The bill proposes a new tax credit for insurers who invest in certified rural funds, starting from taxable years after December 31, 2024. This credit can be used to offset premium tax liabilities and can be carried forward for up to five years if it exceeds the insurer's tax liability for the year. The Arizona Commerce Authority is responsible for certifying these investments, and there is an annual cap of $15 million on the tax credits and investment authority that can be certified, not including carryforwards. The bill also sets a deadline, prohibiting new applications for the tax credit after December 1, 2034.

The bill further details that co-owners of a business are each eligible to claim their proportionate share of the tax credit based on their ownership interest, ensuring that the total credits claimed do not exceed the amount a sole owner would be entitled to. The Arizona Department of Revenue will work with the Arizona Commerce Authority to establish rules and forms for administering the tax credit. The goal of the bill is to promote economic development and job creation in rural areas by incentivizing capital investments through tax credits.

Statutes affected:
Introduced Version: 20-224, 20-224.08, 41-1515, 42-2003, 43-222, 43-1080, 43-1166, 20-206, 9-951, 35-146, 35-147, 20-837, 20-1010, 20-1060, 9-952, 9-972, 20-1566, 20-224.01, 20-1097.07, 20-224.03, 20-224.04, 20-224.06, 20-224.07, 20-224.05, 20-416, 43-302, 4-101, 42-2002, 42-1101, 42-12006, 43-1083.03, 43-1164.04, 41-1512, 41-1517, 41-1519, 43-1082, 43-1165, 32-1164, 12-821.01, 36-2806, 5-401, 42-1124, 42-3401, 42-6002, 9-500.39, 11-269.17, 42-5029, 43-221, 42-2001, 42-1122, 46-291, 42-5031, 44-7101, 44-7111, 42-1103.02, 42-1125.01, 43-419, 42-5001, 42-5032.02, 42-5076, 43-1079.01, 43-1088, 43-1089.04, 43-1167.01, 43-1175, 43-1072.02, 43-1074.02, 43-1075, 43-1076.01, 43-1077, 43-1078, 43-1083, 43-1083.02, 43-1162, 43-1164.03, 43-1183, 43-1073, 43-1085, 43-1086, 43-1089, 43-1089.01, 43-1089.02, 43-1089.03, 43-1164, 43-1181, 43-1074.01, 43-1168, 43-1170, 43-1178, 43-1073.01, 43-1081.01, 43-1084, 43-1164.05, 43-1184