For Immediate Release
July 1, 2002
ARIZONA USE TAX – DIRECT PAY PERMITS AUTHORIZED
The State of Arizona recently announced that it will issue
use tax direct payment permits to qualified Taxpayers, effective January
1, 2003.
To qualify for a permit, a Taxpayer must file an application with the
Department of Revenue and agree to pay use tax directly to the state.
Taxpayer must also certify that during the immediate preceding calendar
year, it spent at least $500,000 on tangible personal property for its
own use. The permit holder may self-assess and pay use tax directly to
the Department by reporting the tax on its sales and use tax return. In
certain cases, the Department of Revenue may require a Taxpayer to file
a bond to secure the payment of use tax.
In lieu of paying tax, a permit holder may issue its use tax direct payment
certificate to a vendor. However, the permit holder will be liable for
use tax and any related penalties and interest applicable to taxable transactions
with the vendor, thereby relieving the vendor of the obligation.
Inasmuch as the name and taxpayer identification number of direct pay
permit holders is not confidential information, the Department of Revenue
may, from time to time, publish on its website a list of permit holders
and identification numbers.
If you would like additional information or have any questions, please
contact J. Lynne Fontana, Regional Vice President - Sales & Use Tax
Group at (281) 578-3700. E-mail lfontana@thesaltgroup.com
The HJH Consulting Group Plaza | 874 Harper Road | Suite 101 | Kerrville, Texas 78028 | 830.257.1290 | Fax 830.257.2138
©2001-2005 The SALT Group®
- All Rights Reserved
