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House Engrossed |
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State of Arizona House of Representatives Fifty-second Legislature First Regular Session 2015
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HOUSE BILL 2447 |
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AN ACT
amending title 42, chapter 6, article 1, Arizona Revised Statutes, by adding section 42‑6009; relating to consolidated tax returns.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Title 42, chapter 6, article 1, Arizona Revised Statutes, is amended by adding section 42-6009, to read:
42-6009. Consolidated real property manager returns
A. A city or town that levies a transaction privilege, sales, gross receipts, use, franchise or other similar tax, however denominated, on the business of rental, leasing or licensing use of real property shall allow property managers of real property to file consolidated tax returns with respect to gross income or gross proceeds from the individual properties under management on behalf of the client property owners.
B. A property manager filing a consolidated return shall obtain the written consent of each participating client property owner, including the owner's specific agreement and acknowledgement that allows confidential tax information to be consolidated with similar information from other owners and other properties.
C. All participating client property owners included in the same consolidated return shall be on the same tax payment schedule and use the same cash receipts or accrual basis of reporting.
D. A property manager filing a consolidated return:
1. Acts in a fiduciary capacity as the client property owners' agent.
2. Is responsible and accountable to the client property owners and to the city or town for fully and accurately reporting and paying the tax and any other amounts due.
3. Is subject to audit, as provided by law, of the consolidated returns, including data in the property manager's possession that is used in compiling and filing the consolidated returns.
4. Shall provide written notice to each client property owner within thirty days after filing each consolidated return of the date and amount of tax and other amounts paid to the city or town on the client property owner's behalf.
E. A client property owner:
1. remains ultimately responsible, accountable and liable for both:
(a) The accuracy of information the client property owner furnishes to the manager.
(b) The return and payment of the full tax liability.
2. Is subject to audit, as provided by law, of the records in the client property owner's possession that are submitted to the manager for the purposes of the consolidated tax return.
3. May withdraw any of the client property owner's properties from the consolidated return on thirty days' written notice to the property manager and to the city or town tax collector.