This bill proposes several updates to current tax statutes in Arizona. It introduces new provisions, such as specifying that interest does not accrue on the 2023 Arizona Families Tax Rebate retroactively to October 30, 2023, and expands the list of individuals prohibited from preparing tax returns to include agents or contractors of the Department of Revenue and their supervisors. Additionally, it allows for immediate dismissal of agents or contractors who accept compensation for tax preparation, removes the requirement for qualifying health care organizations to file annual financial audits with the Department, and permits certain seasonal employees to elect income tax withholding.

The bill also modifies the withholding requirements for gambling winnings, changing the deduction rate from 20% to the highest individual income tax rate of 2.5%. It clarifies the process for partnerships and S corporations to elect entity-level taxation and requires partnerships that amend their returns to file accordingly. Furthermore, it makes technical and conforming changes throughout the statutes. Overall, the bill aims to correct errors, eliminate obsolete language, and provide clarity in tax regulations, with no anticipated fiscal impact on the state General Fund.

Statutes affected:
Introduced Version: 42-1008, 42-5001, 42-5061, 43-403, 43-405, 43-1014, 43-1414, 42-5029, 42-5044, 42-5156, 23-501, 36-1901, 28-5201, 42-5074, 42-6017, 88-525, 95-627, 99-661, 111-296, 28-5739, 28-8344, 42-5075, 42-5009, 28-2154, 28-2154.01, 42-5073, 3-311, 46-191, 36-551, 41-3201, 41-1514.02, 1-215, 49-426, 49-480, 41-1516, 44-1771, 42-5014, 42-5063, 45-604, 28-1171, 104-104, 41-1519, 44-1302, 42-5064, 42-5032.01, 43-104, 42-1130, 43-1096, 43-401, 43-1011, 43-1412, 43-1126, 43-581
Senate Engrossed Version: 42-1008, 42-5001, 42-5061, 43-403, 43-405, 43-1014, 43-1414, 42-5029, 42-5044, 42-5156, 23-501, 36-1901, 28-5201, 42-5074, 42-6017, 88-525, 95-627, 99-661, 111-296, 28-5739, 28-8344, 42-5075, 42-5009, 28-2154, 28-2154.01, 42-5073, 3-311, 46-191, 36-551, 41-3201, 41-1514.02, 1-215, 49-426, 49-480, 41-1516, 44-1771, 42-5014, 42-5063, 45-604, 28-1171, 104-104, 41-1519, 44-1302, 42-5064, 42-5032.01, 43-104, 42-1130, 43-1096, 43-401, 43-1011, 43-1412, 43-1126, 43-581
House Engrossed Version: 42-1008, 42-5001, 42-5061, 42-6009, 43-403, 43-405, 43-1014, 43-1414, 42-5029, 42-5044, 42-5156, 23-501, 36-1901, 28-5201, 42-5074, 42-6017, 88-525, 95-627, 99-661, 111-296, 28-5739, 28-8344, 42-5075, 42-5009, 28-2154, 28-2154.01, 42-5073, 3-311, 46-191, 36-551, 41-3201, 41-1514.02, 1-215, 49-426, 49-480, 41-1516, 44-1771, 42-5014, 42-5063, 45-604, 28-1171, 104-104, 41-1519, 44-1302, 42-5064, 42-5032.01, 42-5005, 42-5076, 42-5010, 42-6002, 42-2003, 42-5003, 43-104, 42-1130, 43-1096, 43-401, 43-1011, 43-1412, 43-1126, 43-581
Conference Engrossed Version: 42-1008, 42-5001, 42-5061, 43-403, 43-405, 43-1014, 43-1414, 42-5029, 42-5044, 42-5156, 23-501, 36-1901, 28-5201, 42-5074, 42-6017, 88-525, 95-627, 99-661, 111-296, 28-5739, 28-8344, 42-5075, 42-5009, 28-2154, 28-2154.01, 42-5073, 3-311, 46-191, 36-551, 41-3201, 41-1514.02, 1-215, 49-426, 49-480, 41-1516, 44-1771, 42-5014, 42-5063, 45-604, 28-1171, 104-104, 41-1519, 44-1302, 42-5064, 42-5032.01, 43-104, 42-1130, 43-1096, 43-401, 43-1011, 43-1412, 43-1126, 43-581
Chaptered Version: 42-1008, 42-5001, 42-5061, 43-403, 43-405, 43-1014, 43-1414, 42-5029, 42-5044, 42-5156, 23-501, 36-1901, 28-5201, 42-5074, 42-6017, 88-525, 95-627, 99-661, 111-296, 28-5739, 28-8344, 42-5075, 42-5009, 28-2154, 28-2154.01, 42-5073, 3-311, 46-191, 36-551, 41-3201, 41-1514.02, 1-215, 49-426, 49-480, 41-1516, 44-1771, 42-5014, 42-5063, 45-604, 28-1171, 104-104, 41-1519, 44-1302, 42-5064, 42-5032.01, 43-104, 42-1130, 43-1096, 43-401, 43-1011, 43-1412, 43-1126, 43-581