Arizona Laws 42-1207. Financial institutions data match; prohibited disclosure; civil liability; fee; definition
A. The department may enter into agreements with financial institutions that conduct business in this state to develop and operate a data match system to assist the department in the collection of delinquent taxes, penalties and interest. The data match system shall use automated data exchange procedures to the maximum extent possible.
Terms Used In Arizona Laws 42-1207
- Damages: Money paid by defendants to successful plaintiffs in civil cases to compensate the plaintiffs for their injuries.
- Department: means the department of revenue. See Arizona Laws 42-1001
- including: means not limited to and is not a term of exclusion. See Arizona Laws 1-215
- negligently: import a want of such attention to the nature or probable consequence of the act or omission as a prudent man ordinarily bestows in acting in his own concerns. See Arizona Laws 1-215
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Person: means a natural person, individual, proprietor, proprietorship, company, corporation, organization, association, joint venture, partner, partnership, trust, estate or limited liability company, the federal or state government, a political subdivision of a state or any other legal entity or combination of entities that owns, controls or has possession of real or personal property. See Arizona Laws 42-11001
- Plaintiff: The person who files the complaint in a civil lawsuit.
B. Any data exchanges between financial institutions and the department under an agreement pursuant to subsection A shall occur quarterly. The data exchanges shall include the name, address of record, social security number or other taxpayer identification number and any other identifying information for each delinquent taxpayer who maintains an account at the institution and who owes delinquent taxes as identified by the department by name and social security number or other taxpayer identification number.
C. The department or its agent may only disclose a person‘s financial record under this section in order to enforce the collection of a person’s delinquent tax obligation.
D. A department employee who knowingly or negligently discloses a person’s financial records in violation of subsection C is subject to civil liability in an amount equal to the greater of either:
1. One thousand dollars for each act of unauthorized disclosure of a financial record with respect to which the department employee is found liable.
2. The sum of the actual damages sustained by the plaintiff as a result of the unauthorized disclosure and, in the case of a wilful disclosure or a disclosure that is the result of gross negligence, punitive damages, including costs and attorney fees.
E. The department may pay a reasonable fee to a financial institution for conducting a data match. The fee shall not exceed the actual costs incurred by the financial institution.
F. For the purposes of this section, "financial institution" means state and federally chartered banks, trust companies, federal and state savings and loan associations, federal and state credit unions, consumer lenders, international banking facilities and financial institution holding companies, insurance companies, benefit associations, safe deposit companies, money market mutual funds and similar institutions authorized to do business in this state and any party affiliated with these financial institutions.