The Arizona Department of Revenue posted that Pinal County has requested that the Department begin collecting a transportation excise tax beginning with a reporting period beginning April 1, 2018.
This Transportation Excise tax shall be 0.5% and apply to the first $10,000 of gross income from the sale of a single item of tangible personal property. For any amounts that exceeds $10,000 of gross income the transportation excise tax shall be 0.0%.
A lawsuit has been filed challenging the legality of all taxes associated with this and a motion has been filed with the Arizona Tax Court to prevent the Arizona Department of Revenue from collecting this tax.
Sovos is working diligently to further understand how the Arizona taxpayers will be expected to comply.