House Concurrent Resolution 2021

House Engrossed
property tax; refund; nuisance enforcement.

State of Arizona
House of Representatives
Fifty-sixth Legislature
Second Regular Session
2024

HOUSE CONCURRENT RESOLUTION 2021

A CONCURRENT RESOLUTION
ENACTING AND ORDERING THE SUBMISSION TO THE PEOPLE OF A MEASURE RELATING TO MUNICIPAL TRANSACTION PRIVILEGE TAX.

(TEXT OF BILL BEGINS ON NEXT PAGE)

1. Be it resolved by the House of Representatives of the State of Arizona,

2. the Senate concurring:

3. 1. Under the power of the referendum, as vested in the Legislature,

4. the following measure, relating to municipal transaction privilege tax, is

5. enacted to become valid as a law if approved by the voters and on

6. proclamation of the Governor:

7. AN ACT

8. AMENDING SECTION 42-6015, ARIZONA REVISED STATUTES; RELATING

9. TO MUNICIPAL TRANSACTION PRIVILEGE TAX.

10. Be it enacted by the Legislature of the State of Arizona:

11. Section 1. Section 42-6015, Arizona Revised Statutes,

12. is amended to read:

13. 42-6015. Municipal transaction privilege tax; food;

14. exemption

15. A. If a city, town or other taxing jurisdiction imposes

16. a transaction privilege, sales, use, franchise or other

17. similar tax or fee, however denominated, on:

18. 1. SUBJECT TO SUBSECTION C OF THIS SECTION, the sale of

19. food items intended for human consumption as defined by rule

20. adopted pursuant to section 42-5106 or items prescribed by

21. section 42-5106, subsection D for home consumption, the tax

22. must be applied uniformly with respect to all food, and an

23. additional tax or fee differential may not be assessed or

24. applied with respect to any specific food item.

25. 2. The sale of food items intended for human

26. consumption as defined by rule adopted pursuant to section

27. 42-5106 or items prescribed by section 42-5106, subsection D

28. for consumption on the premises, the tax must be applied

29. uniformly with respect to all food items, and an additional

30. tax or fee differential may not be assessed or applied with

31. respect to any specific food item.

32. B. A city, town or other taxing jurisdiction may not

33. levy a transaction privilege, sales, use, franchise or other

34. similar tax or fee, however denominated, with respect to:

35. 1. FROM AND AFTER JUNE 30, 2027, THE SALE OF FOOD ITEMS

36. INTENDED FOR HUMAN CONSUMPTION AS DEFINED BY RULE ADOPTED

37. PURSUANT TO SECTION 42-5106 OR ITEMS PRESCRIBED BY SECTION

38. 42-5106, SUBSECTION D FOR HOME CONSUMPTION UNLESS THE CITY,

39. TOWN OR OTHER TAXING JURISDICTION COMPLIES WITH THE

40. REQUIREMENTS PRESCRIBED IN SUBSECTION C OF THIS SECTION.

41. 1. 2. The manufacture, wholesale or distribution to or

42. among any wholesalers, distributors or retailers, of food

43. items intended for human consumption as defined by rule

44. adopted pursuant to section 42-5106 or items prescribed by

1. section 42-5106, subsection D for home consumption or for

2. consumption on the premises.

3. 2. 3. Any container or packaging used exclusively for

4. transporting, protecting or consuming food items intended for

5. human consumption as defined by rule adopted pursuant to

6. section 42-5106 or items prescribed by section 42-5106,

7. subsection D for home consumption or for consumption on the

8. premises.

9. 3. 4. The sale of food or other items purchased with

10. United States department of agriculture food stamp coupons

11. issued under the food stamp act of 1977 (P.L. 95-113; 91 Stat.

12. 958) or food instruments issued under section

13. of the child 12 nutrition act (P.L. 95-627; 92 Stat. 3603; P.L. 99-661,

14. section 4302; 42 United States Code section 1786) but may

15. impose such a tax consistent with this section on other sales

16. of food.

17. 4. 5. The sale of low or reduced-cost articles of food

18. or drink to eligible elderly or homeless persons or persons

19. with a disability by a business subject to tax under the

20. restaurant classification pursuant to section 42-5074 that

21. contracts with the department of economic security and that is

22. approved by the food and nutrition service of the United

23. States department of agriculture pursuant to the supplemental

24. nutrition assistance program established by the food and

25. nutrition act of 2008 (7 United States Code sections 2011

26. through 2036c), if the purchases are made with the benefits

27. issued pursuant to the supplemental nutrition assistance

28. program.

29. C. TO IMPOSE A TRANSACTION PRIVILEGE, SALES, USE,

30. FRANCHISE OR OTHER SIMILAR TAX OR FEE, HOWEVER DENOMINATED,

31. PURSUANT TO SUBSECTION A, PARAGRAPH 1 OF THIS SECTION, A CITY,

32. TOWN OR OTHER TAXING JURISDICTION:

33. 1. FOR A CITY, TOWN OR OTHER TAXING JURISDICTION THAT

34. HAS APPROVED THE IMPOSITION OF A TRANSACTION PRIVILEGE, SALES,

35. USE, FRANCHISE OR OTHER SIMILAR TAX OR FEE, HOWEVER

36. DENOMINATED, PURSUANT TO SUBSECTION A, PARAGRAPH 1 OF THIS

37. SECTION ON OR BEFORE JANUARY 1, 2025, ALL OF THE FOLLOWING

38. APPLY:

39. (a) FOR A CITY, TOWN OR OTHER TAXING JURISDICTION THAT

40. IMPOSES A TRANSACTION PRIVILEGE, SALES, USE, FRANCHISE OR

41. OTHER SIMILAR TAX OR FEE, HOWEVER DENOMINATED, AT A RATE THAT

42. IS LESS THAN TWO PERCENT OF THE BASE, ANY INCREASE OF THE

43. TRANSACTION PRIVILEGE, SALES, USE, FRANCHISE OR OTHER SIMILAR

44. TAX OR FEE, HOWEVER DENOMINATED, MUST BE APPROVED BY THE

1. VOTERS OF THE CITY, TOWN OR OTHER TAXING JURISDICTION AND MAY

2. NOT BE MORE THAN TWO PERCENT OF THE TAX BASE.

3. (b) FOR A CITY, TOWN OR OTHER TAXING JURISDICTION THAT

4. IMPOSES A TRANSACTION PRIVILEGE, SALES, USE, FRANCHISE OR

5. OTHER SIMILAR TAX OR FEE, HOWEVER DENOMINATED, AT A RATE THAT

6. IS TWO PERCENT OR MORE OF THE BASE, THE CITY, TOWN OR OTHER

7. TAXING JURISDICTION MAY NOT INCREASE THE RATE.

8. (c) AN INCREASE OF THE TRANSACTION PRIVILEGE, SALES,

9. USE, FRANCHISE OR OTHER SIMILAR TAX OR FEE, HOWEVER

10. DENOMINATED, MUST NOT OCCUR IN THE TWENTY-FOUR-MONTH PERIOD

11. PRECEDING JUNE 30, 2027.

12. 2. FOR A CITY, TOWN OR OTHER TAXING JURISDICTION THAT

13. HAS NOT APPROVED THE IMPOSITION OF A TRANSACTION PRIVILEGE,

14. SALES, USE, FRANCHISE OR OTHER SIMILAR TAX OR FEE, HOWEVER

15. DENOMINATED, PURSUANT TO SUBSECTION A, PARAGRAPH 1 OF THIS

16. SECTION ON OR BEFORE JANUARY 1, 2025, BOTH OF THE FOLLOWING

17. APPLY:

18. (a) THE ADOPTION AND ANY SUBSEQUENT INCREASE OF THE

19. TRANSACTION PRIVILEGE, SALES, USE, FRANCHISE OR OTHER SIMILAR

20. TAX OR FEE, HOWEVER DENOMINATED, MUST BE APPROVED BY THE

21. VOTERS OF THE CITY, TOWER OR OTHER TAXING JURISDICTION AND MAY

22. NOT BE MORE THAN TWO PERCENT OF THE TAX BASE.

23. (b) THE ADOPTION OR SUBSEQUENT INCREASE OF THE

24. TRANSACTION PRIVILEGE, SALES, USE, FRANCHISE OR OTHER SIMILAR

25. TAX OR FEE, HOWEVER DENOMINATED, MUST NOT OCCUR IN THE

26. TWENTY-FOUR-MONTH PERIOD PRECEDING JUNE 30, 2027.

27. Sec. 2. Retroactivity

28. This act applies retroactively to from and after

29. December 31, 2024.

30. 2. The Secretary of State shall submit this proposition to the

31. voters at the next general election as provided by article IV, part 1,

32. section 1, Constitution of Arizona.