Senate Engrossed House Bill

State of Arizona House of Representatives Fiftieth Legislature Second Regular Session 2012

HOUSE BILL 2466

 

AN ACT

 

Amending section 42-6001, Arizona Revised Statutes; relating to the administration of local excise taxes.

 

 

(TEXT OF BILL BEGINS ON NEXT PAGE)

 

Be it enacted by the Legislature of the State of Arizona:

Section 1.  Section 42-6001, Arizona Revised Statutes, is amended to read:

START_STATUTE42-6001.  Collection and administration of transaction privilege tax and affiliated excise taxes; coordinated licensing, collection and audit functions; fee

A.  The department may collect and administer any transaction privilege and affiliated excise taxes, including use tax, severance tax, jet fuel excise and use tax, and rental occupancy tax, imposed by any city or town, and the department and any city or town may enter into intergovernmental contracts or agreements to provide a uniform method of administration, collection, audit and licensing of transaction privilege and affiliated excise taxes imposed by the state or cities or towns pursuant to title 11, chapter 7, article 3.

B.  The director may enter into agreements with cities and towns of this state that levy transaction privilege and affiliated excise taxes to provide for unified or coordinated licensing, collection and auditing programs for such taxes levied by cities and towns and taxes levied pursuant to chapter 5 of this title.  Such cities and towns may enter into agreements with the department to provide for unified or coordinated licensing, collection and auditing programs for such transaction privilege and affiliated excise taxes levied by such cities and towns and for taxes levied pursuant to chapter 5 of this title.

C.  A city or town that does not enter into an agreement with the department for the collection of municipal transaction privilege and affiliated excise taxes shall report to the department on or before September 1 of each year the total amount of those taxes collected by the city or town in the preceding fiscal year.

D.  The director shall establish with such cities and towns a uniform licensing, collection and audit committee to direct such unified or coordinated functions.

E.  A TAXPAYER WHO IS REQUIRED TO PAY ANY MUNICIPAL TRANSACTION PRIVILEGE AND AFFILIATED EXCISE TAXES TO A CITY OR TOWN THAT HAS NOT ENTERED INTO AN INTERGOVERNMENTAL CONTRACT OR AGREEMENT WITH THE DEPARTMENT OF REVENUE UNDER SUBSECTION B OF THIS SECTION TO PROVIDE A COORDINATED METHOD OF COLLECTING MUNICIPAL TRANSACTION PRIVILEGE AND AFFILIATED EXCISE TAXES MAY instead report and pay the required tax to that city or town through an online portal.  The online portal shall be procured by the department of administration pursuant to a public-private partnership entered into pursuant to section 41-2559, shall include access to a single point of filing and paying the tax and shall provide security measures to protect taxpayer information.  The taxpayer may be charged a fee to use the online portal. END_STATUTE

Sec. 2.  Collection of municipal transaction privilege taxes; online portal; department of administration; request for proposals; delayed repeal

A.  After consultation with the department of revenue, the department of administration shall issue a request for proposals for implementation of an online portal to allow taxpayers to remit the transaction privilege and affiliated excise taxes levied by the city or town as provided by section 42‑6001, Arizona Revised Statutes, as amended by this act.  The initial costs of implementing the online portal shall be paid by the vendor.

B.  At least fifty per cent of the members of the selection committee appointed for the procurement required by this section shall be persons nominated to the selection committee by a statewide association of cities and towns.

C.  Notwithstanding Title 41, chapter 23, Arizona Revised Statutes, the procurement required by this section shall be completed, and a contract awarded pursuant to section 41‑2559, Arizona Revised Statutes, on or before October 1, 2013.  The online portal shall be fully operational on or before January 1, 2015.

D.  This section is repealed from and after June 30, 2015.