Legal Research
In this area, you will find topics regarding Decisions, Rulings, Procedures, and Private Taxpayer Rulings from the Arizona Department of Revenue:
- Arizona Administrative Code - the official rules of the state of Arizona are published. The Code is the official compilation of rules that govern state agencies, boards, and commissions.
- Arizona Revised Statutes - the statutory laws for the state of Arizona.
Find topics regarding Decisions, Rulings, Procedures, and Private Taxpayer Rulings from the Arizona Department of Revenue:
- Decisions from the Arizona Department of Revenue Hearing Office and the Director’s Office
- Private Taxpayer Rulings/Taxpayer Information Rulings - the department's interpretation of the law or rules only as they apply to the taxpayer and facts contained in the request
- Tax Procedure - provides procedural guidance to the general public to assist in the implementation of tax laws, administrative rules, and tax rulings
- Tax Rulings - written statement of the Arizona Department of Revenue's position interpreting the Arizona tax law and applying the law to a specific set of facts or a particular tax situation
- Draft Documents - In an ongoing effort to interact with and inform the public regarding issues relating to taxation, we would appreciate your written comments on these drafts. We will review all comments that are received by the noted due dates and make any appropriate revisions before issuing the final documents. For your convenience, you may submit your comments using the contact information provided on the cover page for each draft document
- Conformity to IRC Each year the Arizona legislature considers whether to amend Arizona Revised Statutes § 43-105 to conform to changes made to the Internal Revenue Code during the prior year. On February 14, 2011, the Governor signed House Bill 2008 which conformed to the definition of federal adjusted gross income including federal changes made during 2010 and did not add any new non-conformity additions or subtractions. However, all of the additions and subtractions created for non-conformity purposes for 2009 as well as prior non-conformity adjustments for issues such as bonus depreciation or the increased § 179 expenses are still in place.
| Document Type | Category | Document ID | Description | Tags | Decision Date |
|---|---|---|---|---|---|
| Decisions | Individual Income Tax | 201000271-O |
Taxpayers were not entitled to an alternative fuel credit in later years for the purchase of a neighborhood electric vehicle purchased in Arizona in a year. Taxpayers were not Arizona residents and Taxpayers did not file an Arizona income tax return or claimed the credit in the year of purchase. |
Hearing | 05/05/2011 |
| Decisions | Individual Income Tax | 201000305-P |
Penalties not abatement even though Taxpayers experienced unfortunate events where Taxpayers had developed a pattern of not filing and paying many years before they experienced the unfortunate events. Taxpayers did not show the unfortunate events caused their failure to file and pay. |
Hearing | 04/29/2011 |
| Decisions | Individual Income Tax | 201000230-P |
Late filing penalties abated where Taxpayers electronically filed income their income tax return through their accountant who confirmed to Taxpayers that the return was filed, but the electronic filing by the accountant was rejected by the IRS and the accountant did not then inform Taxpayers of the rejection. |
Hearing | 03/31/2011 |
| Decisions | Individual Income Tax | 201000228-I |
Out-of-state pension received by Arizona residents is subject to Arizona income tax. Interest is mandated by law. Interest is not a penalty but recognizes the time value of money not timely paid to the state. |
Hearing | 02/09/2011 |
| Decisions | Individual Income Tax | 201000195-I |
Charitable deductions disallowed because Taxpayer failed to meet the strict substantiation requirements for charitable contributions over $250.00. |
Hearing | 01/04/2011 |
| Decisions | Individual Income Tax | 201000143-I |
Taxpayers established that they were entitled to a solar credit. Some of the requirements do not apply to self-designed and installed units |
Hearing | 12/02/2010 |
| Decisions | Individual Income Tax | 201000170-O |
Taxpayers were entitled to carry forward an alternative fuel credit for the purchase of a neighborhood electric vehicle purchased in Arizona before Taxpayers were Arizona residents but where Taxpayers became Arizona residents in the year of purchase and Taxpayers had Arizona income and filed an Arizona income tax return claiming the credit in the year of purchase. |
Hearing | 11/18/2010 |
| Decisions | Individual Income Tax | 201000005-I |
The construction of a storm water management system, sewage collection system, sewage treatment plant and effluent distribution system do not qualify for credit as pollution control equipment |
Hearing | 06/15/2010 |
| Decisions | Individual Income Tax | 200900177-I |
Business expenses for home office and 179 deductions are limited to the amount of income derived from the business during the taxable year |
Hearing | 04/08/2010 |
| Decisions | Individual Income Tax | 200900257-I |
Taxpayer cannot deduct mortgage interest as both interest and as a miscellaneous business deduction |
Hearing | 03/16/2010 |
| Decisions | Individual Income Tax | 200900067-I |
Taxpayer did not establish abandonment of Arizona residency |
Hearing | 03/04/2010 |
| Decisions | Individual Income Tax | 200900213-I |
Contributions used to purchase supplies for science experiments conducted in pre-school classroom do not qualify for the credit as contributions to a public school for the support of extracurricular activities or character education programs of the school. |
Hearing | 02/17/2010 |
| Decisions | Individual Income Tax | 200800180-I |
Taxpayers cannot take an itemized deduction for health insurance premiums paid through an employer which deducted the premiums from the employee’s pay using pre-tax dollars. |
Director | 01/25/2010 |
| Decisions | Individual Income Tax | 200900171-I |
Taxpayer was not entitled to the dependent/ancestor deduction because Taxpayer did not establish that he paid more than one-half for the support of the dependent. |
Hearing | 01/19/2010 |
| Decisions | Individual Income Tax | 200800183-I |
The proper calculation of the credit for taxes paid to other states or countries for 2002 tax year includes a pro-rata application of Arizona exemptions and deductions to the income from the other state or country. Where the laws of another state provide for a credit for taxes paid to Arizona but a taxpayer is unable to take the credit because of electing to file on a composite return in that state, the taxpayer is not eligible in Arizona to take a credit for taxes paid to that state. |
Director | 09/04/2009 |
| Decisions | Individual Income Tax | 200900021-I |
Taxation of royalty payments on reservation land. |
Hearing | 06/26/2009 |
| Decisions | Individual Income Tax | 200900004-I |
The proper calculation of the credit for taxes paid to other states or countries for 2002 tax year includes a pro-rata application of Arizona exemptions and deductions to the income from the other state or country. |
Hearing | 06/16/2009 |
| Decisions | Individual Income Tax | 200900019-I |
Audit Section properly denied Taxpayer’s claim for refund/offset where the Arizona tax return was filed more than four years after the return was due. |
Hearing | 03/12/2009 |
| Decisions | Individual Income Tax | 200900006-I |
An offer–in–compromise applies only to the tax liabilities that exist at the time the proposed offer-in-compromise is received, and does not preclude the Department from issuing an assessment on a later discovered tax liability based on unreported income. |
Hearing | 02/17/2009 |
| Decisions | Individual Income Tax | 200800180-I |
Pre-tax medical insurance premiums are not allowed as an itemized deduction; discretion to abate interest under A.R.S. § 42-2065 is given to the Department’s Director and not the Hearing Office. |
Hearing | 02/04/2009 |
| Decisions | Individual Income Tax | 200800140-I |
A.R.S. § 43‑1022.2(a) does not allow a married couple filing a joint return to take two separate $2,500 deductions for payments from one spouse’s federal retirement plan. |
Hearing | 09/25/2008 |
| Decisions | Individual Income Tax | 200800093-I |
Calculation of the A.R.S. § 42-1125.A “failure to file when due penalty” when the taxes withheld during the year exceed the amount “required to be shown on such return.” |
Hearing | 09/22/2008 |
| Decisions | Individual Income Tax | 200800060-I |
Losses stemming from expenses related to two yachts owned by taxpayer and placed into charter service are not deductible because the activity was not engaged in for profit. |
Hearing | 09/15/2008 |
| Decisions | Individual Income Tax | 200700156-I |
Petitioner subject to tax in Arizona despite filing a zero return based upon argument that he was not subject to federal tax and he had no taxable wages as defined in internal revenue code. |
Hearing | 04/02/2008 |
| Decisions | Individual Income Tax | 200700195-I |
ITR 82‑10‑1 superseded. Distributions from an IRA to a full-year Arizona resident which are comprised of contributions made before the taxpayer became an Arizona resident cannot be subtracted from the taxpayer's Arizona gross income. |
Hearing | 03/07/2008 |