The proposed bill amends sections 43-1139 and 43-1147 of the Arizona Revised Statutes, primarily focusing on the corporate income tax provisions. It extends the timeframe for certain tax calculations from December 31, 2016, to December 31, 2023, and introduces a new method for apportioning income for taxable years beginning after December 31, 2023. This new method involves determining the market for sales based on the location of the taxpayer's market, with specific criteria for various types of property and services, including real property, tangible personal property, loans, and intangible assets.

Additionally, the bill clarifies the definitions and conditions under which sales are considered to be in the state, including the treatment of market sales and the responsibilities of the department to adopt necessary rules. It also modifies the language regarding multistate service providers, specifying limitations on the election for sales treatment based on the type of services provided. Overall, the bill aims to refine the corporate income tax framework in Arizona by updating the apportionment methods and clarifying definitions related to market sales.

Statutes affected:
Introduced Version: 43-1139, 43-1147, 43-947