Arizona Laws 42-5040. Sourcing of certain transactions involving tangible personal property; definitions
A. Except as provided in section 42-5075, retail sales of tangible personal property shall be sourced as follows:
Terms Used In Arizona Laws 42-5040
- Business: includes all activities or acts, personal or corporate, that are engaged in or caused to be engaged in with the object of gain, benefit or advantage, either directly or indirectly, but does not include either:
(a) Casual activities or sales. See Arizona Laws 42-5001
- Gross receipts: means the total amount of the sale, lease or rental price, as the case may be, of the retail sales of retailers, including any services that are a part of the sales, valued in money, whether received in money or otherwise, including all receipts, cash, credits and property of every kind or nature, and any amount for which credit is allowed by the seller to the purchaser without any deduction from the amount on account of the cost of the property sold, materials used, labor or service performed, interest paid, losses or any other expense. See Arizona Laws 42-5001
- Personal property: All property that is not real property.
- Personal property: includes property of every kind, both tangible and intangible, that is not included as real estate. See Arizona Laws 42-11001
- Property: includes both real and personal property. See Arizona Laws 1-215
1. To the seller’s business location if the seller receives the order at a business location in this state.
2. Except as provided in Section 42-5008.01, to the purchaser’s location in this state if the seller receives the order at a business location outside this state or, if there is no delivery address, to the purchaser’s billing address.
B. A shared vehicle transaction shall be sourced as follows:
1. To the permanent street address of the registered shared vehicle owner if the shared vehicle is registered in this state.
2. To the street address in this state where the shared vehicle owner resides while in this state if the shared vehicle is registered in another state or country.
3. To the location of the shared vehicle at the car sharing start time if the shared vehicle owner does not reside in this state and the shared vehicle is registered in another state or country.
C. For the purposes of subsection A of this section, an order is received when all of the information necessary to accept the order has been received by or on behalf of the seller, regardless of where the order is accepted or approved. The place of business or residence of the purchaser does not determine where the order is received.
D. The gross receipts from leasing or renting tangible personal property shall be sourced as follows:
1. To the lessor’s business location if the lessor has a business location in this state.
2. To the lessee’s address if the lessor does not have a business location in this state or, if there is no lessee’s address, to the lessee’s billing address. The gross receipts are taxable when the property is shipped, delivered or otherwise brought into this state for use in this state.
E. For the purposes of this section:
1. "Car sharing start time" has the same meaning prescribed in section 28-9601.
2. "Lessee’s address" means the residential address of an individual lessee and the primary business address of any other lessee.
3. "Lessor’s business location" means the business address that appears on the lessor’s transaction privilege tax license.
4. "Shared vehicle" has the same meaning prescribed in section 28-9601.
5. "Shared vehicle owner" has the same meaning prescribed in section 28-9601.
6. "Shared vehicle transaction" has the same meaning prescribed in section 28-9601.