The proposed bill, if enacted, would amend current statutes related to income tax in Arizona by introducing new requirements for the Governor's Office of Strategic Planning and Budgeting (OSPB) and the Joint Legislative Budget Committee (JLBC). Specifically, it mandates that these entities individually evaluate whether conforming state laws to changes in the Internal Revenue Code (IRC) would result in an increase or decrease of income tax revenues by $100 million or more. Additionally, the Governor is required to determine if a special legislative session is necessary based on these evaluations and to notify the legislative leaders accordingly.

Furthermore, the bill would update the reporting requirements for the Department of Revenue (DOR). It would require the DOR to submit an initial report summarizing revisions to the IRC by September 30 each year, followed by a final report by January 10. The bill also prohibits the DOR from issuing forms that are inconsistent with the statutes in effect at the time of issuance. These changes aim to enhance the alignment of state tax laws with federal regulations and improve the transparency and accountability of tax revenue assessments.

Statutes affected:
Introduced Version: 41-112, 43-323
House Engrossed Version: 41-112, 42-1005, 43-323