Bill > SB1575

This bill amends Arizona's corporate income tax laws to adjust how businesses allocate their business income, particularly for taxable years beginning after December 31, 2026. It modifies the formulas used to apportion business income, which involves calculating a fraction based on a company's property, payroll, and sales within the state, and extends the period during which certain apportionment methods are allowed. Additionally, the bill redefines how sales of services and intangible property are considered to be within Arizona, shifting the focus to where the market for those sales is located, and provides specific rules for various types of sales, including real estate, tangible personal property, loans, investments, services, and intangible property, with updated definitions for terms like "income-producing activity sales" and "market sales" to reflect these changes.

Budget and Finance

https://apps.azleg.gov/BillStatus/BillOverview/85205