The Arizona Revised Statutes have been updated to include the revised sections from the 56th Legislature, 1st Regular Session. Please note that the next update of this compilation will not take place until after the conclusion of the 56th Legislature, 2nd Regular Session, which convenes in January 2024.
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This online version of the Arizona Revised Statutes is primarily maintained for legislative drafting purposes and reflects the version of law that is effective on January 1st of the year following the most recent legislative session. The official version of the Arizona Revised Statutes is published by Thomson Reuters.
42-5156 - Tangible personal property provided under a service contract or warranty; definition
42-5156. Tangible personal property provided under a service contract or warranty; definition
A. The tax imposed by section 42-5155 shall be levied and collected at an amount equal to five and six-tenths per cent of the cost of the tangible personal property provided under the conditions of a warranty or service contract.
B. Every person storing, using or otherwise consuming in this state tangible personal property provided under the conditions of a warranty or service contract is liable for the tax. Such person's liability is not extinguished until the tax has been paid to this state, except that a receipt from a retailer maintaining a place of business in this state or from a retailer who is authorized by the department to collect the tax, under such rules as it may prescribe, and who is for the purposes of this article regarded as a retailer maintaining a place of business in this state, given to the purchaser in accordance with the provisions of section 42-5161 is sufficient to relieve the purchaser from further liability for the tax imposed upon the tangible personal property to which the receipt refers.
C. For the purpose of this section, "cost" means the cost of the tangible personal property to the provider of the warranty or contract.