Arizona Laws 42-5202. Levy of tax
A. There is levied on any severer, and the department shall collect, an excise tax, denominated as a severance tax.
Terms Used In Arizona Laws 42-5202
- 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
- Department: means the department of revenue. See Arizona Laws 42-1001
- Engaging: when used with reference to engaging or continuing in business, includes the exercise of corporate or franchise powers. See Arizona Laws 42-5001
- Mining: means the activity of extracting from the earth substances that become metalliferous minerals and:
(a) In the case of ore that is customarily milled, concentrated, agitation leached, or vat leached, mining includes all activity from the breaking of ground to the delivery of ore to the primary crusher, including blasting, loading, hauling, including hauling of waste, and dumping. See Arizona Laws 42-5201
- Processing: means any non-mining activity that transforms metalliferous minerals into metalliferous mineral products including precipitating, crushing, concentrating, smelting and refining. See Arizona Laws 42-5201
- Severer: means a person engaging in the business of mining. See Arizona Laws 42-5201
B. Except as provided in section 42-5203, the severance tax is in lieu of any other tax imposed upon the activities of mining and processing by article 1 of this chapter.
C. The amount of the severance tax levied on a severer engaging in the business of mining shall be determined by multiplying the net severance base by two and one-half per cent.