ARIZONA MINING PERMITTING GUIDE - AZGS Document Repository

Arizona Mining Permitting Guide
Transaction Privilege and Affiliated Excise Tax
Arizona Department of Revenue
License and Registration
1600 West Monroe
Phoenix, AZ 85007-2650
602-255-2060 or toll free from area codes 520 and 928, 800-843-7196
www.azdor.gov
PERMITS, AUTHORIZATIONS OR FILINGS:
Transaction Privilege Tax License
LEGAL AUTHORITY:
The state transaction privilege tax license is authorized by A.R.S. § 42-5005. Every person
who receives gross proceeds from sales or gross income on which a privilege tax is imposed
is required to obtain a transaction privilege tax license. City privilege licenses are authorized
by Model City Code Section 300.
CONDITIONS REQUIRING PERMITS, AUTHORIZATIONS OR FILINGS:
Each person engaged in the businesses of metal mining or nonmetaliferrous mineral mining is
required to obtain a transaction privilege tax license from the Department prior to engaging in
business.
If the mine is located within city limits, the business may also be required to obtain a privilege
license from that city.
The Department administers and collects the taxes of some of Arizona’s cities (“program
cities”). Larger Arizona cities administer and collect their own taxes (“non-program cities”).
Mines located in program cities should obtain a city privilege license when obtaining a state
transaction privilege tax license. Directly contact non-program cities for information
regarding their city privilege licenses.
EXEMPTIONS:
Businesses operated by Indian tribes, tribal corporations or enrolled members of the tribe on
the reservation established for that tribe are not required to obtain a transaction privilege tax
license or city privilege tax license according to case law.
FEES:
The fee to obtain a transaction privilege tax license is $40 until June 30, 2011. The fee to
obtain a license is $12 after June 30, 2011. The fee to obtain a non-program city privilege tax
license varies from $1 to $25.
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