This bill proposes amendments to section 42-5075 of the Arizona Revised Statutes concerning transaction privilege tax. The current law specifies that the gross proceeds of sales or gross income from contracts for constructing residential apartment housing facilities that qualify for federal housing subsidies for low-income persons aged sixty-two and older are exempt from this tax. The bill updates this provision by clarifying the types of entities eligible for the exemption, including nonprofit corporations recognized as tax-exempt under specific sections of the Internal Revenue Code, as well as limited partnerships, limited liability companies, and single-purpose entities that meet similar criteria.

Additionally, the bill introduces a retroactive application clause, stating that the amendments will apply to taxable periods beginning from and after December 31, 2023. This means that any changes made by the bill would affect tax calculations and exemptions for the specified periods, ensuring that the updated definitions and eligibility criteria are applied to past transactions as well.

Statutes affected:
Introduced Version: 42-5075