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Senate Engrossed House Bill |
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State of Arizona House of Representatives Fifty-fourth Legislature First Regular Session 2019
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HOUSE BILL 2095 |
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AN ACT
amending sections 42‑12152 and 42-18056, Arizona Revised Statutes; relating to taxation.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 42-12152, Arizona Revised Statutes, is amended to read:
42-12152. Criteria for classification of property used for agricultural purposes; exception; affidavit
A. Property is not eligible for classification as property used for agricultural purposes unless it meets the following criteria:
1. The primary use of the property is as agricultural land and the property has been in active production according to generally accepted agricultural practices for at least three of the last five years. Property that has been in active production may be:
(a) Inactive for a period of not more than twelve months as a result of acts of God.
(b) Inactive as a result of participation in:
(i) A federal farm program that allows voluntary land conserving use acreage or acreage conservation, or both.
(ii) A scheduled crop rotation program.
(c) Inactive or partially inactive due to a temporary or partial reduction in or transfer of the available water supply or irrigation district water allotments for agriculture use in the farm unit. For land within an irrigation district in a county with a population of less than nine hundred thousand persons, the temporary or partial reduction or transfer may be verified by an official certification from the irrigation district to the county assessor that confirms the reduction or transfer, except that if that land is located in an active management area and the land does not have an irrigation grandfathered groundwater right, the land is not eligible as cropland. A certification for temporary or partial reduction is not valid for full inactivity of the farm unit for more than one year.
(d) Grazing land that is inactive or partially inactive due to reduced carrying capacity or generally accepted range management practices.
2. There is a reasonable expectation of operating profit, exclusive of land cost, from the agricultural use of the property.
3. If the property consists of noncontiguous parcels, the noncontiguous parcels must be managed and operated on a unitary basis and each parcel must make a functional contribution to the agricultural use of the property.
B. If feedlot or dairy operations that are in active production are moved to another property at which the operations are in active production, the requirement that the property be in active production for at least three of the last five years does not apply to the property to which the operations are moved for the first three years after the operations are moved.
C. The requirement contained in subsection A, paragraph 2 of this section shall be is satisfied if the owner files with the assessor an affidavit of agricultural use, signed by the owner attesting that all information in the affidavit is true and the property is actively producing with an expectation of profit.
Sec. 2. Section 42-18056, Arizona Revised Statutes, is amended to read:
42-18056. Partial payment of taxes; certificates of purchase; delinquent taxes
A. At any time before either installment of the tax becomes delinquent, the county treasurer shall accept a partial payment or payments of the tax in an amount of at least ten percent of the installment and in an amount of at least ten dollars $10. The treasurer shall credit the taxpayer with the payment, and if any part of the tax or any installment remains unpaid at the date of delinquency, the delinquency relates only to the amount remaining unpaid.
B. In accepting payments under subsection A of this section, the county treasurer shall issue a receipt to the taxpayer, subject to section 42‑18055, subsection C, stating that it covers a partial payment of taxes.
C. For all certificates of purchase sold during calendar year 2016 and afterwards for tax year 2014 and afterwards in a county with a population of more than three million persons if no prior year certificates of purchase are outstanding, the county treasurer shall accept a partial payment in an amount equal to at least twenty‑five percent of the principal amount shown on the oldest remaining year of the delinquency plus any accrued interest and fees due on the principal payment amount.
D. In accepting payments under subsection C of this section, the county treasurer shall issue a partial payment statement to the taxpayer as provided by section 42‑18154, subsection C.
E. Partial payments on delinquent taxes shall be impounded and disbursed by the county treasurer as prescribed by section 42‑18152, subsection C, when the impounded monies are sufficient to fully redeem the oldest outstanding certificate of purchase.
F. If no certificate of purchase is outstanding, the county treasurer shall credit the taxpayer with the payment, and if any part of the tax or any installment remains unpaid at the date of delinquency, the delinquency relates only to the amount remaining unpaid.
G. Notwithstanding any other law, a county treasurer may enter into a payment plan agreement with a taxpayer for a period of up to thirty-six months for paying the taxpayer's delinquent business personal property taxes of more than $1,000. The county treasurer may charge a fee of not more than $150 for administrative costs associated with processing a payment plan agreement.