Bill > HCR2021

This joint resolution amends Arizona Revised Statutes Section 42-6015 to establish new regulations for municipal transaction privilege taxes on food sales. The resolution requires that any municipal tax on food items for home or on-premise consumption must be applied uniformly without differential rates for specific food items. After June 30, 2027, cities, towns, and other taxing jurisdictions can only levy such taxes under specific conditions: for jurisdictions that have already approved food taxes before January 1, 2025, any tax increases must be voter-approved and cannot exceed two percent of the tax base, and no increases can occur in the 24 months preceding June 30, 2027. For jurisdictions that have not approved food taxes by January 1, 2025, any new taxes or increases must be voter-approved, cannot exceed two percent of the tax base, and cannot be implemented in the 24 months before June 30, 2027. The resolution also maintains existing exemptions for certain food sales, such as those purchased with food stamps or sold at reduced costs to eligible populations. The act is set to apply retroactively from December 31, 2024, and will be submitted to voters at the next general election.

Budget and Finance

https://apps.azleg.gov/BillStatus/BillOverview/82171