reglab/statecodes huggingface dataset:
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3351 - Bonds required of liquor wholesalers; exemption

42-3351.
Bonds required of liquor wholesalers;  exemption
A. Every wholesaler of spirituous,  vinous and malt liquors shall file with the department,  in such form as the department prescribes,  a bond or bonds,  duly executed by the wholesaler as principal,  and with a corporation duly authorized to execute and write bonds within the state as surety,  payable to the state,  and conditioned upon the payment of all taxes,  penalties and other obligations of the wholesaler arising under this chapter.
B. The department shall fix the total amount of the bond or bonds required of the wholesaler and may increase or reduce the amount at any time. In fixing the total amount,  the department shall require a bond or bonds equivalent in total amount to twice the wholesaler's estimated monthly tax,  ascertained in such manner as the department deems proper. The total amount of the bond or bonds required of any wholesaler shall not be less than two thousand dollars.
C. A wholesaler is exempt from the requirements of this section if the wholesaler has made timely payment of the taxes imposed by this chapter for the twenty-four consecutive months immediately preceding the current month.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3352 - Reports of distillers and manufacturers

42-3352.
Reports of distillers and manufacturers
A. Every distiller or manufacturer of distilled spirits and vinous and malt liquors that sells any of those products to wholesalers within this state shall maintain in its records a copy of the invoice of the sale,  showing in detail:
1. The kind of liquor or beverage sold.
2. The quantities of each.
3. The size of the container and the weight of the contents.
4. The alcoholic content if required by section 42-3052.
5. The name of the person,  firm or corporation to whom sold.
B. A distiller or manufacturer shall make the invoices required to be kept pursuant to subsection A of this section available to the department on request.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3353 - Return and payment by cider or malt liquor wholesalers

42-3353.
Return and payment by cider or malt liquor wholesalers
A. Every wholesaler of cider or malt liquors purchasing cider or malt liquors for resale within the state shall pay the tax under this chapter on all such liquors so purchased and add the amount of the tax to the sales price.
B. 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.
C. On or before the date prescribed by subsection B 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 cider or malt liquors purchased during the month in which the tax accrues.
2. The amount of tax for the period covered by the return.
3. Any other information that the department deems necessary for the proper administration of this chapter.
D. The taxpayer shall deliver the return,  together with a remittance of the amount of the tax due,  to the department.
E. 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.
F. For reporting periods beginning from and after December 31,  2019,  or when the department has established an electronic filing program,  whichever is later,  a 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.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3354 - Return and payment by spirituous or vinous liquor wholesalers

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.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3356 - Bonds required of farm wineries and direct shipment licensees; exemption

42-3356.
Bonds required of farm wineries and direct shipment licensees;  exemption
A. Every farm winery that makes deliveries pursuant to section 4-205.04,  subsection C,  paragraph 7 or 9 or direct shipment licensee that makes deliveries pursuant to section 4-203.04 shall file with the department,  in a form prescribed by the department,  a bond or bonds,  duly executed by the farm winery or direct shipment licensee as principal,  and with a corporation duly authorized to execute and write bonds within this state as surety,  payable to this state and conditioned on the payment of all taxes,  penalties and other obligations of the farm winery or direct shipment licensee arising under this chapter and chapter 5 of this title.
B. The department shall fix the total amount of the bond or bonds required of the farm winery or direct shipment licensee and may increase or reduce the total amount at any time. In fixing the total amount,  the department shall require a bond or bonds equivalent in total amount to twice the farm winery's or direct shipment licensee's estimated monthly tax,  ascertained in a manner deemed proper by the department. The total amount of the bond or bonds required of any farm winery or direct shipment licensee shall not be less than five hundred dollars.
C. A farm winery or direct shipment licensee is exempt from the requirements of this section if the farm winery or direct shipment licensee has made timely payment of any taxes imposed by this chapter for the twelve consecutive months immediately preceding the current month.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3371 - Levy and collection of tax on cigarettes, cigars and other forms of tobacco

42-3371.
Levy and collection of tax on cigarettes,  cigars and other forms of tobacco
(Caution: 1998 Prop. 105 applies)
In addition to all other taxes,  there is levied and shall be collected by the department in the manner provided by this chapter,  on all cigarettes,  cigars,  smoking tobacco,  plug tobacco,  snuff and other forms of tobacco the following tax:
1. On each cigarette,  four cents.
2. On smoking tobacco,  snuff,  fine cut chewing tobacco,  cut and granulated tobacco,  shorts and refuse of fine cut chewing tobacco,  and refuse,  scrubs,  clippings,  cuttings and sweepings of tobacco,  excluding tobacco powder or tobacco products used exclusively for agricultural or horticultural purposes and unfit for human consumption,  9 cents per ounce or major fraction of an ounce.
3. On all cavendish,  plug or twist tobacco,  2.2 cents per ounce or fractional part of an ounce.
4. On each twenty small cigars or fractional part weighing not more than three pounds per thousand,  17.8 cents.
5. On cigars of all descriptions except those included in paragraph 4,  made of tobacco or any tobacco substitute:
(a) If manufactured to retail at not more than five cents each,  8.8 cents on each three cigars.
(b) If manufactured to retail at more than five cents each,  8.8 cents on each cigar.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3372 - Disposition of monies

42-3372.
Disposition of monies
(Caution: 1998 Prop. 105 applies)
Notwithstanding section 42-3102,  the department shall deposit,  pursuant to sections 35-146 and 35-147,  monies levied and collected pursuant to this article in the early childhood development and education fund established by section 8-1181 for use as prescribed by title 8,  chapter 13.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3402 - Contraband tobacco products

42-3402.
Contraband tobacco products
Notwithstanding any other law to the contrary,  tobacco products that are ordered,  purchased or transported in violation of section 13-3711,  36-798.06 or 42-3461 or section 44-7111,  section 3(c) or any other statute under which the tobacco products are subject to seizure and destruction are considered to be contraband for which taxes that are imposed under this chapter may not be reported and remitted by a distributor pursuant to sections 42-3462 and 42-3501 or reported by a person pursuant to section 42-3457,  subsection B.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3403 - Tobacco product retailers; vehicle as place of business prohibited; exceptions

42-3403.
Tobacco product retailers;  vehicle as place of business prohibited;  exceptions
A. A retailer may sell any tobacco product that is not otherwise prohibited by federal or state law from sale for resale,  but a retailer may not acquire or possess unstamped cigarettes,  or other tobacco products or cigarettes on which taxes levied under this chapter have not been paid,  unless the retailer holds a valid license issued under section 42-3401.
B. A person may not use a vehicle as a place of business for selling,  transferring or otherwise distributing tobacco products. This subsection does not prohibit the lawful delivery of other tobacco products by a person who holds a valid license issued under section 42-3401,  or by that person's representative,  using a vehicle that is owned,  operated or contracted by that person or that person's representative. That person or that person's representative is expressly allowed to use such a vehicle to carry and store tax-paid other tobacco products in the normal course of performing the person's or the person's representative's duties,  including for the purpose of selling other tobacco products to,  and performing similar lawful transactions with,  retailers and distributors. If a vehicle is used by a licensed distributor to carry and store tax-paid other tobacco products,  as a condition of licensure,  the distributor shall provide written consent and allow access to the department to inspect the stock of luxuries and all books,  papers,  invoices,  records and electronically stored data showing sales,  receipts and purchases of luxuries. The distributor shall submit the written consent to the department with the license application or on demand of the department.
C. This section does not prohibit business activities that are allowed under sections 42-3454 and 42-3502 for both taxed and untaxed tobacco products.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3405 - Tobacco manufacturers, importers, distributors and retailers; recordkeeping and invoicing requirements; retention period

42-3405.
Tobacco manufacturers,  importers,  distributors and retailers;  recordkeeping and invoicing requirements;  retention period
A. Except for retail transactions with consumers,  each manufacturer,  importer and distributor of tobacco products shall maintain copies of invoices or equivalent documentation for each facility and for each transaction that involves the sale,  purchase,  transfer,  consignment or receipt of tobacco products within this state. The invoices or equivalent documentation for each transaction shall be in the form and manner prescribed by the department and shall indicate the name and address of the other party and the quantity by brand style of the tobacco products involved in the transaction.
B. A distributor of tobacco products shall issue an invoice or equivalent documentation for each transaction that involves the sale,  purchase or consignment of tobacco products to a retailer. The invoice or equivalent documentation must include the license number of the distributor,  which the retailer may use to ascertain whether the license is current and valid.
C. Any retailer of tobacco products shall retain all invoices or equivalent documentation received under subsection B of this section.
D. Records required under this section shall be preserved on the premises described in the relevant license in a manner as to ensure accessibility for inspection at reasonable hours by authorized personnel of the department. With the department's permission,  persons with multiple places of business may retain centralized records,  but shall transmit duplicates of the invoices or the equivalent documentation to each place of business within three business days after a request by the department.
E. The records required by this section shall be retained for a period of four years after the date of the transaction.
F. On request,  the department and the United States secretary of the treasury or secretary's designee shall have access to records required under this section and reports required under section 42-3462. The department at its sole discretion may share the records and reports required by this chapter with other law enforcement officials of federal and state governments under conditions that assume the confidentiality of taxpayer information contained in the records and reports.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3406 - Refunds and rebates of tobacco taxes; supporting documentation; distributor's burden of proof

42-3406.
Refunds and rebates of tobacco taxes;  supporting documentation;  distributor's burden of proof
A. Except as otherwise provided under subsection B of this section or by the department for a refund or redemption under section 42-3008 or 42-3460,  a distributor requesting any refund or rebate of taxes paid on tobacco products pursuant to article 2,  6,  7 or 9 of this chapter shall establish entitlement to the refund or rebate by obtaining a report executed by the retailer that purchased the tobacco products on which the distributor paid taxes,  indicating the name and address of the retailer and the quantities of tobacco products sold,  separately identified by the tax category of tobacco product and the necessary facts to establish the appropriate amount of refund or rebate. The report is subject to the following conditions:
1. The report shall be provided in the form and manner prescribed by the department. Under such rules as it may prescribe,  the department may identify transactions for which a distributor may not rely solely on the information in the retailer's report but must instead obtain additional information as required by the rules in order to be entitled to the refund or rebate.
2. The burden of proof for the refund or rebate is on the distributor,  but if the distributor complies in all other respects with this section,  the department may require the retailer that caused the execution of the report to establish the accuracy and completeness of the information required to be contained in the report that would entitle the distributor to the refund or rebate. If the retailer cannot establish the accuracy and completeness of the information,  the retailer is liable in an amount equal to any tax,  penalty and interest that the distributor would have been liable for under this chapter if the distributor had not otherwise complied with this section. Payment of the amount under this section by the retailer exempts the distributor from liability for the underlying tax,  penalty and interest. All amounts paid by a retailer under this paragraph shall be treated as tax revenues collected from the distributor in order to designate the distribution base for the purposes of this chapter.
B. In its discretion and in circumstances in which a retailer is uncooperative,  nonresponsive or no longer in business,  the department may accept proof other than a report described in subsection A of this section if the distributor shows,  to the satisfaction of the department,  that it exercised ordinary business care and prudence but was unable to furnish a report executed by the retailer. Acceptable forms of proof presented by the distributor pursuant to this subsection must consist of books,  records or papers maintained by the distributor or retailer in the regular course of business.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3451 - Acquisition and possession of cigarettes and roll-your-own tobacco; definitions

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.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3452 - Payment of tax required to sell, distribute or transfer tobacco products

42-3452.
Payment of tax required to sell,  distribute or transfer tobacco products
A. Except as provided in subsection B of this section,  a person may not:
1. Sell,  offer for sale,  distribute or transfer any tobacco products on which a tax is imposed by this chapter to any person within this state unless at the time of the sale,  distribution or transfer the tax has been paid. The department shall consider tobacco taxes paid at the time of the sale,  distribution or transfer of cigarettes if evidenced by an Arizona tax stamp or any other official indicia affixed to the package by a licensed distributor. The department shall consider tobacco taxes paid at the time of the sale,  distribution or transfer of tobacco products other than cigarettes if a licensed distributor reports and remits the taxes on the products in accordance with the manner,  method and time prescribed by section 42-3501. Sworn returns that are prepared and remitted by a licensed distributor under section 42-3501 constitute official indicia that tobacco taxes have been paid on the tobacco products.
2. Sell cigarettes that have Arizona tax stamps affixed unless the tax evidenced by the stamps is actually paid. The department shall not refund any amount of that tax on the grounds that the stamps are not required to be affixed to the cigarettes.
B. A distributor licensed pursuant to section 42-3401 may not sell,  distribute or transfer tobacco products for which the distributor is licensed to another such licensed distributor without paying the tax at the time of the sale,  distribution or transfer.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3453 - Presumption of tax on unstamped cigarettes

42-3453.
Presumption of tax on unstamped cigarettes
Except as otherwise provided in section 42-1127,  subsection F and section 42-3452,  subsection B,  for the purpose of proper administration and to prevent evasion of the taxes imposed by this chapter,  until the contrary is established,  it is presumed that cigarettes that are sold,  distributed,  used or consumed by a person in this state,  but not placed in packages or containers on which official tax stamps are affixed,  are intended for first sale by the person and are subject to the taxes imposed by this chapter.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3454 - Transport of unstamped cigarettes and untaxed roll-your-own tobacco prohibited; exceptions

42-3454.
Transport of unstamped cigarettes and untaxed roll-your-own tobacco prohibited;  exceptions
A. A person may not hold,  store or transport unstamped cigarettes or untaxed roll-your-own tobacco for sale or distribution in this state in any vehicle pursuant to section 36-798.06.
B. This section does not apply to either of the following:
1. A vehicle that is owned,  operated or contracted by a person who holds a valid license issued under section 42-3401 and is transporting unstamped cigarettes or untaxed roll-your-own tobacco from one to another of the licensee's places of business listed on its application.
2. A vehicle that is transporting unstamped cigarettes or untaxed roll-your-own tobacco to a licensed distributor as part of a lawful sale or in interstate commerce to a person lawfully operating as a manufacturer,  distributor or retailer of cigarettes or roll-your-own tobacco.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3456 - Tax stamps as indicia of taxes paid; exception; definitions

42-3456.
Tax stamps as indicia of taxes paid;  exception;  definitions
A. Except as otherwise provided in this chapter,  all cigarettes on which a tax is imposed by this chapter shall be placed in packages or containers,  and on each package or container shall be affixed an official stamp described in section 42-3455. An affixed stamp shall be evidence that the taxes levied by sections 42-3052,  42-3251 and 42-3251.01 are paid.
B. Distributors are liable for affixing official stamps or otherwise applying tax indicia to cigarettes that are subject to a tax imposed by this chapter. A licensed distributor shall apply a stamp to each package of cigarettes that is sold or distributed in this state and that is subject to tax under this chapter,  including cigarettes that are subject to tax under section 42-3302. A licensed distributor shall apply a tax exempt stamp to cigarette packages that are not subject to tax under section 42-3304,  subsection A,  paragraph 2.
C. Cigarettes that are sold,  distributed or transferred by a distributor licensed pursuant to section 42-3401 to sell cigarettes are required to have affixed the luxury stamps described in section 42-3455 at the time the cigarettes are sold,  distributed or transferred to another licensed distributor.
D. Notwithstanding subsection C of this section,  a licensed distributor can submit a written request in the form and manner prescribed by the department in rule or procedure to sell,  distribute or transfer unstamped cigarettes to another licensed distributor. Once an accurate and complete request is submitted to the department,  the department will approve or deny the request as prescribed in rule or procedure within ten days of receipt of the request.
E. Cigarettes that are exempt from tax under 26 United States Code section 5704 and that are distributed according to federal regulations are not subject to tax and do not require a stamp under this chapter.
F. A retailer shall not offer for sale cigarettes in quantities that are not packaged as such for sale by the manufacturer.
G. Distributors may apply stamps only to cigarette packages that the distributors have directly received from a licensed distributor,  manufacturer or importer.
H. 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.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3457 - Unstamped cigarettes

42-3457.
Unstamped cigarettes
A. A person shall not possess an unstamped cigarette package unless the person is shipping or transporting unstamped cigarettes pursuant to subsection B of this section,  is a licensed manufacturer or importer or is a licensed distributor who receives unstamped cigarette packages directly from a licensed manufacturer or importer.
B. Except for a licensed manufacturer,  importer or distributor and if lawful under section 36-798.06,  a person who ships unstamped cigarette packages in or into this state shall first file with the department a notice of shipment. This subsection does not apply to any common or contract carrier that is transporting cigarettes through this state to another location under a proper bill of lading or freight bill that states the quantity,  source and destination of the cigarettes.
C. If lawful under section 36-798.06,  a person who transports unstamped cigarette packages in or into this state shall carry in the vehicle used to convey the shipment invoices or equivalent documentation of the shipment for all cigarettes in the shipment. The invoices or documentation shall indicate the name and address of the consignor or seller,  the name and address of the consignee or purchaser and the quantity of each brand of cigarettes that is transported.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3458 - Discount purchases of tax stamps; refund, redemption and rebate amounts

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.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3459 - Secured cigarette stamp purchases on credit; cancellation of credit privileges; collection action; bonding requirement; waiver

42-3459.
Secured cigarette stamp purchases on credit;  cancellation of credit privileges;  collection action;  bonding requirement;  waiver
A. Subject to subsections B and C of this section,  and except as provided in subsection D of this section,  a licensed distributor who furnishes a bond of a surety company qualified to do business in this state,  in an amount equal to two times the amount of the distributor's current monthly stamp purchases and conditioned upon the payment within the time prescribed,  may make payment for the official stamp on or before the twentieth day of the month next following the purchase of an official stamp. All other distributors shall pay for each stamp at the time of purchase.
B. Upon a finding that the amount of stamp purchases,  or meter machine usage,  exceeds seventy-five percent of the amount of the bond,  the department may cancel the credit privileges provided to qualified distributors pursuant to subsection A of this section.
C. If the indebtedness of a distributor whose credit privileges have been canceled pursuant to this section remains unpaid for thirty days after cancellation,  the director shall request the attorney general to take suitable action on behalf of the department to collect either on the indebtedness or the surety bond.
D. The distributor may request that the department waive the bonding requirement in subsection A of this section if the distributor maintains a timely,  accurate and complete filing and payment record for a period of two years and otherwise complies with all requirements of a licensed distributor pursuant to this chapter and title 44,  chapter 27. The waiver of the bonding requirement applies only to the distributor's purchases of tax stamps with which the distributor prepays the Indian reservation tobacco tax,  pursuant to section 42-3303.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3460 - Redemption of unused or spoiled tax stamps and meter registration; definitions

42-3460.
Redemption of unused or spoiled tax stamps and meter registration;  definitions
A. The department shall redeem unused or spoiled Arizona tax stamps that a distributor presents for redemption if those stamps are unaffixed and purchased within two years of the date of the request for redemption and shall pay for them from monies collected under this chapter.
B. Under rules adopted by the department,  the department shall redeem the unused amount of tax for which any meter is registered and shall pay for it from monies collected under this chapter.
C. Nothing in this section shall be construed to provide for redemption in the case of loss or theft of tax stamps.
D. For the purposes of this section:
1. " Redeem"  means repurchase or replace Arizona tax stamps.
2. " Spoiled"  means mutilated or illegible.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3461 - Unlawful use of stamps; classification; definition

42-3461.
Unlawful use of stamps;  classification;  definition
A. A person may not affix a tax stamp to a package of cigarettes if the package:
1. Differs from the requirements of the federal cigarette labeling and advertising act (P.L. 89-92;  79 Stat. 282;  15 United States Code section 1331) relating to label warnings or other information on packages of cigarettes for sale in the United States.
2. Is labeled " for export only" ,  " U.S. tax exempt" ,  " for use outside U.S."  or with similar words that indicate the manufacturer did not intend for the product to be sold in the United States.
3. Has been altered by adding or deleting the wording,  labels or warnings described in paragraph 1 or 2 of this subsection.
4. Is placed in a carton,  or any other package containing several individually stamped packages,  that has been altered by adding or deleting the wording,  labels or warnings described in paragraph 1 or 2 of this subsection.
5. Has been imported into the United States on or after January 1,  2000 in violation of 26 United States Code section 5754 or is the subject of a violation of 19 United States Code sections 1681 through 1681b or 15 United States Code section 1335a.
6. Violates federal trademark or copyright laws.
B. The director:
1. May revoke any license issued to a distributor who sells or offers for sale cigarette packages that are stamped in violation of subsection A of this section.
2. Shall seize and destroy packages of cigarettes that are stamped in violation of subsection A of this section.
C. A person who sells or offers for sale cigarette packages that are stamped in violation of subsection A of this section is guilty of a class 2 misdemeanor.
D. Any person who sells,  distributes or manufactures cigarettes and sustains direct economic or commercial injury as a result of a violation of this section may bring an action in good faith for appropriate injunctive relief.
E. This section does not apply to cigarettes allowed to be imported or brought into the United States for personal use,  or to cigarettes sold or intended to be sold as duty free merchandise by a duty free sales enterprise pursuant to 19 United States Code section 1555(b). This subsection does not apply to cigarettes that are brought back into the customs territory for resale within the customs territory.
F. A violation of this section is also a violation of title 44,  chapter 10,  article 7.
G. For the purposes of this section,  " package"  means any kind of pack,  carton or container in which cigarettes are sold,  offered for sale or otherwise distributed or intended for distribution to consumers.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3501 - Return and payment by distributors of tobacco products other than cigarettes

42-3501.
Return and payment by distributors of tobacco products other than cigarettes
A. Except for tobacco products described in section 42-3402,  every distributor of tobacco products other than cigarettes shall pay the tax imposed by this chapter on all those products received within the state and shall add the amount of the tax to the sales price.
B. The distributor 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.
C. On or before that date the distributor 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 tobacco products other than cigarettes received in this state during the month in which the tax accrues.
2. The amount of tax for the period covered by the return.
3. Any other information the department deems necessary for the proper administration of this chapter,  including information required for roll-your-own tobacco provided under section 42-3462.
D. The distributor shall deliver the return,  together with a remittance of the amount of the tax due,  to the department.
E. A taxpayer who fails to pay the tax within ten days of 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.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3502 - Transport of untaxed other tobacco products prohibited; exceptions; definition

42-3502.
Transport of untaxed other tobacco products prohibited;  exceptions;  definition
A. Except as allowed in section 42-3403,  a person may not hold,  store or transport untaxed other tobacco products for sale or distribution in this state in any vehicle.
B. This section does not apply to either of the following:
1. A vehicle that is owned,  operated or contracted by a person who holds a valid license issued under section 42-3401 and is transporting untaxed other tobacco products from one to another of the licensee's places of business listed on its application.
2. A vehicle that is transporting untaxed other tobacco products to a licensed distributor as part of a lawful sale or in interstate commerce to a person lawfully operating as a manufacturer,  distributor or retailer of other tobacco products.
C. For the purposes of this section,  " untaxed other tobacco products"  means other tobacco products on which applicable taxes have not been remitted pursuant to this chapter.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-3503 - Acquisition and possession of untaxed other tobacco products; definitions

42-3503.
Acquisition and possession of untaxed other tobacco products;  definitions
A. A person,  other than a manufacturer or an importer shipping into the state,  shall be licensed as a distributor if the person acquires or possesses untaxed other tobacco products for sale,  barter or exchange or for any other purpose besides or in addition to personal use or consumption in this state,  including Indian reservations located in this state.
B. A distributor shall obtain other tobacco products only from a manufacturer or an importer,  or a distributor with a current license issued under section 42-3401.
C. 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.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-5002 - Exclusions from gross income, receipts or proceeds

42-5002.
Exclusions from gross income,  receipts or proceeds
A. For the purpose of this article the total amount of gross income,  gross receipts or gross proceeds of sales shall be deemed to be the amount received,  exclusive of:
1. The taxes imposed by this chapter and chapter 6,  article 3 of this title,  sales or transaction privilege taxes imposed by municipalities in this state and sales or transaction privilege taxes imposed in this state by Indian tribes,  if the Indian tribal tax is imposed with respect to sales by non-Indian or nonaffiliated Indian vendors to nonmembers of the tribe. A person who imposes an added charge to cover the tax levied by this article or which is identified as being imposed to cover transaction privilege tax shall not remit less than the amount so collected to the department.
2. Freight costs billed to and collected from a purchaser by a retailer for tangible personal property which,  upon the order of the retailer,  is shipped directly from a manufacturer or wholesaler to the purchaser.
B. For the purposes of this article the total amount of gross income,  gross receipts or gross proceeds of sales for nuclear fuel shall be deemed to be the value of the purchase price of uranium oxide used in producing the fuel. The tax imposed by this article may be imposed only once for any one quantity or batch of nuclear fuel regardless of the number of transactions or financing arrangements which may occur with respect to that nuclear fuel.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-5003 - Administration and enforcement of article; employees; bonds

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.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-5004 - Department records

42-5004.
Department records
A. The department shall keep records and accounts showing separately the taxes collected under each of the classifications and amounts collected from businesses engaged in within each county as prescribed in this article and article 2 of this chapter. Each month the department of revenue shall deliver a statement to the state treasurer and a duplicate statement to the director of the department of administration showing all collections made during the preceding month and setting forth the classifications and amounts collected from businesses engaged in within this state.
B. The department shall keep full and accurate records of all monies it receives,  shall show how such monies were disbursed and shall preserve all returns filed with it as prescribed by section 42-1105.
2023 Arizona Revised Statutes › Title 42 - Taxation › § 42-5006 - Taxpayer bonds; out of state licensed contractors and manufactured building dealers

42-5006.
Taxpayer bonds;  out of state licensed contractors and manufactured building dealers
A. Notwithstanding section 42-1102,  the department shall require a surety bond for each taxpayer who is required to be licensed under title 32,  chapter 10 or who is regulated under title 41,  chapter 37,  article 3,  if the taxpayer's principal place of business is outside this state or if the taxpayer has conducted business in this state for less than one year. The department shall prescribe the form of the bond. The bond shall be maintained for a period of at least two years.
B. The bond,  duly executed by the applicant as principal and with a corporation duly authorized to execute and write bonds in this state as surety,  shall be payable to this state and conditioned on the payment of all transaction privilege taxes incurred and imposed on the taxpayer by this state and its political subdivisions. The bond shall be in such amount,  but not less than two thousand dollars,  as will assure the payment of the transaction privilege taxes which may reasonably be expected to be incurred by the licensed establishment for a period of one hundred fifty days.
C. The director,  by rule,  may establish classes of expected tax liability in five thousand dollar increments,  beginning with the minimum bond amount prescribed in subsection B of this section. The bond shall provide that after notice and a hearing the director may order forfeited to this state and any affected political subdivision part or all of the bond for nonpayment of taxes,  interest and penalties.
D. A licensee on application for a new license covered by subsection A of this section,  renewal of a license covered by subsection A of this section or transfer of a license covered by subsection A of this section is exempt from posting a bond if the licensee has for at least two years immediately preceding the application made timely payment of all transaction privilege taxes incurred.
E. If a licensee is not exempt from this section,  the director may exempt the licensee if the director finds that the surety bond is not necessary to insure payment of such taxes to the state and any affected political subdivision or the licensee had good cause for the late or insufficient payment of the transaction privilege tax and affiliated excise taxes incurred.