By Geoffrey L. Gunnerson and Tony Caldwell The Arizona Court of Appeals, Division One, affirmed lower Arizona court rulings that sales of leased software in Arizona constitutes a sale of tangible personal property (TPP),...more
ARIZONA TO IMPLEMENT 2.5% FLAT TAX AHEAD OF SCHEDULE - Governor Doug Ducey announced that Arizona will implement its new 2.5% flat income tax rate on January 1, 2023, a full year ahead of schedule. According to Gov. Ducey,...more
A three-panel Arizona Court of Appeals ("the panel”) unanimously ruled on January 10, 2023, that, under U.S. Supreme Court precedent, the gross proceeds from work performed under federal contracts on Native American...more
TRANSACTION PRIVILEGE TAX UPDATES LEGISLATION - Senate Bill 1110, Chapter 443. Tribal Exemptions. This bill codified the following exemptions applicable to Indian tribes and tribal members at A.R.S. § 42-5121 et seq.: (1)...more
On June 24, 2020, the Arizona Department of Revenue (Department) announced that in recognition of the difficulties many Arizona businesses are experiencing during COVID-19, including with respect to their ability to meet...more
Famously opposed to a “sales” tax (except on marijuana), Oregon will soon add a half-percent “privilege” tax on new car dealers to its growing list of excise taxes, including car rentals and transient lodging, not to mention...more
In a curious decision out of Arizona, an Administrative Law Judge (ALJ) found an out-of-state provider of online research services was properly assessed transaction privilege tax (TPT, Arizona’s substitute for a sales tax)...more
For three years in a row, the Arizona legislature has enacted significant changes to the Arizona state and local tax on construction activity, known as the “prime contracting” transaction privilege tax (TPT). If anything,...more
Welcome to the spring edition of our Under Construction newsletter. There have been some interesting legal changes that have taken place recently with the potential to significantly impact the construction industry. ...more
Actually, there are really only two issues, but they are big issues. Arizona’s Transaction Privilege Tax has always been an anomaly in the traditional state sales tax system. Contrary to some commentators, however,...more