arizona sales tax most important revenue source limited property tax limited flexibility with...

12

Upload: kelley-daniels

Post on 27-Dec-2015

218 views

Category:

Documents


0 download

TRANSCRIPT

Arizona Sales TaxArizona Sales Tax Most important revenue source

Limited property tax

Limited flexibility with Revenue Sharing

Model City Tax CodeModel City Tax Code

Cities & Towns impose sales taxes ~ 1960

1987: MCTC created to provide uniformity

Improve ease of compliance for businesses

All Cities and Towns use the MCTC

DOR Program – Program vs. Non-Program

Appendices

Local & Model Options

Green Pages

Differences from the StateDifferences from the State Base Differences

Advertising Speculative Builder / Owner Builder Residential Rental Commercial Lease Real Property & TPP Licensing for Use Food for Home Consumption

Differences from the StateDifferences from the State Definitional Differences

City-based Nexus Jet Fuel Manufactured Buildings Hotel Tax Broker Category Etc., Etc.

Ongoing MCTC Clean-up EffortsOngoing MCTC Clean-up Efforts Green Page Elimination

Many small items have already been removed by City and Town Councils

Broader Issue of Licensing Common Item Conversions

Option Reduction Efforts Eliminate the Rarely Used Reduce Multiple Variations Renumber and Reorganize

TPT Simplification Task ForceTPT Simplification Task Force Set up by Executive Order

Simplify the tax code to make compliance by business easier

Reps from business and government

Makes recommendations to the Legislature in December

TPT Simplification Task ForceTPT Simplification Task Force3 Work Groups

Base Differences Definitional Differences

State & Local Standardization

Contracting

Online Retail Federal Bills Single Administration (Remittance) Single Audit (MJAC)

Online Portal ProjectOnline Portal ProjectHB2466Requires the 18 Non-Program Cities to create an Online Portal, providing a single point to file and pay all Non-Program City TaxesOptimal solution will also allow Licensing for all Non-Program CitiesLeague, UAC, DOA, DOR working togetherContract Awarded by October 1, 2013Operational by January 1, 2015

Online Portal ProjectOnline Portal ProjectConcept: Taxpayer’s Perspective

Taxpayer will log in once, select the cities and towns to file a return

Taxpayer feels like they are filing one return; authorizing one ACH payment

Automatic upload is possible in place of manual data entry

Online Portal ProjectOnline Portal ProjectConcept: City Perspective

Vendor breaks the data out by city, sending each their separate return/payment data

Vendor will create import/export files that work with each city’s existing system

Each city processes its own ACH transaction: vendor never handles any money

Online Portal ProjectOnline Portal ProjectGeneralA move toward compliance with single administration/remittance for Online Retail

Does not replace or eliminate existing filing methods – Adds a new venue to report

Does not equal a step toward State preemption of Non-Program cities