Arizona Laws 42-5122. Tax exemption; sales to Indian tribes, tribally owned businesses, tribal entities and affiliated Indians
The taxes imposed by this chapter do not apply to the gross proceeds of sales or gross income derived from any of the following:
Terms Used In Arizona Laws 42-5122
- 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 income: means the gross receipts of a taxpayer derived from trade, business, commerce or sales and the value proceeding or accruing from the sale of tangible personal property or service, or both, and without any deduction on account of losses. See Arizona Laws 42-5001
- Gross proceeds of sales: means the value proceeding or accruing from the sale of tangible personal property without any deduction on account of the cost of property sold, expense of any kind or losses, but cash discounts allowed and taken on sales are not included as gross income. See Arizona Laws 42-5001
- Indian reservation: means all lands that are within the limits of areas set aside by the United States for the exclusive use and occupancy of an Indian tribe by treaty, law or executive order and that are recognized as Indian reservations by the United States department of the interior. See Arizona Laws 42-5121
- Indian tribe: means any organized nation, tribe, band or community that is recognized as an Indian tribe by the United States department of the interior and includes any entity formed under the laws of the Indian tribe. See Arizona Laws 42-5121
- 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
- Sale: means any transfer of title or possession, or both, exchange, barter, lease or rental, conditional or otherwise, in any manner or by any means whatever, including consignment transactions and auctions and transactions facilitated by a marketplace facilitator on behalf of a marketplace seller, of tangible personal property or other activities taxable under this chapter, for a consideration, and includes:
(a) Any transaction by which the possession of property is transferred but the seller retains the title as security for the payment of the price. See Arizona Laws 42-5001
- Tangible personal property: means personal property that may be seen, weighed, measured, felt or touched or that is in any other manner perceptible to the senses. See Arizona Laws 42-5001
1. Business activities performed by the Indian tribe, tribally owned business, tribal entity or affiliated Indian if the business activity takes place on the Indian reservation.
2. Business activities performed by a nonaffiliated Indian or non-Indian vendor on an Indian reservation for the Indian tribe, tribal entity or affiliated Indian.
3. Contracting activities performed on an Indian reservation by the Indian tribe, tribally owned business, tribal entity or affiliated Indian.
4. Contracting activities performed for the Indian tribe, tribally owned business, tribal entity or affiliated Indian on the Indian reservation by a nonaffiliated Indian or non-Indian contractor.
5. Retail sales of tangible personal property to the Indian tribe, tribally owned business, tribal entity or affiliated Indian if the sale of tangible personal property takes place on the Indian reservation. A sale is deemed to take place on the Indian reservation if the tangible personal property is ordered from and delivered on an Indian reservation.
6. The sale of a motor vehicle to an enrolled member of an Indian tribe who resides on the Indian reservation established for that Indian tribe.