction in the manner prescribed by this section.

F. The board of supervisors may sell real property in the county held by the state by tax deed to the owner of contiguous real property that is used for commercial, agricultural or residential purposes, and the board may accept an offer by the contiguous owner to purchase the property, if all of the following conditions apply:

1. Both the property offered for sale and the contiguous property were at one time under common ownership.  If there is more than one contiguous property owner offering to purchase the property, the board shall accept the offer from the contiguous property owner that demonstrates that the owner's contiguous property was most recently under common ownership with the property offered for sale.

2. The property offered for sale cannot be separately used for commercial, agricultural or residential purposes, as applicable, pursuant to applicable building codes and ordinances of the jurisdiction in which the property is located due to its size or configuration.

3. The contiguous property owner agrees to submit a request to the county assessor to jointly assess the contiguous properties pursuant to section 42-15058.

G. The board of supervisors may sell real property in the county held by the state by tax deed to a homeowners' association if the real property is part of a common area maintained by the homeowners' association as determined by the county assessor.

H. If an offer under subsection E, F or G of this section is pending at the time of the auction under this section, the board of supervisors shall remove the property from the auction.

I. The board of supervisors may establish procedures for accepting monetary offers and sell real property in the county held by the state by tax deed over the counter if the real property is not eligible for sale under subsection E, F or G of this section and was offered for sale and not sold at the auction held pursuant to subsection a of this section.

J. The board of supervisors may establish procedures for accepting monetary offers under subsection f of this section.
A.R.S. § 42-5040.01 — Arizona Code / Title 42 / Chapter 5 / Article 1 / Section 5040.01
42-5040.01 Sourcing of tangible personal property; third-party service providers; certification
Status: in_force

42-5040.01. Sourcing of tangible personal property; third-party service providers; certification

A. Beginning on or before January 1, 2028, the department shall establish a process by which a third-party provider that offers sourcing services to taxpayers for transactions involving tangible personal property may become certified in this state. A certified third-party service provider shall meet all of the requirements established by the department.

B. The director shall:

1. Supervise and regulate all persons required by this section to obtain certification.

2. Establish minimum standards for certification and a quality assurance program for authorized third parties to ensure that a certified third-party service provider is complying with the minimum standards.

3. Post a list of certified third-party service providers on the department's website.

4. Adopt rules to administer and enforce this section.

C. The director may:

1. Investigate and audit third-party service providers as necessary to ensure compliance with this section.

2. Require that a certified third-party service provider or any employees or agents of the certified third-party service provider be certified by the department to perform certain functions.

D. A person may apply to the department to be a certified third-party service provider on a form prescribed and furnished by the director. The person shall include with the application all documents and fees prescribed by the director. The application shall contain, at a minimum:

1. The name, telephone number and address of the applicant and primary contact person.

2. Verification that the applicant meets the requirements prescribed by the director.

3. Other information the director requires.

E. A taxpayer may use a certified third-party service provider to assist the taxpayer in sourcing transactions involving tangible personal property. A taxpayer that uses a certified third-party service provider for sourcing transactions involving tangible personal property is not liable for failing to pay the correct amount of tax due to an error in sourcing the transaction. The taxpayer is liable for failing to pay the correct amount of tax if the failure to pay the correct amount of tax was due to an error other than an error in sourcing the transaction. A certified third-party service provider is liable for the amount of tax the taxpayer failed to pay if the failure to pay the correct amount of tax was due to an error in sourcing the transaction, unless the error was due to incorrect information the certified third-party service provider received from the department.
A.R.S. § 42-14354 — Arizona Code / Title 42 / Chapter 14 / Article 8 / Section 14354
42-14354 Determining valuation of railroad company operating property
Status: in_force

42-14354. Determining valuation of railroad company operating property

A. On or before August 31 of each year the department shall determine the valuation as of January 1 of the valuation year of all operating property of railroad companies in the manner prescribed by this article. Property that a railroad company owns or leases but that is not used in operating the railroad is not considered to be operating property and shall be valued by the county assessor.

B. Assessments shall:

1. Be made on the entire railroad in this state as provided by subsection A.

2. Include the franchise, intangible values, right-of-way, roadbed, rolling stock, buildings and telecommunication lines and all other real and personal property used in operating the railroad.
A.R.S. § 42-13206 — Arizona Code / Title 42 / Chapter 13 / Article 5 / Section 13206
42-13206 Valuation of dedicated parking or common areas
Status: in_force

42-13206. Valuation of dedicated parking or common areas

For the purposes of this article any part of the land of a shopping center that is limited by a zoning requirement or contractual covenant to parking or common area use shall be valued on the assumption that no other use is possible.
A.R.S. § 42-11105 — Arizona Code / Title 42 / Chapter 11 / Article 3 / Section 11105
42-11105 Exemption for health care property
Status: in_force

42-11105. Exemption for health care property

A. Hospitals for the relief of the indigent or afflicted, appurtenant land and their fixtures and equipment are exempt from taxation if they are not used or held for profit.

B. Property that is used to operate a health care institution that provides medical, nursing or health related services for persons with disabilities or who are sixty-two years of age or older is exempt from taxation if the property is not used or held for profit.

C. Qualifying community health centers as defined in section 36-2907.06 and appurtenant land and their fixtures and equipment are exempt from taxation if they are not used or held for profit.

D. Property that is owned by a health care provider recognized under section 501(c)(3) of the internal revenue code and organized as a nonprofit corporation is exempt from taxation if the property is used to provide health care services and the property is not used or held for profit.  An exemption under this subsection includes all buildings, appurtenant land, fixtures, equipment and other reasonably required property, including property used for the administration of services.  For the purposes of this subsection, "health care provider" means a health care institution as defined in title 36 or an entity that provides health care services directly to patients through health care providers who are licensed pursuant to title 32.
A.R.S. § 42-5007 — Arizona Code / Title 42 / Chapter 5 / Article 1 / Section 5007
42-5007 Taxpayer security; out-of-state prime contractors; definition
Status: in_force

42-5007. Taxpayer security; out-of-state prime contractors; definition

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 is entered into, shall furnish to the director or the director's agent a surety bond or other acceptable security in an amount equal to the gross receipts to be paid under the contract multiplied by the aggregate rates of the applicable taxes imposed by this chapter to secure payment of the tax imposed by this chapter on the gross receipts from the contract and shall obtain a certificate from the director or the director's agent that the requirements of this section have been met.

B. If the total amount to be paid under the contract is changed by ten per cent or more after the date the bond or other security is furnished, the person shall increase or decrease, as the case may be, the amount of the bond or security within fourteen days after the change.

C. If a person fails to comply with subsection A or B of this section, the director or the director's agent may:

1. Demand by certified mail or in person that the person comply. On the person's failure to comply within ten days after the date of the mailing of such demand, the director may institute a proceeding to enjoin the person's business as provided in section 42-1103.

2. When a serious and immediate risk exists that an amount of tax due or reasonably expected to become due from the person on gross receipts from a prime construction contract will not be paid, request the person to comply, and, on failure to comply immediately, the director may without further notice apply to tax court for an injunction under section 42-1103.

D. This section does not apply if the total gross receipts under the construction contract, including any change in such amount, are to be less than fifty thousand dollars.

E. A city, town or county or an agency of this state shall not issue a building or other construction permit to any person who is subject to the requirements of this section without having first been furnished by the construction contractor with the certificate from the director or the director's agent provided under subsection A of this section.

F. In this section "principal place of business" means a location where a person has continuously operated a facility with at least one full-time employee for the preceding twelve consecutive months.
A.R.S. § 42-3002 — Arizona Code / Title 42 / Chapter 3 / Article 1 / Section 3002
42-3002 Preemption by state of luxury taxation
Status: in_force

42-3002. Preemption by state of luxury taxation

The area of luxury taxation is preempted by the state. A county, city, town or other political subdivision of this state shall not levy a luxury tax, as long as the urban revenue sharing fund is maintained as provided in section 43-206.
A.R.S. § 42-17051 — Arizona Code / Title 42 / Chapter 17 / Article 2 / Section 17051
42-17051 Limit on county, municipal and community college primary property tax levy
Status: in_force

42-17051. Limit on county, municipal and community college primary property tax levy

A. In addition to any other limitation that may be imposed, a county, charter county, city, charter city, town or community college district shall not levy primary property taxes in any year in excess of an aggregate amount computed as follows:

1. Determine the maximum allowable primary property tax levy limit for the jurisdiction for the preceding tax year.

2. Multiply the amount determined in paragraph 1 of this subsection by 1.02.

3. Determine the assessed value for the current tax year of all property in the political subdivision that was subject to tax in the preceding tax year.

4. Divide the dollar amount determined in paragraph 3 of this subsection by one hundred and then divide the dollar amount determined in paragraph 2 of this subsection by the resulting quotient. The result, rounded to four decimal places, is the maximum allowable tax rate for the political subdivision.

5. Determine the finally equalized valuation of all property, less exemptions, appearing on the tax roll for the current tax year including an estimate of the personal property tax roll determined pursuant to section 42-17053.

6. Divide the dollar amount determined in paragraph 5 of this subsection by one hundred and then multiply the resulting quotient by the rate determined in paragraph 4 of this subsection. The resulting product is the maximum allowable primary property tax levy limit for the current year for all political subdivisions.

7. The allowable levy of primary property taxes for the current fiscal year for all political subdivisions is the maximum allowable primary property tax levy limit less any amounts required to reduce the levy pursuant to subsections B and C of this section.

B. Any monies that a political subdivision received from primary property taxation in excess of the sum of the amount of taxes collectible pursuant to section 42-15053, subsection G, paragraph 2 and the allowable levy determined under subsection A of this section shall be maintained in a separate fund and used to reduce the primary property tax levy in the following year. Monies that are received and that are attributable to the payment of delinquent taxes that were properly assessed in prior years shall not be applied to reduce the levy in the following year.

C. If, pursuant to section 41-1279.07, the auditor general determines that in any fiscal year a county has exceeded its expenditure limitation, the allowable levy of primary property taxes of the county determined under subsection A of this section shall be reduced in the fiscal year following the auditor general's hearing by the amount of the expenditures that exceeded the county's expenditure limitation.

D. The limitations prescribed by this section do not apply to levies made pursuant to article 5 of this chapter.

E. The levy limitation for a political subdivision is considered to be increased each year to the maximum permissible limit under subsection A of this section regardless of whether the county, city, town or district actually levies taxes in any year up to the maximum permissible amount.

F. For purposes of determining a county's levy limit under this article, remote municipal property, as defined in section 42-15251, is considered to be taxable property in the county.
A.R.S. § 42-13353 — Arizona Code / Title 42 / Chapter 13 / Article 8 / Section 13353
42-13353 Depreciated values of personal property of manufacturers, assemblers and fabricators
Status: in_force

42-13353. Depreciated values of personal property of manufacturers, assemblers and fabricators

A. Except as provided in subsection D and notwithstanding any other statute, the department shall adjust depreciation schedules for use by the assessors to determine the valuation of personal property valued under this article that was or is initially assessed during tax year 1994 through tax year 2007 as follows:

1. For the first tax year of assessment, the assessor shall use thirty-five per cent of the scheduled depreciated value.

2. For the second tax year of assessment, the assessor shall use fifty-one per cent of the scheduled depreciated value.

3. For the third tax year of assessment, the assessor shall use sixty-seven per cent of the scheduled depreciated value.

4. For the fourth tax year of assessment, the assessor shall use eighty-three per cent of the scheduled depreciated value.

5. For the fifth and subsequent tax years of assessment, the assessor shall use the scheduled depreciated value as prescribed by the department's guidelines.

B. Except as provided in subsection D and notwithstanding any other law, the department shall adjust depreciation schedules for use by the assessors to determine the valuation of personal property valued under this article that was or is initially assessed during tax year 2008 through tax year 2011 as follows:

1. For the first tax year of assessment, the assessor shall use thirty per cent of the scheduled depreciated value.

2. For the second tax year of assessment, the assessor shall use forty-six per cent of the scheduled depreciated value.

3. For the third tax year of assessment, the assessor shall use sixty-two per cent of the scheduled depreciated value.

4. For the fourth tax year of assessment, the assessor shall use seventy-eight per cent of the scheduled depreciated value.

5. For the fifth tax year of assessment, the assessor shall use ninety-four per cent of the scheduled depreciated value.

6. For the sixth and subsequent tax years of assessment, the assessor shall use the scheduled depreciated value as prescribed in the department's guidelines.

C. Except as provided in subsection D and notwithstanding any other law, the department shall adjust depreciation schedules for use by the assessors to determine the valuation of personal property valued under this article that was or is initially assessed during or after tax year 2012 as follows:

1. For the first tax year of assessment, the assessor shall use twenty-five per cent of the scheduled depreciated value.

2. For the second tax year of assessment, the assessor shall use forty-one per cent of the scheduled depreciated value.

3. For the third tax year of assessment, the assessor shall use fifty-seven per cent of the scheduled depreciated value.

4. For the fourth tax year of assessment, the assessor shall use seventy-three per cent of the scheduled depreciated value.

5. For the fifth tax year of assessment, the assessor shall use eighty-nine per cent of the scheduled depreciated value.

6. For the sixth and subsequent tax years of assessment, the assessor shall use the scheduled depreciated value as prescribed in the department's guidelines.

D. The additional depreciation prescribed in this section shall not reduce the valuation below the minimum value prescribed by the department for property in use.
A.R.S. § 42-13552 — Arizona Code / Title 42 / Chapter 13 / Article 12 / Section 13552
42-13552 Deed restriction on guest ranch use; covenants; violation; penalty
Status: in_force

42-13552. Deed restriction on guest ranch use; covenants; violation; penalty

A. As a condition for valuation under this article, the owner of a guest ranch shall record a deed restriction with the county recorder and file a copy of the restriction with the county assessor that restricts the property to use as a guest ranch for at least ten years. The deed restriction must be refiled as necessary to ensure that the deed restriction always applies for at least ten years. For initial valuation under this article, the deed restriction must be filed on or before August 31 of the year preceding the valuation.

B. The valuation of a guest ranch under this section constitutes a covenant between the county assessor and the owner of the guest ranch that the use of the property will remain unchanged for the duration of the deed restriction.

C. The county assessor shall maintain a record of the value of the property determined under this article and the value of the property if it had not been determined under this article. The assessor shall maintain the record for at least ten years for use in computing the penalty under subsection D of this section if the property is converted to a different use in violation of the covenant.

D. If the property is converted to a different use in violation of the covenant, the owner shall notify the county assessor of the change in use.  The county assessor shall add to the tax levied against the property on the next tax roll a penalty equal to the difference between the total amount of property taxes that would have been levied on the property for the preceding ten years or the period of time the property was valued under this section, whichever period is shorter, if the property had not been valued under this section and the property taxes that were actually paid for the same period. The penalty due under this subsection shall be paid before the next property tax roll is completed and is enforceable and subject to the same penalties and interest as if the penalty were a tax levied against the property.
A.R.S. § 42-1106 — Arizona Code / Title 42 / Chapter 1 / Article 3 / Section 1106
42-1106 Time limitations for credit and refund claims
Status: in_force

42-1106. Time limitations for credit and refund claims

A. The period within which a claim for credit or refund may be filed, or credit or refund may be allowed or made if no claim is filed, is the period within which the department may make an assessment under section 42-1104.

B. If the total amount withheld under section 43-401 exceeds the amount of the tax on the employee's entire taxable income as computed under title 43, no refund, credit or offset may be made to the employee unless the employee files a return, in respect of which the tax withheld might be credited, within four years from the due date of the original return.

C. If a refund or credit of any overpayment of tax resulting from the amendments made to section 121(d)(9) of the internal revenue code by the military family tax relief act of 2003 (P.L. 108-121) is prevented by the operation of any law or rule of law, including res judicata, at any time before the close of the one year period beginning on November 11, 2003, the refund or credit may nevertheless be made or allowed if the claim is filed before the close of this period.

D. The failure to begin an action for refund or credit within the time specified in this section is a bar against the recovery of taxes by the taxpayer.
A.R.S. § 42-16153 — Arizona Code / Title 42 / Chapter 16 / Article 4 / Section 16153
42-16153 Members
Status: in_force

42-16153. Members

A. The state board of equalization consists of:

1. Ten members who are appointed by the board of supervisors of each county with a population of more than five hundred thousand persons according to the most recent United States decennial census.

2. Ten members who are appointed by the governor from each county with a population of more than five hundred thousand persons according to the most recent United States decennial census.

3. An additional member who is appointed by the governor, who is designated as chairman and who serves in a full-time capacity.

B. Other than the chairman, members of the state board of equalization shall be selected on the basis of their work experience and other qualifications in at least one of the following categories:

1. Experience in at least three of the preceding eight years in property valuation, property tax appeals or appraising real property.

2. A certified general appraiser under section 32-3612.

3. A property valuation hearing officer or member of the state board of equalization, or any predecessor to the board, for at least three of the preceding eight years.

4. A member of the state bar of Arizona with at least three years of experience in property valuation or condemnation practice.

5. Experience in at least three of the preceding eight years as a real estate broker.

C. Members who are appointed by the county board of supervisors serve at the pleasure of the county board for terms that expire at the same time as the elective term of the county supervisors. Members who are appointed by the governor serve a term of five years. Members may be reappointed.

D. Except as provided in section 42-16154, subsection A, members of the state board are eligible to receive:

1. Not more than three hundred dollars per day for time spent in performing official duties, prorated for partial days spent on official duty.

2. Reimbursement for travel and other expenses as provided by law for other state officers.

E. Members who are appointed by a county shall be paid by the county. Members who are appointed by the governor shall be paid by the state.

F. A member of the state board of equalization shall not:

1. Hold any other public office under the laws of this state or a political subdivision of this state except a position on a board or commission that does not regularly interact with the state board of equalization.

2. Be a candidate for an elective office under the laws of this or any other state.

3. Hold any position of trust nor provide or engage in any occupation or business that would conflict with the duties of a member of the board.

4. Other than the chairman, have been employed by a county assessor or county attorney or by the department of revenue or the department of law within two years before appointment.

G. The governor may remove any member of the state board who was not appointed by a county board of supervisors for any of the following reasons:

1. Cause.

2. Failure to carry out the duties and responsibilities of the position.

3. Failure to follow the rules of the board.

4. Failure to follow the directions of the chairman as provided by law.
A.R.S. § 42-5068 — Arizona Code / Title 42 / Chapter 5 / Article 2 / Section 5068
42-5068 Private car line classification
Status: in_force

42-5068. Private car line classification

A. The private car line classification is comprised of the business of operating a private car company, as defined in section 42-14301, from one point to another point in this state.

B. The tax base for the private car line classification is the gross proceeds of sales or gross income derived from the business.
A.R.S. § 42-6112 — Arizona Code / Title 42 / Chapter 6 / Article 3 / Section 6112
42-6112 County excise tax for county judgment bonds
Status: in_force

42-6112. County excise tax for county judgment bonds

A. A county, by resolution that is dated on or before December 31, 2011 and that is approved by a unanimous vote of the board of supervisors, may levy and, if levied, the department shall collect a county excise tax on each person engaging or continuing in the county in a business taxed under chapter 5, article 1 of this title and under section 42-5352, subsection A.  The tax authorized by this section is in addition to any tax authorized pursuant to section 42-6103.

B. The excise tax levied pursuant to this section shall be at a rate adopted by the board of supervisors in the resolution levying the tax, applied as a percentage of the tax rates prescribed on the date of the resolution by section 42-5010, subsection A on each class of business subject to the transaction privilege tax imposed by chapter 5, article 1 of this title and the jet fuel excise tax imposed by section 42-5352, subsection A, but not more than ten per cent through May 31, 2013 and thirty per cent thereafter.

C. Each month the state treasurer shall transmit the net revenues collected pursuant to this section to the treasurer of the county levying the tax for credit to the county's debt service fund established pursuant to section 11-681.03.

D. A tax levied pursuant to this section terminates when all debt service costs have been paid relating to county judgment bonds issued pursuant to title 11, chapter 4, article 5.  Not more than thirty days before the final debt service payment is due, the board of supervisors shall notify the department by certified mail of the termination of the tax.  Any surplus monies that are not encumbered for debt service purposes shall be used to reduce the county primary property tax levy in the following year.
A.R.S. § 42-1111 — Arizona Code / Title 42 / Chapter 1 / Article 3 / Section 1111
42-1111 Jeopardy assessments
Status: in_force

42-1111. Jeopardy assessments

A. If the department believes that the collection of any assessment or deficiency of any tax administered pursuant to this article will be jeopardized by delay, whether or not the time otherwise prescribed by law for making a return and paying the tax has expired and notwithstanding other provisions of law, the department shall immediately mail, send electronically or issue notice of its finding and the information on which the finding is based to the taxpayer and demand immediate payment of the tax or deficiency declared to be in jeopardy, including interest, penalties and additions.

B. Jeopardy assessments are immediately due and payable, and the department may immediately begin proceedings for collection. The taxpayer, however, may stay collection and prevent the jeopardy assessment from becoming final by filing, within ten days after the date of mailing or delivery of the notice of jeopardy assessment, or within such additional time as the department may allow, a bond or other security in such amounts as the department may deem necessary, not exceeding the amount of the assessment including interest and penalties as to which the stay is desired. The taxpayer may proceed to appeal the assessment as provided in article 6 of this chapter.

C. If a bond or other security is not filed within the period prescribed by subsection B of this section, the department may treat the assessment as final for purposes of any collection proceedings. The taxpayer shall be afforded the appeal rights provided in article 6 of this chapter. The filing of a petition by the taxpayer under section 42-1251 does not stay the department's rights to pursue any collection proceedings.

D. In any proceeding brought to enforce payment of taxes made due and payable by this section:

1. The belief of the department under subsection A of this section, whether or not made after notice to the taxpayer, is for all purposes presumptive evidence that the assessment or collection of the tax or the deficiency was in jeopardy.

2. A certificate of the department of the mailing, electronic sending or issuing of the notice specified in this section is presumptive evidence that the notice was mailed, sent or issued.

E. The taxpayer may request an expedited review of the department's action pursuant to section 42-2061.
A.R.S. § 42-2301 — Arizona Code / Title 42 / Chapter 2 / Article 7 / Section 2301
42-2301 Definitions
Status: in_force

42-2301. Definitions

In this article, unless the context otherwise requires:

1. "Limited managed audit agreement" means a managed audit agreement that is limited in scope to certain periods, activities, lines of business, geographic areas or transactions, including tax on the receipts of certain sales, the value of certain assets, the value of certain items or services and other categories specified in the agreement.

2. "Managed audit" means a review and analysis by a taxpayer or the taxpayer's authorized representative of the invoices, checks, accounting records or other documents and information to determine a taxpayer's liability under chapters 3, 5 or 6 of this title or title 43, chapter 11.

3. "Managed audit agreement" means a written agreement between the director and taxpayer that consists of an audit plan that requires the taxpayer to review selected revenue, expense and fact records to determine the proper filing method and to calculate the taxpayer's liability under chapter 3, 5 or 6 of this title or title 43, chapter 11. Managed audit agreement includes a limited managed audit agreement.

4. "Taxpayer's authorized representative" means a representative who is selected by the taxpayer to conduct the managed audit and who is approved by the director.
A.R.S. § 42-5206 — Arizona Code / Title 42 / Chapter 5 / Article 5 / Section 5206
42-5206 Sales between affiliated persons
Status: in_force

42-5206. Sales between affiliated persons

For the purpose of this article, in determining price, the department shall recognize sales between affiliated corporations or persons or sales between units of the same corporation provided the terms of such sales are indicative of the fair market value of the subject matter of the sale.
A.R.S. § 42-1201 — Arizona Code / Title 42 / Chapter 1 / Article 5 / Section 1201
42-1201 Levy and distraint; definition
Status: in_force

42-1201. Levy and distraint; definition

A. If a person liable to pay any tax neglects or refuses to pay the tax, the department may collect the tax, interest, penalty, other amounts owed to the department and such other sums as are sufficient to cover the expenses of the levy, by levy upon:

1. All property and rights to property, except property exempt under section 42-1204, belonging to the person or on which there is a lien as provided in article 4 of this chapter or section 42-17153 for the payment of the tax.

2. The accrued salary or wages of any officer, employee or elected official of this state or its political subdivisions, or any agency or instrumentality of this state or its political subdivisions, by serving a notice of levy on:

(a) The department of administration in the case of state wages or salaries.

(b) The chief disbursing officer of a political subdivision of the state in the case of wages or salaries paid by the political subdivision.

B. The levy shall not be made more than ten years after the amount of tax determined to be due becomes final.  The taxpayer and the department may extend the ten year limitation prescribed by this subsection for any length of time by executing a written agreement before the expiration of the ten year limitation.  If enforced collection has been stayed by operation of federal or state law, the period of limitations shall be extended by the period of time that the department was stayed from engaging in enforced collections.

C. As used in this chapter, "levy" includes the power of distraint and seizure by any means.  Except as otherwise provided in subsection E or F of this section, a levy extends only to property possessed and obligations existing at the time of the levy or within twenty-one days after the date of the levy.  In any case in which the department may levy upon property or rights to property, it may seize and sell the property or rights to the property, whether real or personal, tangible or intangible.

D. If any property or right to property upon which a levy has been made under subsection A of this section is not sufficient to satisfy the claim of the department for which the levy is made, the department may as often as may be necessary proceed to levy in like manner upon any other property liable to levy of the person against whom such claim exists, until the amount due, together with all expenses, is fully paid.

E. The effect of a levy on salary or wages payable to or received by a taxpayer is continuous from the date the levy is first made until the liability out of which the levy arose is satisfied or becomes unenforceable.

F. With respect to a levy described in subsection E of this section, the department shall promptly release the levy when the liability out of which the levy arose is satisfied or becomes unenforceable and shall promptly notify the person upon whom the levy was made that the levy has been released.
A.R.S. § 42-1123 — Arizona Code / Title 42 / Chapter 1 / Article 3 / Section 1123
42-1123 Interest
Status: in_force

42-1123. Interest

A. If it is provided by law that interest applies as determined pursuant to this section, the department shall apply interest, compounded annually, in the same manner and at the same times as prescribed by section 6621 of the United States internal revenue code, except that the rate of interest for both overpayments and underpayments for all taxpayers is the federal short-term rate, determined pursuant to section 6621(b) of the internal revenue code, plus three percentage points.

B. On January 1 of each year the department shall add any interest outstanding as of that date to the principal amount of the tax. For purposes of this section the amount added to the principal is thereafter considered a part of the principal amount of the tax and accrues interest pursuant to this section.

C. If the tax, whether determined by the department or the taxpayer, or any portion of the tax is not paid on or before the date prescribed for its payment the department shall collect, as a part of the tax, interest on the unpaid amount at the rate determined pursuant to this section from the date prescribed for its payment until it is paid.

D. Interest on the amount assessed as a deficiency shall be assessed and paid at the same time as the deficiency at the rate determined pursuant to this section from the date prescribed for the payment of the tax to the date the deficiency is assessed. If any portion of the deficiency is paid before the date it is assessed, interest shall accrue on that portion only to the date paid.

E. If the time for filing a return is extended, the department shall collect, as part of such tax, interest on any unpaid balance at the rate determined pursuant to this section from the date on which the payment should have been made if no extension had been granted until the date the tax is paid.

F. Except in the case of a jeopardy assessment, collection of which has been stayed by the posting of a bond, if a deficiency or any interest is not paid in full within ten days from the date of notice and demand from the department, the department shall collect as a part of the tax interest on the unpaid tax or interest at the rate determined pursuant to this section from the date of the notice and demand until it is paid.

G. If an original return filed with the department shows that the taxpayer is entitled to a refund, interest is not allowed on the amount to be refunded if the refund is paid within sixty days of the last day for filing the return or sixty days from the filing of the return, whichever is later. If the department does not pay the amount of the refund due within sixty days after the date established in this subsection, the department shall pay the interest on the amount at the rate prescribed in this section from the sixty-first day to the issued date of the refund warrant. The department's annual budget shall separately state the amount necessary to satisfy the requirements of this subsection.

H. In the case of an amended return, claim for refund or refund determined through audit, interest shall be allowed and paid, with respect to any tax, from the date prescribed for the payment of that tax to the issue date of the refund warrant, but in the case of an original return of tax which is filed after the last date prescribed for filing the return and paying such tax, determined with regard to extensions, no interest may be allowed or paid for any day before the date on which the return is filed or the tax paid, whichever is later. A payment not made incident to a bona fide and orderly discharge of an actual liability or one reasonably assumed to be imposed by law is not an overpayment for the purposes of this subsection and interest is not payable on the payment.

I. If a credit or refund of any part of an overpayment would be barred under section 42-1106, subsection A, except for the provisions of section 42-1104, subsection B, paragraph 4, interest shall not be allowed or paid with respect to such part of the overpayment for any period beginning after the expiration of the period of limitation provided in section 42-1106, subsection A for filing a claim for credit or refund of such part of the overpayment and ending at the expiration of six months after the date on which the claim was filed or, if no claim was filed and the overpayment was found by the department, ending at the time the appeal was filed with the board.

J. In any judgment of any court rendered for any overpayment, interest shall be allowed at the rate determined pursuant to this section on the amount of the overpayment from the date of the payment or collection to the date of allowance of credit on account of such judgment or to a date determined by the department preceding the date of the refund warrant by not more than thirty days.
A.R.S. § 42-13454 — Arizona Code / Title 42 / Chapter 13 / Article 10 / Section 13454
42-13454 Managing entity as agent of owner
Status: in_force

42-13454. Managing entity as agent of owner

A. Except as provided in subsection B, for the purpose of ad valorem taxation the managing entity identified on the timeshare use form is considered to be the taxpayer as agent of the person who owns the timeshare property.

B. For the purpose of an appeal pursuant to chapter 16 of this title, the managing entity may be considered the agent of the person who owns the timeshare property.
A.R.S. § 42-2079 — Arizona Code / Title 42 / Chapter 2 / Article 2 / Section 2079
42-2079 Suspension of liabilities by reason of disasters, terroristic or military actions or states of emergency; definitions
Status: in_force

42-2079. Suspension of liabilities by reason of disasters, terroristic or military actions or states of emergency; definitions

A. Notwithstanding sections 42-1107 and 42-1123, the director shall specify a period of up to one year to extend any due date and suspend any penalty or interest that would ordinarily accrue during that time for any affected taxpayer in any of the following circumstances:

1. Section 7508A of the internal revenue code relating to disasters and terroristic and military actions applies.

2. The governor has declared a state of emergency pursuant to section 26-303, subsection D.

B. Notwithstanding section 42-1123, interest shall not accrue on any unpaid tax during the time determined under subsection A of this section for any affected taxpayer.

C. For the purposes of this section:

1. "Affected taxpayer" means:

(a) An individual whose principal residence is located in a covered area.

(b) A business entity or sole proprietor whose principal place of business is located in a covered area.

(c) An individual who is a relief worker affiliated with a recognized government or philanthropic organization and who is assisting in a covered area.

(d) An individual, business entity or sole proprietor whose records necessary to meet a tax filing or paying deadline are maintained in a covered area.

(e) The spouse of an affected taxpayer, solely with regard to a joint return of the husband and wife.

(f) Any other person determined by the director to be affected pursuant to subsection A of this section.

2. "Covered area" means a geographical area to which subsection A of this section applies.
A.R.S. § 42-11131 — Arizona Code / Title 42 / Chapter 11 / Article 3 / Section 11131
42-11131 Exemption for low-income Indian housing; definitions
Status: in_force

42-11131. Exemption for low-income Indian housing; definitions

A. Property owned and operated by a federally recognized Indian tribe or its tribally designated housing authority is exempt from taxation, subject to the following requirements:

1. The property must be used exclusively for the charitable purpose of providing low-income rental housing and related facilities for the use of Indians.

2. The property may not be used, held or operated for profit.

3. No part of the net earnings of the housing authority, if any, may inure to the benefit of any private shareholder or individual.

4. The housing was designed and constructed, in whole or in part, using federal financial assistance pursuant to the Native American Housing assistance and self-determination act of 1996 (P.L. 104-330; 25 United States Code chapter 43) or using tribal government monies.

B. To apply for an initial exemption under this section, an Indian tribe or tribal housing authority must submit the following documents to the county assessor:

1. Documents establishing the federal recognition of the Indian tribe.

2. Documents establishing that the housing authority, if any:

(a) Is formally designated by the tribe for the purposes of owning and operating rental housing facilities for Indians.

(b) Is recognized as a charitable institution pursuant to section 501(c)(3) of the internal revenue code.

3. Legally binding documents that establish a current agreement or other restriction that limits the property’s use to low-income rental housing and related facilities for Indians.

C. An Indian tribe or tribal housing authority shall notify the county assessor in writing pursuant to section 42-11152 if the property is conveyed to a new owner or is no longer used for the qualifying purposes under subsection A, paragraph 1 of this section or if any legal or equitable interest in any part of the property is conveyed to a new owner.

D. This section shall not be interpreted to prevent an Indian tribe or tribal housing authority from making voluntary payments in lieu of property taxes to a county, city, town, school district or other political subdivision for providing services, improvements or facilities for the benefit of a low-income housing project owned and operated by the tribe or housing authority. Any payments in lieu of tax may not exceed the maximum amount permitted under applicable federal law, if any, or the estimated cost to the county, city, town, school district or other political subdivision of the services, improvements or facilities to be provided, whichever is less.

E. For the purposes of this section:

1. "Indian" has the same meaning prescribed in 25 United States Code section 4103.

2. "Indian tribe" has the same meaning prescribed in 25 United States Code section 4103.

3. "Low-income rental housing" means housing for individuals or families having an income that does not exceed the income for a low-income family, as defined in 25 United States Code section 4103.

4. "Related facilities" means nonhousing facilities that are located on the low-income housing property and that are available for the use of Indian tenants in conjunction with their use of the housing facilities.
A.R.S. § 42-13056 — Arizona Code / Title 42 / Chapter 13 / Article 2 / Section 13056
42-13056 Taxable value of solar energy devices classified as personal property; depreciated value; definition
Status: in_force

42-13056. Taxable value of solar energy devices classified as personal property; depreciated value; definition

A. When characterized as personal property, subject to any applicable constitutional exemption from taxation, the property specified in section 42-11054, subsection C, paragraph 3 shall be valued annually, at its taxable original cost, minus any appropriate depreciation as prescribed by tables adopted by the department.  Each taxpayer that owns the property specified in section 42-11054, subsection C, paragraph 3 shall annually report to the assessor in each county where the property is located the taxable original cost of the property.

B. As the annual scheduled depreciated value for this section, the county assessor shall use the depreciation table prescribed by the department for personal property with a ten-year life, based on the date each device or system was placed into service.

C. Notwithstanding any other law, the county assessor shall adjust the depreciation schedules prescribed by the department as follows:

1. For the first tax year of assessment, the assessor shall use three percent of the scheduled depreciated value.

2. For the second tax year of assessment, the assessor shall use three percent of the scheduled depreciated value.

3. For the third tax year of assessment, the assessor shall use three percent of the scheduled depreciated value.

4. For the fourth tax year of assessment, the assessor shall use four percent of the scheduled depreciated value.

5. For the fifth tax year of assessment, the assessor shall use five percent of the scheduled depreciated value.

6. For the sixth tax year of assessment, the assessor shall use six percent of the scheduled depreciated value.

7. For the seventh tax year of assessment, the assessor shall use eight percent of the scheduled depreciated value.

8. For the eighth tax year of assessment, the assessor shall use eleven percent of the scheduled depreciated value.

9. For the ninth tax year of assessment, the assessor shall use twenty-four percent of the scheduled depreciated value.

10. For the tenth tax year of assessment, the assessor shall use one hundred percent of the scheduled depreciated value.

D. For the purposes of this section, "taxable original cost" means the original cost minus the value of any investment tax credits, production tax credits or cash grants in lieu of investment tax credits applicable to the taxable renewable energy equipment.
A.R.S. § 42-16203 — Arizona Code / Title 42 / Chapter 16 / Article 5 / Section 16203
42-16203 Appeal from state board of equalization to court
Status: in_force

42-16203. Appeal from state board of equalization to court

A. Any party, or the department, that is dissatisfied with the valuation or classification of property reviewed by the state board of equalization may appeal to court as provided by this article.

B. The department or a county assessor who is dissatisfied with the determination by the state board of an equalization order under section 42-16159 may appeal to the court as provided by this article.

C. An appeal to court shall be taken within sixty days after the date of mailing of the state board's final decision.

D. Appeals resulting from a change in value due to correcting a property tax error pursuant to article 6 of this chapter shall be filed within sixty days after the date of mailing of the state board's decision.
A.R.S. § 42-12005 — Arizona Code / Title 42 / Chapter 12 / Article 1 / Section 12005
42-12005 Class five property
Status: in_force

42-12005. Class five property

For purposes of taxation, class five is established consisting of:

1. Real and personal property of railroad companies used in the continuous operation of railroads that are valued at full cash value under chapter 14, article 8 of this title.

2. Real and personal property used in the operation of private car companies that are valued at full cash value under chapter 14, article 7 of this title.

3. Flight property that is valued at full cash value under chapter 14, article 6 of this title.
A.R.S. § 42-1207 — Arizona Code / Title 42 / Chapter 1 / Article 5 / Section 1207
42-1207 Financial institutions data match; prohibited disclosure; civil liability; fee; definition
Status: in_force

42-1207. Financial institutions data match; prohibited disclosure; civil liability; fee; definition

A. The department may enter into agreements with financial institutions that conduct business in this state to develop and operate a data match system to assist the department in the collection of delinquent taxes, penalties and interest.  The data match system shall use automated data exchange procedures to the maximum extent possible.

B. Any data exchanges between financial institutions and the department under an agreement pursuant to subsection A shall occur quarterly. The data exchanges shall include the name, address of record, social security number or other taxpayer identification number and any other identifying information for each delinquent taxpayer who maintains an account at the institution and who owes delinquent taxes as identified by the department by name and social security number or other taxpayer identification number.

C. The department or its agent may only disclose a person's financial record under this section in order to enforce the collection of a person's delinquent tax obligation.

D. A department employee who knowingly or negligently discloses a person's financial records in violation of subsection C is subject to civil liability in an amount equal to the greater of either:

1. One thousand dollars for each act of unauthorized disclosure of a financial record with respect to which the department employee is found liable.

2. The sum of the actual damages sustained by the plaintiff as a result of the unauthorized disclosure and, in the case of a wilful disclosure or a disclosure that is the result of gross negligence, punitive damages, including costs and attorney fees.

E. The department may pay a reasonable fee to a financial institution for conducting a data match. The fee shall not exceed the actual costs incurred by the financial institution.

F. For the purposes of this section, "financial institution" means state and federally chartered banks, trust companies, federal and state savings and loan associations, federal and state credit unions, consumer lenders, international banking facilities and financial institution holding companies, insurance companies, benefit associations, safe deposit companies, money market mutual funds and similar institutions authorized to do business in this state and any party affiliated with these financial institutions.
A.R.S. § 42-15151 — Arizona Code / Title 42 / Chapter 15 / Article 4 / Section 15151
42-15151 Preparation of county roll
Status: in_force

42-15151. Preparation of county roll

The county assessor shall prepare the assessment roll in the form and containing the information prescribed by the department.
A.R.S. § 42-5034 — Arizona Code / Title 42 / Chapter 5 / Article 1 / Section 5034
42-5034 Determination of place of business for distribution of tax monies
Status: in_force

42-5034. Determination of place of business for distribution of tax monies

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 oil, natural gas, limestone, sand, gravel or nonmetalliferous mineral product is extracted, mined, quarried or pumped.

3. Section 42-5063, at the location where the electricity, gas or water is delivered to the consumer.

4. Section 42-5064, at the location from which the messages or conversations by telephone or messages by telegraph are transmitted.

5. Section 42-5067, at the location where the oil or artificial or natural gas is delivered to the consumer.

6. Section 42-5074, in the case of dining cars, and section 42-5068, in each county or Indian reservation in which such cars are operated in the same proportion that the mileage of railroads in each county over which the cars are operated bears to the total mileage of railroads in the state over which the cars are operated.

7. Section 42-5065, at the location where the newspaper, magazine or other periodical or publication is published.

8. Section 42-5066, at the location where the job printing, engraving, embossing or copying is done.

9. Section 42-5061 and section 42-5352, subsection A, at the location where the sale is made.

10. Section 42-5074, except in the case of dining cars, in the county or Indian reservation where the restaurants, dining rooms, lunchrooms, lunchstands, soda fountains or similar establishments where articles of food or drink are sold for consumption on the premises are located.

11. Sections 42-5069, 42-5070, 42-5071 and 42-5073, at the location where the businesses therein enumerated are located or conducted.

B. For the purpose of determining a county’s proportion of use tax on the use or consumption of tangible personal property purchased from a utility business, the taxpayer is considered to be located in the county where the tangible personal property is used or consumed.

C. Except as provided in this section, if a taxpayer is engaged in business in locations in more than one county or in locations both in and outside Indian reservations, the business in which the taxpayer is engaged in each location shall be determined by the department, and each respective county and reservation shall be entitled to distribution of their share of taxes on the basis of the business engaged in by such taxpayer in that county.
A.R.S. § 42-2075 — Arizona Code / Title 42 / Chapter 2 / Article 2 / Section 2075
42-2075 Audit duration; applicability; initial audit contact
Status: in_force

42-2075. Audit duration; applicability; initial audit contact

A. An audit of a taxpayer's return or claim for refund shall not exceed two years after the date of initial audit contact to the issuance of a notice of proposed deficiency assessment or proposed overpayment, except:

1. An audit of a fraudulent tax return.

2. An audit delayed as the result of the taxpayer's bankruptcy proceeding.

3. An audit in which the department has issued a letter to the taxpayer or the taxpayer's representative citing the potential imposition of the penalty described in section 42-1125, subsection C for the taxpayer's failure or refusal to provide information pursuant to the department's written request.

4. An audit involving proceedings concerning the enforcement or validity of a subpoena or subpoena duces tecum issued pursuant to section 42-1006, subsection C.

5. An audit involving a proceeding under section 42-2056.

6. An audit in which a taxpayer has filed a petition pursuant to section 43-1148, but only in relation to the effect of the petition request.

7. An audit in which the taxpayer provides a written request to extend the audit beyond the two-year period. A request for extension under this paragraph is not a substitute for a waiver of the statute of limitations pursuant to section 42-1104, subsection B, paragraph 9.  However, a waiver of the statute of limitations is considered to be a written request to extend the audit beyond the two-year period under this paragraph.

B. This section applies to audits conducted by the department and to audits conducted by the department and cities and towns pursuant to section 42-6002.

C. For the purposes of subsection A of this section, an initial audit contact occurs:

1. For a field audit, on the date of the first meeting between the taxpayer or the taxpayer's representative and a member of the department's audit staff.

2. For a desk or office audit or a review conducted pursuant to section 42-1109, on the date of the first letter to the taxpayer regarding the audit or review.  A letter is not considered to be regarding the audit or review if the letter is only requesting one or more of the following:

(a) The required filing of a tax return.

(b) A copy of the taxpayer's federal return.

(c) Required documents that the taxpayer failed to include with the return.

(d) Documentation to resolve an inconsistency within the return or a discrepancy between the return and other information that is received from a third party or that is otherwise already in the department's possession, if the adjustment of the return due to the inconsistency or discrepancy would be considered a nonaudit adjustment under section 42-1108, subsection G or H.

(e) Information that was left out of the taxpayer's return because a submitted form was incomplete.

(f) Replacements for documents that are not legible.
A.R.S. § 42-3251.01 — Arizona Code / Title 42 / Chapter 3 / Article 6 / Section 3251.01
42-3251.01 Levy and collection of tobacco tax
Status: in_force

42-3251.01. Levy and collection of tobacco tax

(Caution:  1998 Prop. 105 applies)

A. In addition to the taxes imposed by section 42-3251, paragraphs 1 through 5, there is levied and shall be collected an additional tax of one and one-half times the tax prescribed in that section on January 1, 2002.

B. Monies collected pursuant to this section shall be deposited, pursuant to sections 35-146 and 35-147, in the tobacco products tax fund established by section 36-770.
A.R.S. § 42-5070 — Arizona Code / Title 42 / Chapter 5 / Article 2 / Section 5070
42-5070 Transient lodging classification; definition
Status: in_force

42-5070. Transient lodging classification; definition

A. The transient lodging classification is comprised of the business of operating, for occupancy by transients, a hotel or motel, including an inn, tourist home or house, dude ranch, resort, campground, studio or bachelor hotel, lodging house, rooming house, apartment house, dormitory, public or private club, mobile home or house trailer at a fixed location or other similar structure, and also including a space, lot or slab that is occupied or intended or designed for occupancy by transients in a mobile home or house trailer furnished by them for such occupancy.

B. The transient lodging classification does not include:

1. Operating a convalescent home or facility, home for the aged, hospital, jail, military installation or fraternity or sorority house or operating any structure exclusively by an association, institution, governmental agency or corporation for religious, charitable or educational purposes, if no part of the net earnings of the association, corporation or other entity inures to the benefit of any private shareholder or individual.

2. A lease or rental of a mobile home or house trailer at a fixed location or any other similar structure, and also including a space, lot or slab that is occupied or intended or designed for occupancy by transients in a mobile home or house trailer furnished by them for such occupancy for thirty or more consecutive days.

3. Leasing or renting four or fewer rooms of an owner-occupied residential home, together with furnishing no more than a breakfast meal, to transient lodgers at no more than a fifty percent average annual occupancy rate.

4. The activities of any online lodging marketplace, as defined in section 42-5076.

C. The tax base for the transient lodging classification is the gross proceeds of sales or gross income derived from the business, except that the tax base does not include:

1. The gross proceeds of sales or gross income derived from business activity that is properly included in another business classification under this article and that is taxable to the person engaged in that business classification, but the gross proceeds of sales or gross income to be deducted shall not exceed the consideration paid to the person conducting the activity.

2. The gross proceeds or gross income received by an online lodging operator, as defined in section 42-5076, from any online lodging transactions, as defined in section 42-5076, for which the online lodging operator has received documentation from a registered online lodging marketplace, as defined in section 42-5076, pursuant to section 42-5009, subsection P that the online lodging marketplace has remitted or will remit the applicable tax to the department pursuant to section 42-5014, subsection E.

D. For the purposes of this section, the tax base for the transient lodging classification does not include gross proceeds of sales or gross income derived from:

1. Transactions or activities that are not limited to transients and that would not be taxable if engaged in by a person not subject to tax under this article.

2. Transactions or activities that are not limited to transients and that would not be taxable if engaged in by a person subject to taxation under section 42-5062 or 42-5073 due to an exclusion, exemption or deduction.

3. Commissions paid to a person that is engaged in transient lodging business subject to taxation under this section by a person providing services or property to the customers of the person engaging in the transient lodging business.

E. The department shall separately account for revenues collected under the transient lodging classification for the purposes of section 42-5029, subsection D, paragraph 4, subdivision (b).

F. For the purposes of this section, "transient" means any person who either at the person's own expense or at the expense of another obtains lodging space or the use of lodging space on a daily or weekly basis, or on any other basis for less than thirty consecutive days.
A.R.S. § 42-12103 — Arizona Code / Title 42 / Chapter 12 / Article 3 / Section 12103
42-12103 Review of application by state historic preservation officer; approval or denial
Status: in_force

42-12103. Review of application by state historic preservation officer; approval or denial

A. The state historic preservation officer, with the assistance of the Arizona historical advisory commission, shall review the application and may view the premises.

B. The state historic preservation officer shall notify the county assessor and the applicant of the approval or denial of the application on or before August 1 of the valuation year.  An application that is not approved by August 1 is considered to be denied.

C. The state historic preservation officer shall not deny an application solely because of the potential loss of revenue that may result from granting the application if the officer finds that the property is historic property. The state historic preservation officer may approve the application with respect to only part of the property that is subject to the application.

D. If any part of the application is denied, or at any time before approval, the applicant may withdraw the application.

E. An owner whose application has been denied may appeal to either the tax court or the superior court pursuant to section 12-163, subsection B.

F. If the state historic preservation officer determines that the property qualifies for classification as historic property, the officer shall certify the determination in writing and shall file a copy of the certificate with the county assessor within ten days. The certificate shall state the facts on which the approval was based.
A.R.S. § 42-13605 — Arizona Code / Title 42 / Chapter 13 / Article 13 / Section 13605
42-13605 Appeals
Status: in_force

42-13605. Appeals

A. An owner or operator of low-income multifamily residential rental property that opts into the income valuation method set forth in this article may appeal the value of the property pursuant to chapter 16 of this title. On appeal, the owner or operator may submit more recent income and expense data from the year preceding January 1 of the valuation year to be used in calculating the value of the property by the valuation method set forth in this article.

B. An owner or operator of low-income multifamily residential rental property that does not opt into the income valuation method set forth in this article may appeal the value of the property using the valuation method set forth in this article.
A.R.S. § 42-5158 — Arizona Code / Title 42 / Chapter 5 / Article 4 / Section 5158
42-5158 Motor vehicles used by motor vehicle manufacturers
Status: in_force

42-5158. Motor vehicles used by motor vehicle manufacturers

The tax imposed by this article on a motor vehicle manufacturer for the storage, use or consumption of its maintenance, support or service motor vehicles shall be levied and imposed on a monthly basis and is applied as a percentage of one thirty-ninth of the dealer net price of the motor vehicles. This tax shall not be imposed for more than thirty-nine months on any motor vehicle. Motor vehicles and component parts used in any manner for testing or development by motor vehicle manufacturers are not subject to the tax imposed pursuant to this article.
A.R.S. § 42-5304 — Arizona Code / Title 42 / Chapter 5 / Article 7 / Section 5304
42-5304 Disposition of revenues
Status: in_force

42-5304. Disposition of revenues

The department shall separately account for monies paid under this article and shall deposit, pursuant to sections 35-146 and 35-147, the first $1,800,000 of net revenues collected under this article in the safe drinking water program fund established by section 49-360 and the remaining net revenues in the water quality assurance revolving fund established by section 49-282.
A.R.S. § 42-13351 — Arizona Code / Title 42 / Chapter 13 / Article 8 / Section 13351
42-13351 Method and procedures for valuing property of manufacturers, assemblers or fabricators; confidentiality
Status: in_force

42-13351. Method and procedures for valuing property of manufacturers, assemblers or fabricators; confidentiality

A. Real or personal property that is subject to valuation for property tax purposes and that is used by any manufacturer, assembler or fabricator of tangible personal property, except property that is included in class one, paragraphs 1 through 9 and paragraphs 11 through 14 and classes two, three, four, five, six, seven, eight or nine, shall be valued pursuant to this article.

B. All information that a taxpayer submits pursuant to this article is confidential pursuant to chapter 2, article 1 of this title.
A.R.S. § 42-14306 — Arizona Code / Title 42 / Chapter 14 / Article 7 / Section 14306
42-14306 Administrative review of valuation
Status: in_force

42-14306. Administrative review of valuation

A. On or before July 15 of each year, a private car company may request in writing that the department review its valuation. The department shall rule on any review of valuation on or before August 31 and shall notify the private car company of its ruling by first class mail or e-mail.

B. Representing a taxpayer before the department or appearing on a taxpayer's behalf is not considered to be the practice of law.
A.R.S. § 42-3103 — Arizona Code / Title 42 / Chapter 3 / Article 3 / Section 3103
42-3103 Monies allocated for state school aid
Status: in_force

42-3103. Monies allocated for state school aid

The department shall allocate the following monies for the purpose of state school aid:

1. 1.17 per cent of the monies collected pursuant to section 42-3052, paragraph 1.

2. 14 per cent of the monies collected pursuant to section 42-3052, paragraph 3.

3. 19.44 per cent of the monies collected pursuant to section 42-3052, paragraph 5.
A.R.S. § 42-11009 — Arizona Code / Title 42 / Chapter 11 / Article 1 / Section 11009
42-11009 Public access to valuation and assessment information
Status: in_force

42-11009. Public access to valuation and assessment information

A. The county assessor or the department shall:

1. Make public documents and public records that relate to locally assessed property valuation and assessment available to the public in the media and format in which they are maintained on or before the date prescribed by law on which the contents of the document become official and effective. The assessor or the department shall make information relating to notices of valuation prescribed in chapter 15, article 3 of this title available to the taxpayer or the taxpayer's representative in the media and format in which it is maintained, including microfiche and electronic media, on or before the date these notices are mailed.

2. Notwithstanding paragraph 1, on request, reproduce and deliver those public documents and records within ten days after the date of the request. If the assessor cannot reasonably provide the copies within ten days, the assessor shall provide a written estimate of the time that is reasonably necessary to provide the copies. If the assessor fails to provide the requested copies within ten days or fails to provide an estimate of the time that is reasonably necessary to provide the copies, the person making the request may bring an action to compel compliance with this section and may obtain an award of legal costs and reasonable attorney fees pursuant to section 39-121.02.

3. On written request, furnish the requested public information on electronic media if the requested information is maintained electronically. Information shall be furnished under this paragraph in the media and format in which the assessor maintains it.

B. Information obtained for the purpose of preparing and defending a property tax appeal is not considered to be obtained for a commercial purpose as defined in section 39-121.03. The assessor or department may charge the actual cost of reproducing information under this section. The assessor or department, on request, shall provide written documentation to support the reproduction costs charged. The assessor or department shall not assess a fee for granting a release of public information that is in the possession or custody of the assessor, the department or another official.
A.R.S. § 42-12154 — Arizona Code / Title 42 / Chapter 12 / Article 4 / Section 12154
42-12154 Approval of nonconforming property
Status: in_force

42-12154. Approval of nonconforming property

A. The county assessor may:

1. Approve the agricultural classification of property if the property has either:

(a) Fewer than the minimum number of acres or animal units as prescribed in section 42-12151.

(b) Been in commercial agricultural production for less than the period prescribed in section 42-12152, subsection A, paragraph 1.

2. Continue the agricultural classification of owner occupied property if a change in classification of the property would cause extreme hardship to the property owner.

B. The county assessor may continue the agricultural classification of owner occupied property that has fewer than the minimum number of animal units as prescribed in section 42-12151, paragraph 3 if the number of animal units equals, as nearly as practicable, the property's carrying capacity.
A.R.S. § 42-17251 — Arizona Code / Title 42 / Chapter 17 / Article 6 / Section 17251
42-17251 Extension of assessment roll to all taxing jurisdictions in the county; equalization
Status: in_force

42-17251. Extension of assessment roll to all taxing jurisdictions in the county; equalization

A. Each county assessor shall compile the assessment roll, showing:

1. The total valuations of all property subject to taxation.

2. The valuation assessed to each taxpayer for each taxing jurisdiction in the county to show each assessment.

3. The total valuation of all of the property that is subject to taxation in the county and in each taxing jurisdiction in the county.

B. The county roll constitutes the assessment roll for each taxing jurisdiction.

C. The state and county boards of equalization shall equalize the assessments for each taxing jurisdiction to the same extent, in the same manner and at the same time that taxes for general county purposes are equalized.
A.R.S. § 42-17110 — Arizona Code / Title 42 / Chapter 17 / Article 3 / Section 17110
42-17110 Budget of a newly incorporated city or town
Status: in_force

42-17110. Budget of a newly incorporated city or town

A. Notwithstanding any other provision of this article, a city or town that is incorporated after the third Monday in July or before June 30 in any fiscal year may adopt an interim budget by ordinance for the remainder of the fiscal year in which the city or town was incorporated.

B. The city or town shall hold hearings on the proposed budget as prescribed by this article.

C. The city or town may issue warrants pursuant to sections 9-247 through 9-250 to pay necessary expenses, which shall be redeemed when monies become available in the next fiscal year.

D. The interim budget is not a base for computing allowable increases in the budget for the succeeding full fiscal year. The budget for the succeeding full fiscal year may be made as if no interim budget had been adopted.
A.R.S. § 42-15102 — Arizona Code / Title 42 / Chapter 15 / Article 3 / Section 15102
42-15102 Notice information entered by assessor
Status: in_force

42-15102. Notice information entered by assessor

A. The assessor shall include in the assessment notice:

1. The full cash value found by the assessor for the property for the preceding valuation year.

2. The classification of the property pursuant to chapter 12 of this title.

3. The mailing date of the notice.

4. The last date on which the owner may file an appeal from the valuation or classification assigned to the property.

B. Except for property that is listed as class three property under section 42-12003, owner-occupied residential property that is listed as class four property under section 42-12004, subsection A, paragraph 1 and single family rented residential property that is listed as class four property under section 42-12004, subsection A, paragraph 2, the notice shall separately list the full cash value of the land and the full cash value of the improvement or improvements associated with the land.
A.R.S. § 42-15061 — Arizona Code / Title 42 / Chapter 15 / Article 2 / Section 15061
42-15061 Deduction of liabilities from assessed solvent debts
Status: in_force

42-15061. Deduction of liabilities from assessed solvent debts

If solvent debts are assessed, the person against whom they are assessed may deduct the person's liabilities from the amount of the debts.
A.R.S. § 42-11005 — Arizona Code / Title 42 / Chapter 11 / Article 1 / Section 11005
42-11005 Suit to recover illegally levied, assessed or collected tax; refund
Status: in_force

42-11005. Suit to recover illegally levied, assessed or collected tax; refund

A. Except as provided in chapter 16, article 6 of this title, within one year after payment of the first installment of tax, an action may be maintained to recover any tax that was illegally collected.

B. If the court determines that the tax due is less than the amount paid, the excess shall be refunded in the manner provided by this title with interest at the legal rate computed from the date of overpayment. For the purpose of computing interest under the judgment, if the tax was paid in installments, a pro rata share of the total overpayment is considered to be attributable to each installment.

C. The department shall be a party to any action brought pursuant to this section.

D. Any taxpayer who is dissatisfied with the valuation or classification of the taxpayer's property may appeal to court only in the time and manner prescribed in chapter 16 of this title.
A.R.S. § 42-3458 — Arizona Code / Title 42 / Chapter 3 / Article 11 / Section 3458
42-3458 Discount purchases of tax stamps; refund, redemption and rebate amounts
Status: in_force

42-3458. Discount purchases of tax stamps; refund, redemption and rebate amounts

A. The official stamps to be affixed to packages of cigarettes shall be obtainable from the department by each licensed distributor by purchase or as may be acquired pursuant to department procedures:

1. On or before September 30, 2014, at the following discount rates:

(a) Ninety-six percent of the face value for the first thirty-six thousand dollars worth of stamps purchased by the distributor in any month.

(b) Ninety-seven percent of the face value for the second thirty-six thousand dollars worth of stamps purchased by the distributor in any month.

(c) Ninety-eight percent of the face value on all stamps in excess of seventy-two thousand dollars purchased by the distributor in any month, except that if a distributor purchases more than one hundred sixty-five thousand dollars worth of stamps in one month, the department shall offset against the discount under this subdivision, or the distributor shall refund to the department, the difference between the face value and the discounted value of the first seventy-two thousand dollars worth of stamps under subdivisions (a) and (b) of this paragraph.

2. After September 30, 2014 through September 30, 2016, at the rate of ninety-six percent of the face value of the stamps.

3. After September 30, 2016, at the discount rate of 96.48 percent of the face value of all categories of stamps, except that:

(a) For those categories of stamps with a face value of zero, 3.52 cents per stamp shall be remitted to the acquiring distributor as an administrative allowance subject to the reporting of the affixation of such stamps pursuant to section 42-3462.

(b) For those categories of stamps for which the tax is not precollected pursuant to article 7 of this chapter, 3.52 cents per stamp shall be remitted to the acquiring distributor as an administrative allowance subject to the reporting of the affixation of such stamps pursuant to section 42-3462.

B. Any refund of tax stamps requested by a licensed distributor pursuant to section 42-3008 or redemption of unused or spoiled tax stamps pursuant to section 42-3460 shall be issued in an amount of:

1. The total face value of the stamps minus four percent if subsection A, paragraph 2 of this section applies to the stamps.

2. The total face value of the stamps minus 3.52 percent if subsection A, paragraph 3 of this section applies to the stamps.

C. Any rebate of tax stamps requested by a licensed distributor for which the tax is precollected pursuant to article 7 of this chapter shall be at the full face value of the stamps.
A.R.S. § 42-16159 — Arizona Code / Title 42 / Chapter 16 / Article 4 / Section 16159
42-16159 Hearing on department equalization order
Status: in_force

42-16159. Hearing on department equalization order

A. At the request of a county assessor who receives an equalization order issued by the department under chapter 13, article 6 of this title, the state board shall hold a hearing and issue its decision within fifteen days after receipt of an appeal pursuant to section 42-13255.

B. The state board shall receive testimony from the department and the assessor on the merits of the equalization order as to:

1. The proper application of standard appraisal methods and techniques.

2. The rules and guidelines of the department as they relate to the order.

3. Any errors in the information or methodology used by the department to determine the necessity for the order, including changes in the valuation of property that were not included in the information used by the department.

4. Any other evidence relating to the validity of the order.

C. Revisions to the equalization order are effective for the valuation year in which the equalization order was issued.
A.R.S. § 42-16205 — Arizona Code / Title 42 / Chapter 16 / Article 5 / Section 16205
42-16205 Appeal to court in the case of new construction, changes to assessment parcels and changes in use
Status: in_force

42-16205. Appeal to court in the case of new construction, changes to assessment parcels and changes in use

An appeal to court from the state board of equalization or a county board of equalization relating to changes in assessments under section 42-15105 due to new construction, additions to or deletions from assessment parcels or changes in property use that occur after September 30 of the preceding year and before October 1 of the valuation year shall be filed within sixty days after the date of mailing of the decision.
A.R.S. § 42-2060 — Arizona Code / Title 42 / Chapter 2 / Article 2 / Section 2060
42-2060 Refund if items of income transfer from one year to another
Status: in_force

42-2060. Refund if items of income transfer from one year to another

A. Notwithstanding any statute of limitations provided in this title or title 43:

1. Any overpayment of taxes that is paid pursuant to title 43, that is due a taxpayer for any year and that results from a transfer of items of income or deductions, or both, to or from another year for the same taxpayer, or for the same year for a related taxpayer described in sections 42-1120, 42-1121 and 43-645, shall be allowed as an offset in computing any deficiency in tax for any year resulting from the transfer of such income or deductions, or both, but no refund shall be allowed unless the overpayment is certified to the director of the department of administration or a claim for refund is filed within the time otherwise provided for in this title.

2. An overpayment due an S corporation, as defined in section 1361 of the internal revenue code, for any year that results from an improper inclusion of income is allowed as an offset in computing any deficiency in an overlapping year for the shareholders of the S corporation.

B. The offsets provided by subsection A of this section shall not be allowed after the expiration of seven years from the due date of the return on which the overpayment is determined.
A.R.S. § 42-15059 — Arizona Code / Title 42 / Chapter 15 / Article 2 / Section 15059
42-15059 Liability for items of personal property
Status: in_force

42-15059. Liability for items of personal property

Each item of property in an assessment is liable for the taxes on all items of personal property in the same assessment.
A.R.S. § 42-2254 — Arizona Code / Title 42 / Chapter 2 / Article 6 / Section 2254
42-2254 Safeguards and protections
Status: in_force

42-2254. Safeguards and protections

A. Any software or related materials that are provided to the department under this article are subject to the safeguards provided in this section.

B. In any court proceeding to enforce a subpoena duces tecum for any portion of software, the court may receive evidence and issue any order necessary to prevent the disclosure of trade secrets or other confidential information with respect to the software, including requiring that any information be placed under seal to be opened only as directed by the court.

C. Notwithstanding any other provision of this article, in the case of software that comes into the possession or control of the department in the course of any examination with respect to any taxpayer, the department shall:

1. Use and analyze the software and related materials only in connection with the examination of the taxpayer's return with which it was received, in any subsequent administrative or judicial proceeding and in any inquiry into any offense connected with the administration or enforcement of this title or title 43.

2. Provide the taxpayer and the software owner with a written list of the names of all persons who will analyze or otherwise have access to the software.

3. Maintain the software in a secure area or place.

4. Obtain either the owner's written consent or a court order authorizing removal before removing the computer source code from the owner's place of business.

5. Refrain from decompiling or disassembling the software.

6. Copy the software only as necessary to perform the specific examination, number all copies and provide written certification that no other copies have been or will be made.

7. Account for and return to the owner all copies of the software at the conclusion of the examination and related administrative or judicial proceedings.

8. Permanently delete from the department's hard drives or at other mass storage devices all copies of the software at the conclusion of the examination and related administrative or judicial proceedings.

9. Obtain from any person who analyzed or otherwise had access to the software a written certification under penalty of perjury that all copies and related materials have been returned and that no copies still exist.

10. Provide to both the taxpayer and the owner of any interest in the software a written agreement between the department and any individual who is not an employee of the department but who will analyze or otherwise have access to the software that the individual will not:

(a) Disclose the software to anyone other than the department's authorized agents and employees.

(b) Participate, for two years, in the development of software that is intended for a similar purpose.

D. For the purposes of subsection C, the owner shall make available any necessary equipment or materials for analysis of a computer software source code required to be conducted on the owner's premises. The owner of any interest in the software is considered a party to any agreement described in subsection C, paragraph 10.
A.R.S. § 42-1204 — Arizona Code / Title 42 / Chapter 1 / Article 5 / Section 1204
42-1204 Property exempt from levy
Status: in_force

42-1204. Property exempt from levy

A. The following property is exempt from levy:

1. Wearing apparel and school books as are necessary for the taxpayer or members of his family.

2. So much of the fuel, provisions, furniture, personal effects, arms for personal use, livestock and poultry as provided for in section 6334 of the internal revenue code.

3. The books and tools necessary for the trade, business or profession of the taxpayer as provided for in section 6334 of the internal revenue code.

4. Mail, addressed to any person, which has not been delivered to the addressee.

5. If the taxpayer is required by judgment of a court of competent jurisdiction, entered prior to the date of levy, to contribute to the support of his minor children, so much of his salary, wages or other income as is necessary to comply with such judgment.

6. Any amount payable to or received by an individual as wages or salary for personal services, or as income derived from other sources, during any period, to the extent that the total of such amounts payable to or received by him during such period does not exceed the applicable exempt amount determined under subsection D of this section.

B. The officer seizing property of the type described in subsection A of this section shall appraise and set aside to the owner the amount of such property declared to be exempt. If the taxpayer objects at the time of the seizure to the valuation fixed by the officer making the seizure, the department shall summon three disinterested individuals who shall make the valuation.

C. Notwithstanding any other law of this state, no property or rights to property shall be exempt from the levy provided in this article other than the property specifically made exempt by subsection A of this section.

D. The following wages, salary and other income payable to or received by an individual are exempt from levy under subsection A, paragraph 6 of this section:

1. In the case of an individual who is paid or receives all wages, salary and other income on a weekly basis, the amount of such compensation received during any week which is exempt from levy is the amount determined pursuant to section 6334(d) of the internal revenue code and which is verified in such manner as set forth in section 6334.

2. In the case of any individual not described in paragraph 1 of this subsection, the amount of the wages, salary and other income payable to or received during any applicable pay period or other fiscal period, as determined under rules prescribed by the department, which is exempt from levy under subsection A, paragraph 6 of this section is an amount, determined under such rules, which as nearly as possible will result in the same total exemption from levy for such individual over a period of time as the individual would have under paragraph 1 of this subsection if, during such period of time, the individual were paid or received such wages, salary and other income on a regular weekly basis.
A.R.S. § 42-16251 — Arizona Code / Title 42 / Chapter 16 / Article 6 / Section 16251
42-16251 Definitions
Status: in_force

42-16251. Definitions

In this article, unless the context otherwise requires:

1. "Board" means the county board of equalization or the state board of equalization, as appropriate.

2. "Court" means either the superior court or tax court.

3. "Error" means any mistake in assessing or collecting property taxes resulting from:

(a) An imposition of an incorrect, erroneous or illegal tax rate that resulted in assessing or collecting excessive taxes.

(b) An incorrect designation or description of the use or occupancy of property or its classification pursuant to chapter 12, article 1 of this title.

(c) Applying the incorrect assessment ratio percentages prescribed by chapter 15, article 1 of this title.

(d) Misreporting or failing to report property if a statutory duty exists to report the property.

(e) Subject to the requirements of section 42-16255, subsection B, a valuation or legal classification that is based on an error that is exclusively factual in nature or due to a specific legal restriction that affects the subject property and that is objectively verifiable without the exercise of discretion, opinion or judgment and that is demonstrated by clear and convincing evidence, such as:

(i) A mistake in the description of the size, use or ownership of land, improvements or personal property.

(ii) Clerical or typographical errors in reporting or entering data that was used directly to establish valuation.

(iii) A failure to timely capture on the tax roll a change in value or legal classification caused by new construction, the destruction or demolition of improvements, the splitting of one parcel of real property into two or more new parcels or the consolidating of two or more parcels of real property into one new parcel existing on the valuation date.

(iv) The existence or nonexistence of the property on the valuation date.

(v) Property that is destroyed after the lien date.

(vi) Any other objectively verifiable error that does not require the exercise of discretion, opinion or judgment.

Error does not include a correction that results from a change in the law as a result of a final nonappealable ruling by a court of competent jurisdiction in a case that does not involve the property for which a correction is claimed.

4. "Tax officer" means the department, county assessor or county treasurer, as applicable.

5. "Taxpayer" means the owner of real or personal property that is liable for tax.
A.R.S. § 42-13304 — Arizona Code / Title 42 / Chapter 13 / Article 7 / Section 13304
42-13304 Exemptions from limitation
Status: in_force

42-13304. Exemptions from limitation

The limitations prescribed by this article do not apply to:

1. Personal property, other than mobile homes. The full cash value of personal property, other than mobile homes, shall be used for all purposes in lieu of limited property value.

2. Property included in property class one under section 42-12001, paragraphs 1 through 7, 11 and 14. The full cash value of that property shall be used for all purposes in lieu of limited property value.
A.R.S. § 42-1128 — Arizona Code / Title 42 / Chapter 1 / Article 3 / Section 1128
42-1128 Recovery of collection costs
Status: in_force

42-1128. Recovery of collection costs

A. A taxpayer who fails to pay any delinquent taxes, penalties or interest for a tax administered under this article is liable for all costs and expenses incurred by the department to collect the delinquent taxes, penalties and interest. The department may collect these expenses and costs at the time of collecting the delinquent taxes, penalties and interest.

B. For the purposes of this section, expenses include contingent fees paid pursuant to section 42-1004, subsection B, paragraph 3.
A.R.S. § 42-14005 — Arizona Code / Title 42 / Chapter 14 / Article 1 / Section 14005
42-14005 Appeal from valuation determined by department
Status: in_force

42-14005. Appeal from valuation determined by department

A property owner who is not satisfied with the valuation of the owner's property as determined by the department may appeal:

1. To the state board of equalization pursuant to section 42-16158.

2. Directly to superior court pursuant to section 42-16204.
A.R.S. § 42-3010 — Arizona Code / Title 42 / Chapter 3 / Article 1 / Section 3010
42-3010 Transaction invoices and other records; retention period
Status: in_force

42-3010. Transaction invoices and other records; retention period

A. When any wholesaler or distributor in this state sells or delivers to any person any of the luxuries on which a tax is imposed by this chapter, the wholesaler or distributor shall make a duplicate invoice of the transaction, showing the date of delivery, the amount and value of each sale, shipment or consignment, and the name and location of the purchaser or person to whom delivery is made. Except as otherwise provided in section 42-3405, the wholesaler or distributor shall file and retain the invoice for a period of two years, subject to inspection and use by the department.

B. Every wholesaler, distributor or retailer shall procure and retain invoices showing the amount and value of each purchase or shipment of any luxuries received, the date of the shipment, the name and location of the shipper and the value of the purchase or shipment. Except as otherwise provided in section 42-3405, the wholesaler, distributor or retailer shall retain the invoices for a period of two years, subject to inspection and use by the department.

C. Transactions that involve tobacco products shall also meet the requirements of article 11 of this chapter.
A.R.S. § 42-3252 — Arizona Code / Title 42 / Chapter 3 / Article 6 / Section 3252
42-3252 Disposition of monies
Status: in_force

42-3252. Disposition of monies

The department shall deposit, pursuant to sections 35-146 and 35-147, monies levied and collected pursuant to this article in the tobacco tax and health care fund established by section 36-771 for use as prescribed by title 36, chapter 6, article 8.
A.R.S. § 42-5037 — Arizona Code / Title 42 / Chapter 5 / Article 1 / Section 5037
42-5037 Notices
Status: in_force

42-5037. Notices

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 requested.

B. For the purposes of this article notice shall be presumed received upon the date shown by an executed return receipt, or, if such receipt is not executed, then upon the date such notice was attempted to be delivered.
A.R.S. § 42-18233 — Arizona Code / Title 42 / Chapter 18 / Article 6 / Section 18233
42-18233 Date, time and place of sale
Status: in_force

42-18233. Date, time and place of sale

The sale shall be held:

1. Not later than sixty days after the date of a judgment entered pursuant to section 42-18204, subsection A, paragraph 2.

2. On a day other than a Saturday, Sunday or legal holiday.

3. Between 9:00 a.m. and 5:00 p.m. mountain standard time.

4. At a specified place on the property, at a specified place at any building that serves as a location of the superior court or at a specified place at a place of business of the qualified entity conducting the sale, in any county in which the property to be sold is situated.
A.R.S. § 42-18205 — Arizona Code / Title 42 / Chapter 18 / Article 5 / Section 18205
42-18205 County treasurer's deed; form
Status: in_force

42-18205. County treasurer's deed; form

A. On receiving a certified copy of a judgment foreclosing the right to redeem issued pursuant to section 42-18204, subsection A, paragraph 1 and a fee of $50 per parcel, the county treasurer shall execute and deliver to the party in whose favor the judgment was entered a deed conveying the property described in the judgment.

B. The deed shall include the following information:

1. The date, court action number and name of the judgment.

2. The name of the purchaser.

3. The property description.

4. The date of the conveyance.

5. A formal acknowledgment by the treasurer.
A.R.S. § 42-3451 — Arizona Code / Title 42 / Chapter 3 / Article 11 / Section 3451
42-3451 Acquisition and possession of cigarettes and roll-your-own tobacco; definitions
Status: in_force

42-3451. Acquisition and possession of cigarettes and roll-your-own tobacco; definitions

A. A manufacturer or importer may sell or distribute cigarettes or roll-your-own tobacco to a person who is located or doing business in this state, including Indian reservations located in this state, only if the person is an importer or licensed distributor or the manufacturer sells or distributes cigarettes or roll-your-own tobacco on which a tax has been paid pursuant to section 42-3452.

B. An importer may obtain cigarettes only from a manufacturer or importer.

C. A distributor may sell or distribute cigarettes to a person located or doing business in this state, including an Indian reservation in this state, only if the distributor is a licensed distributor.

D. A distributor shall obtain cigarettes only from a manufacturer, importer or licensed distributor.

E. For the purposes of this section:

1. "Importer" means a person who has received approval from the federal alcohol and tobacco tax and trade bureau to directly or indirectly import finished tobacco products into the United States for sale or distribution, pursuant to 26 United States Code section 5712 and 27 Code of Federal Regulations part 41.

2. "Manufacturer" means a person who has received approval from the federal alcohol and tobacco tax and trade bureau to manufacture, fabricate, assemble, process or label finished tobacco products, pursuant to 26 United States Code section 5712 and 27 Code of Federal Regulations part 40.
A.R.S. § 42-1154 — Arizona Code / Title 42 / Chapter 1 / Article 4 / Section 1154
42-1154 Priority of tax claim
Status: in_force

42-1154. Priority of tax claim

A. The amounts required to be collected by the department, with interest and penalties, shall be satisfied first in any of the following cases:

1. If the person is insolvent.

2. If the person makes a voluntary assignment of assets.

3. If the estate of the person in the hands of executors, administrators or heirs is insufficient to pay all debts due from the deceased.

4. If the estate and effects of an absconding, concealed or absent person required to pay any amount under this title are levied upon by process of law.

B. This section does not give this state a preference over any recorded lien which was recorded prior to the time the department recorded a notice of lien pursuant to section 42-1152.
A.R.S. § 42-1101 — Arizona Code / Title 42 / Chapter 1 / Article 3 / Section 1101
42-1101 Application
Status: in_force

42-1101. Application

This article and chapter 2 of this title apply generally to the administration of income tax, withholding tax, transaction privilege tax, telecommunication services excise tax, county excise taxes and any other privilege excise tax administered by the department, severance tax, use tax, luxury tax, tax on water use and jet fuel excise and use tax.
A.R.S. § 42-5003 — Arizona Code / Title 42 / Chapter 5 / Article 1 / Section 5003
42-5003 Administration and enforcement of article; employees; bonds
Status: in_force

42-5003. Administration and enforcement of article; employees; bonds

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 article in any court of the state shall be under the exclusive jurisdiction of the department and the attorney general.

C. The department shall appoint, as necessary, such agents, clerks and stenographers as authorized by law, who shall perform such duties as may be required not inconsistent with this article, and who shall be authorized to act for the department as it prescribes and as provided by this article. Each agent shall execute a bond in the amount of five thousand dollars conditioned upon the faithful discharge of the agent's duties, but the department may, in its discretion, bond all or any of its agents by a multiple or joint bond. The agents, clerks and stenographers may be removed by the department for cause, and the department shall be the final judge of the sufficiency of the cause.
A.R.S. § 42-15008 — Arizona Code / Title 42 / Chapter 15 / Article 1 / Section 15008
42-15008 Assessed valuation of class eight property
Status: in_force

42-15008. Assessed valuation of class eight property

The assessed valuation of class eight property described in section 42-12008 is the percentage of value prescribed for class four property by section 42-15004, except that modifications intended to restore and rehabilitate the historic property as approved by the state historic preservation officer under section 42-12103 shall be assessed at one per cent for up to ten years.
A.R.S. § 42-2303 — Arizona Code / Title 42 / Chapter 2 / Article 7 / Section 2303
42-2303 Managed audit operations; appeal
Status: in_force

42-2303. Managed audit operations; appeal

A. The taxpayer or the taxpayer's representative shall furnish written findings of the managed audit to the director.

B. The director shall review the written findings and may examine records and perform other reviews that the director deems necessary to verify that the managed audit substantially conformed to the terms of the managed audit agreement.  After performing the review under this subsection, the director shall accept or reject the findings of the managed audit and issue a notice of determination.

C. If the director accepts the managed audit findings, the director shall assess any deficiency or issue any refund that results from the managed audit pursuant to section 42-2304 in the manner described by sections 42-1108 and 42-1118.

D. If the managed audit results in a notice of determination that the taxpayer disputes or if the director rejects the findings of the managed audit, the taxpayer may appeal the notice of determination.  The taxpayer has the same appeal rights under this section as if the department conducted the audit.

E. The taxpayer and director may agree to a closing agreement under section 42-1113 to resolve any issues or amounts that are disputed.
A.R.S. § 42-14403 — Arizona Code / Title 42 / Chapter 14 / Article 9 / Section 14403
42-14403 Determining valuation; definitions
Status: in_force

42-14403. Determining valuation; definitions

A. On or before August 31 of each year, the department shall determine the valuation as of January 1 of the property of all telecommunications companies operating in this state at its full cash value. Real estate shall be valued at market value, and personal property shall be valued on a unitary basis at its cost less depreciation. In addition, the taxpayer may submit documentation showing the need for, and the department shall consider, an additional adjustment to recognize obsolescence using standard appraisal methods and techniques.

B. For the purposes of this section:

1. Except as provided in paragraph 2 of this subsection, depreciation shall be computed on a straight-line basis using the lives set forth as follows:

(a) Buildings with a twenty-five-year life.

(b) Cable with a fifteen-year life.

(c) Telecommunications equipment with a five-year life.

(d) Any other telecommunications property that is not included in subdivisions (a), (b) and (c) of this paragraph with a seven-year life.

2. For qualifying broadband infrastructure, depreciation shall be computed as follows:

(a) Cable shall be computed on a straight-line basis using a ten-year life.

(b) Telecommunications equipment shall be computed on a straight-line basis using a five-year life.

(c) Any other telecommunications property that is not included in subdivisions (a) and (b) of this paragraph shall be computed on a straight-line basis using a seven-year life.

(d) Additional depreciation shall be applied to personal property as follows:

(i) For the first tax year of assessment, the department shall use twenty-five percent of the scheduled depreciation value.

(ii) For the second tax year of assessment, the department shall use forty-one percent of the scheduled depreciation value.

(iii) For the third tax year of assessment, the department shall use fifty-seven percent of the scheduled depreciation value.

(iv) For the fourth tax year of assessment, the department shall use seventy-three percent of the scheduled depreciation value.

(v) For the fifth tax year of assessment, the department shall use eighty-nine percent of the scheduled depreciation value.

(vi) For the sixth tax year of assessment and each subsequent tax year of assessment thereafter, the department shall use the scheduled depreciation value.

(e) The computation prescribed in this paragraph shall not reduce the valuation of property valued pursuant to subdivision (a) of this paragraph below two and one-half percent of the cost and shall not reduce the valuation of property valued pursuant to subdivisions (b), (c) and (d) of this paragraph below two and one-half percent of cost.

3. The computation prescribed in paragraph 1 of this subsection shall not reduce the valuation of property valued pursuant to paragraph 1, subdivision (a) of this subsection below twenty percent of cost and shall not reduce the valuation of property valued pursuant to paragraph 1, subdivisions (b), (c) and (d) of this subsection below ten percent of cost.

4. For cellular or other wireless telecommunications companies, the taxable unit is the applicable metropolitan statistical area or rural statistical area and does not include the value of any license that is issued by the federal communications commission.

C. For the purposes of this section:

1. "Cost" means the original cost as reported on the company's books and records.

2. "Obsolescence" means a reduction in the value of an asset resulting from functional or economic obsolescence.

3. "Qualifying broadband infrastructure" means cable, telecommunications equipment and other tangible personal property capable of being used for or in connection with the transmission of data at a rate that is at least equal to four megabits per second in at least one direction, including multiplexers, routers, servers, fiber optics, coaxial cable and equipment supporting the transmission function first placed in service on or after January 1, 2017.
A.R.S. § 42-13501 — Arizona Code / Title 42 / Chapter 13 / Article 11 / Section 13501
42-13501 Limit on valuation of real property with abandoned renewable energy equipment
Status: in_force

42-13501. Limit on valuation of real property with abandoned renewable energy equipment

A. The assessed value of a leased portion of real property that qualifies under subsection B of this section is the greater of the total lease payments collected by the real property owner during the tax year or the assessed value of the leased property if it were classified as class two property.

B. The real property must meet all of the following conditions:

1. The real property is being leased by the real property owner to a lessee that maintains renewable energy equipment on the leased real property.

2. The real property owner or any affiliate of the owner has no ownership interest in the lessee or any of its affiliates.

3. The lessee is in default on the lease, is not making lease payments under the lease and has abandoned its renewable energy equipment on the leased real property.

4. The leased real property was classified as class two agricultural property for the tax year before the lease term commenced.

5. The total lease payments collected by the real property owner under the lease in default are less than the assessed value of the leased real property under class one.
A.R.S. § 42-5403 — Arizona Code / Title 42 / Chapter 5 / Article 9 / Section 5403
42-5403 Administration of tax; distribution of revenues
Status: in_force

42-5403. Administration of tax; distribution of revenues

A. Unless the context otherwise requires, article 1 of this chapter governs the administration of the tax imposed by this article.

B. A separate bond is not required of employees of the department in administering this article.

C. The procedures for a seller of prepaid wireless telecommunications service to document a sale that is not a retail sale of prepaid wireless telecommunications service shall be substantially similar to the procedures for documenting sale for resale transactions under the retail classification pursuant to sections 42-5009 and 42-5061.

D. The department shall separately account for the monies paid under this article and shall deposit, pursuant to sections 35-146 and 35-147, the net revenues collected under this article in the emergency telecommunications services revolving fund established by section 41-704.
A.R.S. § 42-14253 — Arizona Code / Title 42 / Chapter 14 / Article 6 / Section 14253
42-14253 Annual report for purposes of determining valuation; failure to file; penalty; forfeiture of appeal rights
Status: in_force

42-14253. Annual report for purposes of determining valuation; failure to file; penalty; forfeiture of appeal rights

A. On or before April 1 of each year each company that operates in air commerce in this state shall file a report with the department under oath stating specifically the information prescribed by the department to allow it to determine the valuation required by this article. The department shall consider the information in the report in determining the valuation under this article, but that information is not conclusive.

B. On written request and for good cause shown, the director may extend the time for filing the report required by this section.

C. If a company that operates in air commerce fails to file the report on or before April 1 of the valuation year, or the extended due date if an extension is granted, the department shall:

1. Estimate the value of the property based on one hundred five per cent of the preceding year's full cash value or on any information that is available to the department.

2. Also assess a penalty in the amount of the lesser of:

(a) One-half of one per cent of the value that is estimated by the department.

(b) One hundred dollars per day for each day the company fails to file the report beyond the due date.

D. If the report is not filed by May 20 of the valuation year, the company forfeits its right to appeal the valuation and classification pursuant to section 42-14005.
A.R.S. § 42-3306 — Arizona Code / Title 42 / Chapter 3 / Article 7 / Section 3306
42-3306 Administration
Status: in_force

42-3306. Administration

Unless otherwise provided, the administration of this article is vested in and shall be exercised by the department according to chapters 1 and 2 of this title and articles 1, 2, 3 and 4 of this chapter, this article and articles 10, 11 and 12 of this chapter.
A.R.S. § 42-2061 — Arizona Code / Title 42 / Chapter 2 / Article 2 / Section 2061
42-2061 Expedited review of jeopardy assessments
Status: in_force

42-2061. Expedited review of jeopardy assessments

A. Within thirty days after the day on which the department furnishes the written notice described in section 42-1111, subsection A, the taxpayer may request the department to review the action taken as provided in section 42-1251. Within fifteen days after the request for review, the department shall determine whether both the jeopardy determination and the amount assessed are reasonable.

B. Within thirty days after the department notifies the taxpayer of the determination under subsection A of this section, the taxpayer may bring a civil action in tax court for a determination under this subsection. Within twenty days after service of process is made on the state, the tax court shall determine whether both the jeopardy determination and the amount assessed are reasonable. If the taxpayer requests an extension of the twenty day period and establishes reasonable grounds why an extension should be granted, the court may grant an extension of not more than forty additional days. If the court determines that either the jeopardy determination or the amount assessed is unreasonable, the court may order the department to abate the assessment, to redetermine any part of the amount assessed or to take such other action as the court finds to be appropriate. A determination made by the tax court under this subsection is final except as provided in section 12-170, subsection C.
A.R.S. § 42-12053 — Arizona Code / Title 42 / Chapter 12 / Article 2 / Section 12053
42-12053 Criteria for distinguishing primary residential property, secondary residential property and rental property
Status: in_force

42-12053. Criteria for distinguishing primary residential property, secondary residential property and rental property

A. For the purpose of classifying residential property under sections 42-12003, 42-12004 and 42-12052, a parcel is not considered a secondary property or rental property if the property is occupied by a member of the owner's family, who must be:

1. The owner's natural or adopted child or a descendant of the owner's child.

2. The owner's parent or an ancestor of the owner's parent.

3. The owner's stepchild or stepparent.

4. The owner's child-in-law or parent-in-law.

5. The owner's natural or adopted sibling.

B. For the purpose of classifying owner-occupied residential property under sections 42-12003, 42-12004 and 42-12052, the department shall adopt standard criteria for use in determining whether the property is considered to be the owner's or relative's primary residence, including:

1. The period of occupancy each year.

2. The owner's registered voting precinct.

3. The owner's driver license address.

4. The registration address of the owner's motor vehicles.

5. Other appropriate indicators of primary residency.
A.R.S. § 42-14202 — Arizona Code / Title 42 / Chapter 14 / Article 5 / Section 14202
42-14202 Annual report for determining valuation; failure to file; penalty; forfeiture of appeal rights
Status: in_force

42-14202. Annual report for determining valuation; failure to file; penalty; forfeiture of appeal rights

A. On or before April 1 of each year each company that is valued pursuant to this article shall file a report with the department, under oath, stating the information that the department requires to enable it to make a valuation of the company.

B. On written request and for good cause shown, the director may extend the time for filing the report required by this section.

C. If a company fails to file the report on or before April 1 of the valuation year, or the extended due date if an extension is granted, the department shall:

1. Estimate the value of the property based on one hundred five per cent of the preceding year's full cash value or on any information that is available to the department.

2. Also assess a penalty in the amount of the lesser of:

(a) One-half of one per cent of the value that is estimated by the department.

(b) One hundred dollars per day for each day the company fails to file the report beyond the due date.

D. If the report is not filed by May 20 of the valuation year, the company forfeits its right to appeal the valuation and classification pursuant to section 42-14005.
A.R.S. § 42-3152 — Arizona Code / Title 42 / Chapter 3 / Article 4 / Section 3152
42-3152 Personal liability for tax, increases, interest, penalties and collection charges
Status: in_force

42-3152. Personal liability for tax, increases, interest, penalties and collection charges

A. Every tax and all increases, interest and penalties imposed by this article, from the time they are due and payable, become a personal debt of the taxpayer to this state.

B. 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 over.
A.R.S. § 42-5045 — Arizona Code / Title 42 / Chapter 5 / Article 1 / Section 5045
42-5045 Youth business; exemption from tax
Status: in_force

42-5045. Youth business; exemption from tax

Notwithstanding any other law, a person who is under nineteen years of age and who is engaging or continuing in business in this state is not required to obtain a transaction privilege tax license or to remit the tax levied by this chapter or chapter 6 of this title or any duly enacted special district transaction privilege tax imposed under title 48 if the gross proceeds of sales or gross income derived from the person's business is not more than $10,000 for the calendar year.
A.R.S. § 42-11114 — Arizona Code / Title 42 / Chapter 11 / Article 3 / Section 11114
42-11114 Exemption for property held for conveyance as parkland; recapture
Status: in_force

42-11114. Exemption for property held for conveyance as parkland; recapture

A. Property that is held by a charitable organization, recognized under section 501(c)(3) of the internal revenue code, for transfer to this state or to a political subdivision of this state to be used as parkland is exempt from taxation if the charitable organization does not receive rent or valuable consideration.

B. If property that is exempt under this section is transferred to an entity other than this state or a political subdivision of this state or if the property is used or occupied by or for the benefit of any other person, the charitable organization is liable for all tax, interest and penalties that would be due if the property were not exempt from taxation.
A.R.S. § 42-19158 — Arizona Code / Title 42 / Chapter 19 / Article 4 / Section 19158
42-19158 Notice of intent to seize mobile home in possession of person not listed on tax bill
Status: in_force

42-19158. Notice of intent to seize mobile home in possession of person not listed on tax bill

A. If the sheriff is directed to seize and sell a mobile home that is found to be in the possession of a person who is other than the person listed on the tax bill issued by the county treasurer and who presents evidence of having purchased the mobile home from the person listed on the tax bill after the taxes became delinquent, the sheriff shall not seize the property. Instead, the sheriff shall:

1. Issue a notice of intent to seize the mobile home in five working days.

2. Advise the owner of the application procedure to extend the payment due date as provided in section 42-19160.

B. This section does not apply if the county treasurer or sheriff has reason to believe that the mobile home is in danger of being removed from the state.
A.R.S. § 42-12003 — Arizona Code / Title 42 / Chapter 12 / Article 1 / Section 12003
42-12003 Class three property; definition
Status: in_force

42-12003. Class three property; definition

A. For the purposes of taxation, class three is established consisting of:

1. Real and personal property and improvements to the property that are used for residential purposes and is occupied by the owner as the owner's primary residence as described in section 42-12053, that are not otherwise included in class one, two, four, six, seven or eight and that are valued at full cash value.

2. Real and personal property that is used for residential purposes and occupied by a relative of the owner, as described in section 42-12053, as the relative's primary residence, that is not otherwise included in class one, two, four, six, seven or eight and that is valued at full cash value.

3. Real and personal property that is used for residential purposes and occupied by the owner as the owner's primary residence, as described in section 42-12053, who also uses the property for lease or rent to lodgers.

B. For the purposes of this section, a homesite that is included in class three may include:

1. Up to ten acres on a single parcel of real property on which the residential improvement is located.

2. More than ten, but not more than forty, acres on a single parcel of real property on which the residential improvement is located if it is zoned exclusively for residential purposes or contains legal restrictions or physical conditions that prevent the division of the parcel.

C. For the purposes of this section, "physical conditions" means topography, mountains, washes, rivers, roads or any other configuration that limits the residential usable land area.
A.R.S. § 42-18126 — Arizona Code / Title 42 / Chapter 18 / Article 3 / Section 18126
42-18126 Failure to perform duty by county treasurer; classification
Status: in_force

42-18126. Failure to perform duty by county treasurer; classification

A county treasurer who knowingly refuses or fails to publish and post the list and notice of delinquent tax sales before February 15 or who knowingly refuses or fails to perform any of the duties imposed by this chapter is guilty of a class 2 misdemeanor.
A.R.S. § 42-2252 — Arizona Code / Title 42 / Chapter 2 / Article 6 / Section 2252
42-2252 Protection from order to produce computer software source code; exceptions
Status: in_force

42-2252. Protection from order to produce computer software source code; exceptions

A. Except as provided in section 42-2253, the department shall not issue any subpoena duces tecum under section 42-1006 or 42-1112 or commence any proceeding or action to enforce any subpoena duces tecum to produce any computer software source code.

B. Subsection A of this section does not apply to:

1. An inquiry into any offense connected with administering or enforcing this title or title 43.

2. A tax-related computer software source code acquired or developed by the taxpayer or a related person primarily for the internal use by the taxpayer or related person rather than for commercial distribution.

3. Communications between the owner of the tax-related computer software source code and the taxpayer or related person.

4. Tax-related computer software source code that is required to be provided or made available pursuant to any other provision of this title or title 43.
A.R.S. § 42-2054 — Arizona Code / Title 42 / Chapter 2 / Article 2 / Section 2054
42-2054 Disclosure of taxpayer information
Status: in_force

42-2054. Disclosure of taxpayer information

On the written request of a taxpayer, information relating to the taxpayer may be disclosed, if the disclosure does not violate article 1 of this chapter.
A.R.S. § 42-1252 — Arizona Code / Title 42 / Chapter 1 / Article 6 / Section 1252
42-1252 State board of tax appeals
Status: in_force

42-1252. State board of tax appeals

A. The state board of tax appeals is established as an independent agency which shall not in any way be subject to the supervision or control of the department of revenue. The board shall have full power to hear and decide all appeals from decisions of the department of revenue.

B. The state board shall consist of three members appointed by the governor pursuant to section 38-211. Members shall be residents of this state.

C. Members shall be selected on the basis of their knowledge of and experience in taxation. Not more than two members may be primarily engaged in the same occupation or profession. The board shall handle all matters entrusted by law to it dealing with income taxation, estate taxation, transaction privilege, use and luxury taxation and any other taxation assigned to it by law and shall hear and decide appeals from the department of revenue on such matters.

D. Not more than two members of the board shall be members of the same political party. No member of the board shall hold any other public office under the laws of this state or any of its political subdivisions. No member shall be a candidate for an elective office under the laws of this state, nor of any other state. No member of the board shall hold any position of trust nor provide or engage in any occupation or business which would corruptly conflict with the duties of a member of the board, nor take part directly or indirectly in any election campaign in the interest of any political party or other organization or any candidate or measure to be voted on by the people. This subsection does not prohibit a person from properly and lawfully engaging in a business or profession.

E. The term of board members is six years. The member of the board having the shortest term remaining shall act as chairperson if that member has served on the board at least two years. If the member having the shortest term remaining does not qualify to act as chairperson or if two or more members have an equal right by virtue of their remaining terms to serve as chairperson, the board shall elect a chairperson. A member may not be appointed for more than two terms.

F. Each member of the board shall receive:

1. One hundred fifty dollars per day for time spent in the performance of official duties.

2. Such travel and other expenses as provided by law for other state officers.

G. The governor may remove any member for cause.

H. Subject to title 41, chapter 4, article 4, the board shall appoint a clerk, hearing officers and such other employees as it deems necessary to carry out its duties. The hearing officer qualifications shall be the same as the selection criteria for the members as prescribed by this section.  Notwithstanding section 41-192, subsection D, upon request of the board, the attorney general shall designate, for such time and purposes as the board requires, an attorney, acceptable to the board, whose compensation shall be fixed and paid by the board.

I. The board shall hold hearings and meetings at the call of the chairperson or a majority of the board and otherwise as may be prescribed by the rules of the board as required to carry out its duties. The principal office of the board shall be at the capitol, but the board may sit or hold hearings at any other place within the state. A majority of the board constitutes a quorum for making orders and decisions or transacting other official business, and the board may act even though one position on the board is vacant. The board shall keep a record of its proceedings.

J. In conducting the business of the board:

1. The board may not act if more than one position is vacant.

2. One or more members or a hearing officer of the board may hold hearings and take testimony to be reported for action by the board when authorized by rule or order of the board.
A.R.S. § 42-15002 — Arizona Code / Title 42 / Chapter 15 / Article 1 / Section 15002
42-15002 Assessed valuation of class two property
Status: in_force

42-15002. Assessed valuation of class two property

The following percentages apply to the full cash value or limited valuation, as applicable, as a basis for determining the assessed valuation of class two property described in section 42-12002:

1. Class two (R): sixteen percent through December 31, 2015 and fifteen percent beginning from and after December 31, 2015.

2. Class two (P): sixteen percent through December 31, 2015, and fifteen percent beginning from and after December 31, 2015, of the value exceeding the maximum amount of valuation of personal property that is exempt from taxation pursuant to section 42-11127.

3. Class two (C): fifteen percent.
A.R.S. § 42-19152 — Arizona Code / Title 42 / Chapter 19 / Article 4 / Section 19152
42-19152 Taxation of mobile homes
Status: in_force

42-19152. Taxation of mobile homes

A. Each mobile home is subject to ad valorem property tax to be assessed and collected in the same manner and at the same time as other personal property that is taxable under this chapter.

B. The department shall establish the method of determining the valuation of mobile homes that are taxable under this chapter to be set by the county assessor.
A.R.S. § 42-17106 — Arizona Code / Title 42 / Chapter 17 / Article 3 / Section 17106
42-17106 Expenditures limited to budgeted purposes; transfer of monies
Status: in_force

42-17106. Expenditures limited to budgeted purposes; transfer of monies

A. Except as provided in subsection B, a county, city or town shall not:

1. Spend money for a purpose that is not included in its budget.

2. Spend money or incur or create a debt, obligation or liability in a fiscal year in excess of the amount stated for each purpose in the finally adopted budget for that year, except as provided by law, regardless of whether the county, city or town has received at any time, or has on hand, monies or revenue in excess of the amount required to meet expenditures, debts, obligations and liabilities that are incurred under the budget.

B. A governing body may transfer monies between budget items if all of the following apply:

1. The monies are available.

2. The transfer is in the public interest and based on a demonstrated need.

3. The transfer does not result in a violation of the limitations prescribed in article IX, sections 19 and 20, Constitution of Arizona.

4. A majority of the members of the governing body votes affirmatively on the transfer at a public meeting.
A.R.S. § 42-11116 — Arizona Code / Title 42 / Chapter 11 / Article 3 / Section 11116
42-11116 Exemption for property of arts and science organizations
Status: in_force

42-11116. Exemption for property of arts and science organizations

Property of musical, dramatic, dance and community arts groups, botanical gardens, museums and zoos that are qualified as nonprofit charitable organizations under section 501(c)(3) of the internal revenue code is exempt from taxation if the property is used for those purposes and not used or held for profit.
A.R.S. § 42-5032.03 — Arizona Code / Title 42 / Chapter 5 / Article 1 / Section 5032.03
42-5032.03 Distribution of revenues for county stadium district; definitions
Status: in_force

42-5032.03. Distribution of revenues for county stadium district; definitions

(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 to the county stadium district established pursuant to title 48, chapter 26 for deposit in the county stadium district fund established pursuant to section 48-4231.

B. The amount to be transmitted under subsection A of this section is the total amount of state transaction privilege tax revenues received for taxable periods beginning October 1, 2025 through December 31, 2055 from persons conducting business under the retail, amusement, restaurant and prime contracting classifications at, or with respect to events held at, a major league baseball facility or an adjacent building that is owned by a county stadium district pursuant to title 48, chapter 26 and operated by the county stadium district or the professional baseball franchise organization that occupies the major league baseball facility or adjacent building.

C. For the purposes of this section, "adjacent building" and "major league baseball facility" have the same meanings prescribed in section 48-4201.
A.R.S. § 42-3354 — Arizona Code / Title 42 / Chapter 3 / Article 8 / Section 3354
42-3354 Return and payment by spirituous or vinous liquor wholesalers
Status: in_force

42-3354. Return and payment by spirituous or vinous liquor wholesalers

A. Every wholesaler of spirituous liquors selling spirituous liquors within the state shall pay the tax under this chapter on all such liquor sold within the state and add the amount of the tax to the sales price.

B. Every wholesaler of vinous liquors selling vinous liquors other than ciders as defined in section 42-3001 within this state shall pay the tax under this chapter on all such liquors sold within this state and add the amount of tax to the sales price.

C. The wholesaler shall pay the tax to the department monthly on or before the twentieth day of the month next succeeding the month in which the tax accrues.

D. On or before the date prescribed by subsection C of this section, the wholesaler shall prepare a sworn return for the month in which the tax accrues in the form prescribed by the department, showing:

1. The amount of spirituous liquors sold in this state during the month in which the tax accrues.

2. The amount of vinous liquors other than ciders as defined in section 42-3001 sold in the state during the month in which the tax accrues.

3. The amount of tax for the period covered by the return.

4. Any other information that the department deems necessary for the proper administration of this chapter.

E. The wholesaler shall deliver the return, together with a remittance of the amount of the tax due, to the department.

F. Any taxpayer that fails to pay the tax within ten days from the date on which the payment becomes due is subject to and shall pay a penalty determined under section 42-1125, plus interest at the rate determined pursuant to section 42-1123 from the time the tax was due and payable until paid.

G. For reporting periods beginning from and after December 31, 2019, or when the department has established an electronic filing program, whichever is later, each taxpayer shall file electronically any report or return required under this chapter.  The report or return is considered to be filed and received by the department on the date of the electronic postmark pursuant to section 42-1105.02.
A.R.S. § 42-17312 — Arizona Code / Title 42 / Chapter 17 / Article 7 / Section 17312
42-17312 Payment of deferred taxes; due dates and delinquency; enforcement of lien
Status: in_force

42-17312. Payment of deferred taxes; due dates and delinquency; enforcement of lien

A. If payment is required pursuant to section 42-17311, all deferred taxes, interest and costs are due and payable one hundred twenty days after an event requiring payment of deferred property taxes except in the case of the individual's death, in which case the taxes, interest and costs are due and payable one year after the individual's death. Nothing in this subsection allows a contract of sale for the tax deferred residence to be executed or title to a tax deferred residence to be transferred or conveyed unless the deferred property taxes, interest and costs are paid in full at or before execution of the contract or transfer or conveyance of the title. All amounts payable under this section shall be paid to the county treasurer. If the certificate for deferred taxes was sold to the state treasurer, the county treasurer shall immediately remit the payment to the state treasurer.

B. The taxpayer or any other person may pay in full the lien for deferred taxes with respect to any tax year at any time before payment is required pursuant to section 42-17311. An advance payment under this subsection does not affect the current deferred tax status of the residence.

C. On payment, the state or county treasurer holding the certificate of deferred taxes shall immediately issue a release of the deferred tax lien, record the release with the county recorder and send a copy of the release to the taxpayer, the county assessor and the county treasurer.

D. If the deferred taxes, interest and costs are not paid in full when due and payable, the amounts are delinquent, and the lien may be enforced as provided by this chapter for tax liens that are assigned to the state.
A.R.S. § 42-17201 — Arizona Code / Title 42 / Chapter 17 / Article 5 / Section 17201
42-17201 County levy limit override
Status: in_force

42-17201. County levy limit override

A. The board of supervisors of a county may conduct an election to authorize a property tax levy that is not within the limitations on primary property taxation otherwise prescribed by section 42-17051.

B. In order to levy taxes exceeding the limitations prescribed on primary property tax, the board of supervisors shall adopt a resolution, by an affirmative vote of at least two-thirds of its membership, requesting the voters to approve a secondary property tax levy.

C. The board of supervisors shall submit the question to the qualified electors of the county at an election held on the first Tuesday following the first Monday in November as prescribed by section 16-204, subsection B, paragraph 1, subdivision (d).

D. In the resolution requesting the voters to approve the levy, the board shall state:

1. The number of years in which the authority to levy taxes in excess of the limitations otherwise prescribed is to be in effect. The board shall not request authority from the voters for a period of less than two years nor more than seven years.

2. The purpose for providing revenue to the county.

3. The maximum dollar amount of secondary property tax that may be collected in each year of the authority if voters approve the levy.

4. The estimated secondary property tax rate that will be levied in the first year if the voters approve the levy.

E. If the levy is approved by the voters, the maximum amount of taxes that the board may levy for any year in which the authority is in effect is the amount stated in the resolution requesting voter approval of the levy. The board shall levy the tax in the same manner as county secondary property taxes as provided in section 42-17151.

F. The board may use monies it collects pursuant to this section only for the purposes stated in the resolution requesting approval of the levy. If an unexpended balance of the monies collected pursuant to this section remains after satisfying the requirements of the resolution requesting the approval of the levy, the board shall use the balance to reduce the levy in the following year. If the balance exceeds the requirements for the following year or if the authority granted by the voters to collect the taxes pursuant to this section expires and is not renewed, the board shall use the balance to reduce the county primary property tax in the following year.

G. The board shall deposit and separately account for the amounts collected pursuant to this section in a fund in the county treasury.

H. The amounts collected pursuant to this section:

1. Shall not be included in the primary property tax levy limitation prescribed by section 42-17051 for any subsequent year, except as provided in this section.

2. Shall be collected from a levy of secondary property taxes.

3. Are not subject to limitations on taxes prescribed by article IX, section 18, Constitution of Arizona.
A.R.S. § 42-18110 — Arizona Code / Title 42 / Chapter 18 / Article 3 / Section 18110
42-18110 Affidavits of posting and publication
Status: in_force

42-18110. Affidavits of posting and publication

A. The county treasurer shall record an affidavit stating the posting of the delinquent tax list and notice of the tax lien sale.

B. Immediately after the last publication, each publisher who publishes the list and notice on the order of the county treasurer shall deliver to the treasurer and record an affidavit of publication made by the publisher, manager or editor of the newspaper to whom the facts of publication are known. A publisher who fails to furnish and record the affidavit within ten days after the last publication shall not be paid for the publication of the list and notice. The recorded affidavit is prima facie evidence of the recited facts in any action in the courts of this state.
A.R.S. § 42-16255 — Arizona Code / Title 42 / Chapter 16 / Article 6 / Section 16255
42-16255 Evidence that may be considered at hearings; pending administrative and judicial appeals
Status: in_force

42-16255. Evidence that may be considered at hearings; pending administrative and judicial appeals

A. In any hearing before the county board, state board or court in an appeal under this article, either party may present any evidence regarding property tax errors regardless of whether the evidence was presented when the notice of proposed correction or notice of claim was filed. The board or court has jurisdiction to make any such correction.

B. If an administrative or judicial appeal is pending regarding the subject property, any alleged error that was already the subject of a notice of proposed correction under section 42-16252 or a notice of claim under section 42-16254 shall be adjudicated as part of the administrative or judicial appeal for the affected tax year without requiring the parties to exhaust their administrative appeal remedies under this article. If a specific error of fact, not previously known, was not addressed in a prior appeal, an appeal may be brought pursuant to this section.
A.R.S. § 42-6105.01 — Arizona Code / Title 42 / Chapter 6 / Article 3 / Section 6105.01
42-6105.01 County transportation excise tax; counties with population of three million or more persons
Status: in_force

42-6105.01. County transportation excise tax; counties with population of three million or more persons

A. If approved by the qualified electors voting at a countywide election, from and after December 31, 2025, a county with a population of three million or more persons shall levy and the department shall collect a tax as provided by this section, in addition to all other taxes.

B. The tax shall be levied and collected:

1. At a rate of not more than ten percent of the transaction privilege tax rate prescribed by section 42-5010, subsection A that applies, as of January 1, 1990, to each person engaging or continuing in the county in a business taxed under chapter 5, article 1 of this title.

2. At a rate of not more than ten percent of the rate prescribed by section 42-5352, subsection A.

3. On the use or consumption of electricity or natural gas by retail electric or natural gas customers in the county who are subject to use tax under section 42-5155, at a rate equal to the transaction privilege tax rate under paragraph 1 of this subsection that applies to persons engaging or continuing in the county in the utilities transaction privilege tax classification.

C. The tax levied under this section shall be in effect for a term of twenty years.

D. The plan adopted under title 28, chapter 17, article 2 shall specify the distribution of monies collected under this section in the regional area road fund established pursuant to section 28-6302 or the public transportation fund established by section 48-5103. Except as provided in subsection E of this section, the plan shall distribute:

1. 40.5 percent to the regional area road fund for freeways and other routes in the state highway system, including capital expense and maintenance.

2. 22.5 percent to the regional area road fund for major arterial streets, intersection improvements and regional transportation infrastructure, including capital expense and implementation studies.

3. 37 percent to the public transportation fund for both:

(a) Capital costs, maintenance and operation of public transportation mode classifications.

(b) Capital rehabilitation costs associated with the light rail system.

E. Tax revenues collected under this section may not:

1. Be used for any light rail, commuter rail, streetcar or trolley extension.

2. Be spent on any project that will result in a reduction in existing lane miles on a highway as defined in section 28-101 or a state highway as defined in section 28-101, unless all of the following apply:

(a) Reconfiguration for operational efficiency is necessary as determined by a department-approved third-party engineering study or road safety assessment.

(b) An opportunity for public input is provided.

(c) The overall system capacity and transportation mobility will not be reduced.

(d) The reduction will not increase vehicle congestion or travel times.

3. Be spent on a project that results in a reduction in existing lane miles on a street or highway as defined in section 28-601 or a roadway as defined in section 28-601 unless all the following apply:

(a) A third-party engineering study demonstrates that the project will not materially increase vehicle congestion or travel times.

(b) An opportunity for public input is provided.

(c) The reduction is recommended for approval by an affirmative vote of the transportation policy committee.

F. The distribution specified in subsection D, paragraphs 1 and 2 of this section may not be decreased.

G. Monies collected pursuant to this section may not be used to influence the outcome of an election.

H. Not more than 3.5 percent of the monies that are distributed pursuant to subsection D, paragraph 3 of this section may be used for light rail capital rehabilitation.

I. Not more than five percent of the revenues collected under this section may be used for regional transportation infrastructure.
A.R.S. § 42-14402 — Arizona Code / Title 42 / Chapter 14 / Article 9 / Section 14402
42-14402 Annual statement; failure or refusal to make annual statement; penalty; action for recovery
Status: in_force

42-14402. Annual statement; failure or refusal to make annual statement; penalty; action for recovery

A. On or before April 1 of each year each telecommunications company, under the oath of its chief officer in this state, shall make and file a statement with the department in a form prescribed by the department and containing:

1. The name and nature of the business of the company, whether an individual, association or corporation and under the laws of which state or country it is organized.

2. The location of its principal office.

3. The names and mailing addresses of its president, secretary, tax agent, auditor, treasurer, superintendent or general manager and the chief officer or managing agent in this state.

4. The par value and market value of its shares of stock.

5. A detailed schedule of the real property the company owns in this state including its location and valuation.

6. The total length of its lines in this state, including lines that are controlled or used under lease or otherwise and the number of miles of lines in each county.

7. A complete and correct inventory of all other personal property it owned in this state on the preceding January 1, where the property was located and its value.

8. The total gross receipts for the year ending January 1 from all sources and the portion of the receipts that was derived entirely in this state.

9. The operating expenses for the year ending January 1, itemized or divided as required by the department.

10. The amount that was paid in dividends and the percentage the dividends bear to its capital.

B. On written request by the secretary, tax agent or principal accounting officer of a telecommunications company and for good cause shown, the director may enlarge or extend the time for filing the annual statement.

C. If a company fails or refuses to make the required statement:

1. The department shall obtain the information in another manner.

2. The department shall assess a penalty in the amount of the lesser of:

(a) One-half of one per cent of the value that is estimated by the department.

(b) One hundred dollars per day for each day the company fails to file the statement.

D. The director may request the attorney general to commence an action in the name of this state to recover the penalty prescribed by subsection C.
A.R.S. § 42-15051 — Arizona Code / Title 42 / Chapter 15 / Article 2 / Section 15051
42-15051 Time of assessment
Status: in_force

42-15051. Time of assessment

Unless otherwise provided by law, property is assessed for taxes levied under this title when its valuation is determined and lawfully placed on the roll.
A.R.S. § 42-5302 — Arizona Code / Title 42 / Chapter 5 / Article 7 / Section 5302
42-5302 Levy and payment of tax
Status: in_force

42-5302. Levy and payment of tax

A. There is levied and the department shall collect a tax on the business of operating a municipal water delivery system for the purposes prescribed in section 49-282. The tax is levied at the rate of .65 of one cent per one thousand gallons of water delivered to customers, except that water delivered to a customer for resale is exempt from the tax.

B. The owner or operator of a municipal water delivery system shall pay the tax to the department at the same time as paying the transaction privilege tax under section 42-5014. If the system for any reason does not pay transaction privilege tax, the tax imposed by this article is due and payable to the department, and is delinquent if not paid, as provided in section 42-5014, subsection A.
A.R.S. § 42-18113 — Arizona Code / Title 42 / Chapter 18 / Article 3 / Section 18113
42-18113 Procedure in the case of no bid; assignment to state
Status: in_force

42-18113. Procedure in the case of no bid; assignment to state

A. If there is no bid for a tax lien, the county treasurer shall pass it for the time and shall reoffer it at the beginning of the sale on the next day until all tax liens are sold or until the county treasurer becomes satisfied that no more sales can be made. At that time the treasurer shall:

1. Assign to the state the property tax liens remaining unsold for the amount of the taxes, interest, penalties and charges.

2. Issue a certificate of purchase to the state as provided in other cases.

B. If a tax lien has been assigned to the state:

1. Taxes that are assessed against that property are not payable until they have been derived from the sale or redemption of the property or from the assignment of a certificate of purchase pursuant to section 42-18122.

2. The rate of interest payable on redemption shall be as prescribed by section 42-18053.
A.R.S. § 42-15205 — Arizona Code / Title 42 / Chapter 15 / Article 5 / Section 15205
42-15205 Perfecting liens on permanently affixed mobile homes
Status: in_force

42-15205. Perfecting liens on permanently affixed mobile homes

Liens on permanently affixed mobile homes that are assessed under this article shall be perfected either in the manner provided by law for perfecting real property liens or in the manner provided by law for perfecting security interests in fixtures.
A.R.S. § 42-5121 — Arizona Code / Title 42 / Chapter 5 / Article 3.1 / Section 5121
42-5121 Definitions
Status: in_force

42-5121. Definitions

In this article, unless the context otherwise requires:

1. "Affiliated Indian" means an individual Native American Indian who is duly registered on the tribal rolls of the Indian tribe for whose benefit the Indian reservation was established.

2. "Indian reservation" means all lands that are within the limits of areas set aside by the United States for the exclusive use and occupancy of an Indian tribe by treaty, law or executive order and that are recognized as Indian reservations by the United States department of the interior.

3. "Indian tribe" means any organized nation, tribe, band or community that is recognized as an Indian tribe by the United States department of the interior and includes any entity formed under the laws of the Indian tribe.
A.R.S. § 42-18059 — Arizona Code / Title 42 / Chapter 18 / Article 2 / Section 18059
42-18059 Payment of tax on property sold at judicial sale or by fiduciary
Status: in_force

42-18059. Payment of tax on property sold at judicial sale or by fiduciary

If the tax has not been paid on property sold at judicial sale, or sold by an executor, administrator, guardian or trustee, the person making the sale shall pay the taxes, penalties and costs from the proceeds of the sale.
A.R.S. § 42-11101 — Arizona Code / Title 42 / Chapter 11 / Article 3 / Section 11101
42-11101 Definitions
Status: in_force

42-11101. Definitions

In this article, unless the context otherwise requires:

1. "Afflicted" means persons who, because of a mental or physical condition, illness or condition of distress, adversity or harassment, or imminent risk of such condition, are unable to reasonably take care of themselves or their families or to properly function in society without periodic or continuous assistance.

2. "Indigent" means a person who is without sufficient means or ability to provide themselves with adequate food, shelter or social necessaries.
A.R.S. § 42-12001 — Arizona Code / Title 42 / Chapter 12 / Article 1 / Section 12001
42-12001 Class one property
Status: in_force

42-12001. Class one property

For purposes of taxation, class one is established consisting of the following subclasses:

1. Producing mines and mining claims, personal property used on mines and mining claims, improvements to mines and mining claims and mills and smelters operated in conjunction with mines and mining claims that are valued at full cash value pursuant to section 42-14053.

2. Standing timber that is valued at full cash value.

3. Real and personal property of gas distribution companies, electric transmission companies, electric distribution companies, combination gas and electric transmission and distribution companies, and companies engaged in the generation of electricity that are valued at full cash value pursuant to section 42-14151.

4. Real and personal property of airport fuel delivery companies that are valued pursuant to section 42-14503.

5. Real and personal property that is used by producing oil, gas and geothermal resource interests that are valued at full cash value pursuant to section 42-14102.

6. Real and personal property of water, sewer and wastewater utility companies that are valued at full cash value pursuant to section 42-14151.

7. Real and personal property of pipeline companies that are valued at full cash value pursuant to section 42-14201.

8. Real and personal property of shopping centers that are valued at full cash value or pursuant to chapter 13, article 5 of this title, as applicable, other than property that is included in class nine.

9. Real and personal property of golf courses that are valued at full cash value or pursuant to chapter 13, article 4 of this title.

10. All property, both real and personal, of manufacturers, assemblers or  fabricators, other than property that is specifically included in another class described in this article, that is valued under this title.

11. Real and personal property that is used in communications transmission facilities and that provides public telephone or telecommunications exchange or interexchange access for compensation to effect two-way communication to, from, through or within this state.

12. Real property and improvements that are devoted to any other commercial or industrial use, other than property that is specifically included in another class described in this article, and that are valued at full cash value.

13. Personal property that is devoted to any other commercial or industrial use, other than property that is specifically included in another class described in this article, and that is valued at full cash value.

14. Real and personal property of electric cooperatives that are valued at full cash value pursuant to section 42-14159.
A.R.S. § 42-14102 — Arizona Code / Title 42 / Chapter 14 / Article 3 / Section 14102
42-14102 Annual determination of valuation
Status: in_force

42-14102. Annual determination of valuation

The department shall annually determine the valuation of all producing oil, gas and geothermal resource interests in this state in the manner prescribed by this article.
A.R.S. § 42-5452 — Arizona Code / Title 42 / Chapter 5 / Article 10 / Section 5452
42-5452 Levy and rate of tax; effect of federal excise tax
Status: in_force

42-5452. Levy and rate of tax; effect of federal excise tax

(Caution:  1998 Prop. 105 applies)

A. There is levied and the department shall collect an excise tax on all marijuana and marijuana products sold to a consumer by a marijuana establishment at a rate of sixteen percent of the price of the marijuana or marijuana product sold.  This subsection does not apply to marijuana dispensed to a registered qualifying patient or registered designated caregiver pursuant to title 36, chapter 28.1 by a dual licensee or nonprofit medical marijuana dispensary.

B. If the United States levies and collects an excise tax on marijuana and marijuana products, the aggregate of federal and state excise taxes may not exceed a rate of thirty percent of the price of the marijuana or marijuana product sold, and the tax levied pursuant to subsection A of this section shall be lowered accordingly and automatically on the effective date of the federal excise tax.

C. A product subject to the tax imposed by this section may not be bundled with a product or service that is not subject to the tax imposed by this section.

D. The tax levied and collected pursuant to this section shall not be included in computing the tax base, gross proceeds of sales or gross income of a marijuana establishment for purposes of title 42, chapters 5 and 6, and is not subject to any transaction privilege, sales, use or other similar tax levied by a county, city, town or special taxing district.

E. Notwithstanding section 42-3102, the department shall deposit all monies levied and collected pursuant to this section in the smart and safe Arizona fund established by section 36-2856.
A.R.S. § 42-1129 — Arizona Code / Title 42 / Chapter 1 / Article 3 / Section 1129
42-1129 Payment of tax by electronic funds transfer
Status: in_force

42-1129. Payment of tax by electronic funds transfer

A. The department may require by rule, consistent with the state treasurer's cash management policies, that any tax administered pursuant to this article, except for individual income tax or as required under section 42-3053, be paid on or before the payment date prescribed by law in monies that are immediately available to this state on the date of the transfer as provided by subsection B of this section by any taxpayer that owes:

1. $20,000 or more for any taxable year beginning before January 1, 2019.

2. $10,000 or more for any taxable year beginning from and after December 31, 2018 through December 31, 2019.

3. $5,000 or more for any taxable year beginning from and after December 31, 2019 through December 31, 2020.

4. $500 or more for any taxable year beginning from and after December 31, 2020.

B. A payment in immediately available monies shall be made by electronic funds transfer, with the state treasurer's approval, that ensures the availability of the monies to this state on the date of payment.

C. A taxpayer may apply to the director, on a form prescribed by the department, for an annual waiver from the electronic payment requirement prescribed by subsection B of this section. The application must be received by the department on or before December 31.  The director may grant the waiver, which may be renewed, if any of the following applies:

1. The taxpayer has no computer.

2. The taxpayer has no internet access.

3. Any other circumstance considered to be worthy by the director exists, including the taxpayer having a sustained record of timely payments and no delinquent tax account with the department.

D. The taxpayer shall furnish evidence as prescribed by the department that an electronic payment was remitted on or before the due date. For the purposes of determining the timeliness of electronic payments made under this section, an electronic payment is deemed to have been made at the date and time, consistent with section 1-242, that the taxpayer successfully authorizes the electronic funds transfer from the taxpayer's financial institution to the department as evidenced by an electronic payment confirmation issued by any of the following:

1. The department.

2. The taxpayer's financial institution.

3. A vendor certified by the department.

E. A taxpayer who is required to pay by electronic funds transfer but who fails to do so may be subject to the civil penalties prescribed by section 42-1125, subsection O.

F. A failure to make a timely payment in immediately available monies as prescribed pursuant to this section is subject to the civil penalties prescribed by section 42-1125, subsection D.
A.R.S. § 42-19153 — Arizona Code / Title 42 / Chapter 19 / Article 4 / Section 19153
42-19153 Application and exemptions
Status: in_force

42-19153. Application and exemptions

This article does not apply to:

1. A mobile home with respect to which an affidavit of affixture has been recorded pursuant to section 42-15203 and that has been placed on the real property tax roll.

2. Any trailer that is eight feet or less in width and less than thirty-two feet in length and that is not used as a place of residence or for a commercial purpose. A license tax in lieu of ad valorem property taxes is assessed on those trailers in the same manner as on other vehicles.

3. A mobile home that is properly licensed in another state and that is owned by a bona fide tourist in this state. This article does apply to a mobile home or trailer that is located in this state and that is owned by a resident of this state. For the purposes of this paragraph, "resident" includes:

(a) A person, except a tourist or out-of-state student, who owns, leases or rents a dwelling in this state and occupies it as a place of residence.

(b) A person who, regardless of domicile, remains in this state for a consecutive period of six months or more.

(c) A person who engages in a trade, profession or occupation in this state or who accepts employment in this state in other than seasonal agricultural work.

(d) A person who places a child in a public school without paying nonresident tuition.

(e) A person who declares that the person is a resident of this state for the purpose of obtaining or paying at resident rates a state license or tuition fees at an educational institution that is maintained by public monies.

(f) Any individual, partnership, company, firm, corporation or association that maintains a main office, a branch office or warehouse facilities in this state and that bases and operates motor vehicles in this state.
A.R.S. § 42-14352 — Arizona Code / Title 42 / Chapter 14 / Article 8 / Section 14352
42-14352 Annual statement
Status: in_force

42-14352. Annual statement

A. On or before April 1 of each year each person that owns, operates or constructs a railroad in this state, by its president, secretary, tax agent or principal accounting officer, shall file with the department a sworn statement or schedule containing:

1. A statement of the railroad's right-of-way, track and roadbed, including:

(a) The entire length in this and other states.

(b) The proportion in each city, town and county in this state.

(c) The total length in this state.

2. The length of all sidetracks, the aggregate length of sidetracks and the city, town and county in which they are located.

3. A complete list of all depots, station houses, machine shops and other buildings that are located wholly or in part on the right-of-way, and connected platforms, fuel and water stations and machinery and tanks, and showing:

(a) Their size.

(b) Their location as to city, town and county.

(c) The material of which they are constructed.

(d) Their value.

4. The number of ties in the track per mile, the weight per yard of iron or steel rails used in main tracks or sidetracks, what joints are used in main tracks or sidetracks, the ballasting of the tracks, whether with rock, gravel, dirt or other material, the length of time the iron and steel have been used and the length of time the road has been built.

5. A full list of the rolling stock, distinctly stating the number, class and value of locomotives and all kinds of cars that are owned or leased by the company and in this state at 12:00 noon on January 1.

6. The amount of capital stock authorized, the number of shares into which the capital stock is divided, the amount of capital stock paid up, the market value of the stock or, if it has no market value, the actual value of the shares of stock and the amount and market value of outstanding bonded indebtedness.

7. A correct detailed inventory of the number, kind and value of all tools and materials used for repairs and all other personal property.

8. A statement of the amount and value of the property designated in this section.

9. Any other information that the department requires.

B. On written request by the secretary, tax agent or principal accounting officer of any person that owns, operates or constructs a railroad in this state and for good cause shown, the director may enlarge or extend the time for filing the annual statement.
A.R.S. § 42-16258 — Arizona Code / Title 42 / Chapter 16 / Article 6 / Section 16258
42-16258 Correcting tax roll by county treasurer
Status: in_force

42-16258. Correcting tax roll by county treasurer

A. After receiving the tax roll, if the county treasurer determines that any property is omitted from the roll, or has reason to believe that any personal property that is omitted from the roll has not been taxed in any other county for that year, the treasurer shall request the assessor to determine the valuation of the property.

B. The treasurer shall enter the valuation on the roll following the levies made and delivered by the county board of supervisors. The entries shall be designated as additional valuations, and the taxes so computed by the county treasurer are valid for all purposes.

C. If there is an error on the roll in the name of the taxpayer who should be assessed or taxed, the county treasurer may change the name and collect the tax from the correct taxpayer.

D. If an error or omission is determined under this section, the taxpayer shall be notified of the proposed correction and the taxpayer may appeal the proposed correction pursuant to section 42-16252.
A.R.S. § 42-13053 — Arizona Code / Title 42 / Chapter 13 / Article 2 / Section 13053
42-13053 Exception list; review of valuation
Status: in_force

42-13053. Exception list; review of valuation

A. If the county assessor initially determines the valuation of property under this article by using a computerized data processing or valuation program, and if the valuation found by that method constitutes a change in the valuation methodology and the resulting change in valuation in any year is more than fifteen per cent above or below the valuation found for the same parcel of property in the preceding year, the assessor shall place the parcel on an exception list. The assessor shall review the valuation to determine if the change in valuation reflects the current status and conditions affecting each property on the exception list before mailing the notice of valuation.

B. This section does not apply in the case of parcel splits or consolidations, construction or destruction of improvements, changes in use or classification of the property, or other occurrences that would account for the change in valuation.
A.R.S. § 42-17256 — Arizona Code / Title 42 / Chapter 17 / Article 6 / Section 17256
42-17256 Application of tax law to municipal taxes; special taxes and assessments
Status: in_force

42-17256. Application of tax law to municipal taxes; special taxes and assessments

A. General city and town taxes that are levied and assessed under this article are due and become delinquent and attach to and become a lien on the assessed property at the same time as county taxes.

B. The provisions of law relating to county taxes, including the provisions of this chapter relating to reviewing and equalizing assessments, proceedings for collection and enforcement and return and sale of property for delinquent taxes, apply and are effective with respect to city and town taxes and to the persons to whom they are assessed.

C. Special taxes and assessments shall be levied and collected in the manner and form by the officers and under the proceedings prescribed by law and the ordinances of the respective city or town.
A.R.S. § 42-6054 — Arizona Code / Title 42 / Chapter 6 / Article 2 / Section 6054
42-6054 Modifications to model city tax code; notice and hearing
Status: in_force

42-6054. Modifications to model city tax code; notice and hearing

A. If a city or town adopts the model city tax code, the city or town shall not adopt any modification or amendment to the code unless the city or town holds a public hearing on the proposed action before the modification or amendment becomes effective.

B. If a city or town that has adopted the model city tax code issues a written notice with respect to an interpretation of any provision of the code or any procedures to be followed under the code, the city or town shall not adopt any modification or amendment to the written notice unless the city or town holds a public hearing on the proposed action before the modification or amendment becomes effective.

C. A city or town that has adopted the model city tax code shall not change the application of the code from audit to audit unless the city or town adopted an amendment or modification to the code.

D. The governing body of the city or town shall publish a notice of the hearing at least fifteen days before the date of the hearing in a newspaper of general circulation in the city or town. At the hearing, the governing body shall receive all written and oral comments relating to the proposed action. If, after receiving and considering all comments, the governing body proceeds with the proposed action, the modification or amendment shall not become effective for at least sixty days after the date of the hearing, unless otherwise provided by city charter.

E. A city or town that proposes an ordinance to adopt or repeal a model or local option in the model city tax code shall notify all taxpayers in the affected tax classification pursuant to section 9-499.15.
A.R.S. § 42-16207 — Arizona Code / Title 42 / Chapter 16 / Article 5 / Section 16207
42-16207 Commencement of appeal; notice
Status: in_force

42-16207. Commencement of appeal; notice

A. A court appeal relating to valuation or classification of property is commenced by filing a notice of appeal with either the tax court or the superior court pursuant to section 12-163, subsection B.

B. The notice of appeal shall contain a statement of the reasons why the valuation or classification is excessive or erroneous.

C. If the department or the county requests an increase in full cash value, the response filed shall contain a statement of the reasons why the valuation or classification is insufficient or erroneous.
A.R.S. § 42-1008 — Arizona Code / Title 42 / Chapter 1 / Article 1 / Section 1008
42-1008 Employee, agent, contractor preparation of tax returns for compensation prohibited
Status: in_force

42-1008. Employee, agent, contractor preparation of tax returns for compensation prohibited

An employee of the department of revenue, any individual acting as an agent or contractor of the department to perform any duties of the department or any manager or supervisor of an individual acting as an agent or contractor of the department shall not for compensation prepare or assist in preparing any tax return that is required to be filed with the federal, the state or a local government. A violation of this section is grounds for immediate dismissal or removal from any duties performed as an agent or contractor of the department as allowed by law.
A.R.S. § 42-18401 — Arizona Code / Title 42 / Chapter 18 / Article 9 / Section 18401
42-18401 Collection of personal property tax by seizure and sale
Status: in_force

42-18401. Collection of personal property tax by seizure and sale

A. At any time after receiving the roll the county treasurer may collect the taxes due on personal property by seizure and sale if not otherwise collected.

B. The sale shall be at public auction after notice of one week of the time and place of the sale by publication in a newspaper in the county or by posting notices of the sale in three public places in the county. The notice shall state that a sufficient amount of the property will be sold to pay the taxes, fees and costs.

C. For seizing and selling personal property the treasurer may charge in each case three dollars and the same mileage as allowed by law to the sheriff in serving civil process.

D. On payment of the purchase price and delivery of the property with a bill of sale, the title to the property vests in the purchaser.

E. Any amount collected that exceeds the taxes, fees and costs shall be returned to the owner of the property sold and, until claimed, shall be deposited in the county treasury subject to the order of the owner.
A.R.S. § 42-19001 — Arizona Code / Title 42 / Chapter 19 / Article 1 / Section 19001
42-19001 Powers of county assessor
Status: in_force

42-19001. Powers of county assessor

In administering this chapter the assessor has the same authority that is granted to county assessors under chapters 13 and 15 of this title and all other authority that is granted to county assessors under any law of this state and that does not conflict with this chapter.
A.R.S. § 42-1117 — Arizona Code / Title 42 / Chapter 1 / Article 3 / Section 1117
42-1117 Tax refund account
Status: in_force

42-1117. Tax refund account

A. A tax refund account is established in the state general fund. The director of the department of administration shall draw all amounts necessary to make refunds under this article from the tax refund account.

B. At any time during the fiscal year if it appears that the amount in the tax refund account exceeds the amount required for refunds, the director shall transfer the excess amount from the account to the state general fund. If the transfer reduces the amount in the tax refund account below the amount required for refunds, the director of the department of administration shall adjust the amount transferred for redeposit in the tax refund account to pay such refunds. Any amount remaining in the tax refund account on June 30 of each year exceeding five hundred thousand dollars shall be transferred from the account to the state general fund.
A.R.S. § 42-15201 — Arizona Code / Title 42 / Chapter 15 / Article 5 / Section 15201
42-15201 Definitions
Status: in_force

42-15201. Definitions

In this article, unless the context otherwise requires:

1. "Mobile home" has the same meaning prescribed in section 42-19151.

2. "Permanently affixed" means the installation of a mobile home on real property that is owned by the owner of the mobile home.
A.R.S. § 42-13154 — Arizona Code / Title 42 / Chapter 13 / Article 4 / Section 13154
42-13154 Covenant not to convert golf course to another use; notice; violation; penalty; definition
Status: in_force

42-13154. Covenant not to convert golf course to another use; notice; violation; penalty; definition

A. As a condition for valuation under this article, the owner of a golf course shall record a deed restriction with the county recorder and file a copy of the restriction with the county assessor, requiring and restricting the property to use as a golf course for at least ten years. The deed restriction must be refiled as necessary, including when the property is split or combined, to ensure that the deed restriction always applies for at least ten years.

B. The valuation of a golf course under this article constitutes a covenant between the county assessor and the owner of the golf course that the use of the property as a golf course will remain unchanged for the duration of the deed restriction in order to receive valuation as a golf course and to avoid the penalty prescribed in subsection E of this section for converting the property to a different use.

C. The county assessor shall maintain a record of the value of the property determined under this article and the value of the property if it had not been determined under this article. The county assessor shall maintain the record for at least ten years for use in computing the penalty under subsection E if the property is converted to a different use in violation of the covenant.

D. If any part of the property is converted to a different use in violation of the covenant, the owner of the golf course must submit notification to the county assessor in person, electronically or by certified mail within thirty days after the property is converted to a different use.

E. On receipt of the owner of the golf course's notice pursuant to subsection D of this section or the county assessor discovering that any part of the property has been converted to a different use, the county assessor shall add to the tax levied against the property on the next tax roll a penalty equal to the difference between the total amount of property taxes that would have been levied on the property for the preceding ten years or the period of time the property was valued under this article, whichever period is shorter, if the property had not been valued under this article and the property taxes that were actually paid for the same period. The penalty due under this subsection shall be paid before completion of the next property tax roll and is enforceable and subject to the same penalties and interest as if the penalty were a tax levied against the property.

F. If the county assessor accepts electronic filings or notices, the county assessor shall provide an electronic acknowledgment of receipt.

G. For the purposes of this section, "converted to a different use" means the terms of this article have been violated or the deed restriction has been removed, has expired without the refiling of a replacement restriction or has been violated.
A.R.S. § 42-16054 — Arizona Code / Title 42 / Chapter 16 / Article 2 / Section 16054
42-16054 Meeting between assessor and petitioner
Status: in_force

42-16054. Meeting between assessor and petitioner

A. At the petitioner's written request, the assessor shall meet with the petitioner at a time and place designated at least ten working days in advance by the assessor.

B. If the petitioner is unable to appear and meet with the assessor at the time and place set by the assessor, the petitioner may submit written evidence to support the petition if it is submitted before the date of the meeting.