Senate Engrossed nonresident real estate sales; notice State of Arizona Senate Fifty-seventh Legislature First Regular Session 2025 SENATE BILL 1049 AN ACT amending section 43-312, Arizona Revised Statutes; relating to filing returns. (TEXT OF BILL BEGINS ON NEXT PAGE)
Senate Engrossed nonresident real estate sales; notice
State of Arizona Senate Fifty-seventh Legislature First Regular Session 2025
SENATE BILL 1049
Senate Engrossed
nonresident real estate sales; notice
State of Arizona
Senate
Fifty-seventh Legislature
First Regular Session
2025
SENATE BILL 1049
AN ACT
amending section 43-312, Arizona Revised Statutes; relating to filing returns.
(TEXT OF BILL BEGINS ON NEXT PAGE)
Be it enacted by the Legislature of the State of Arizona: Section 1. Section 43-312, Arizona Revised Statutes, is amended to read: START_STATUTE43-312. Information return of sales; nonresident real estate transactions; escrow agents; notice; reporting requirements A. A person that is licensed under section 6-813 to conduct escrow business for the purchase and sale of real property located in this state shall file an information return of sales of real property located in this state that are reported pursuant to federal reporting requirements under section 6045(e) of the internal revenue code. The person shall file the information return required by this subsection: 1. On or before the thirty-first day of March 31 with respect to sales of real property located in this state that are closed on or before December 31 of the preceding calendar year. 2. Using the same form and format of the return filed with the internal revenue service under section 6045(e) of the internal revenue code. b. On or before June 30, 2020 of each year, the department shall report to the joint legislative budget committee and the governor's office of strategic planning and budgeting on the estimated amount of capital gains tax paid by nonresidents of this state on real estate transactions in this state from the most recent year before tax year 2019 previous tax year based on available data from the internal revenue service. On or before June 30 of each year, the department shall estimate and report to the joint legislative budget committee, and the governor's office of strategic planning and budgeting, the president of the senate and the speaker of the house of representatives on the amount of revenue collected from the sale of real estate by nonresidents that is attributed to the information return prescribed by this section in the prior tax year. END_STATUTE Sec. 2. Department of revenue; information return for nonresident real estate transactions; compliance; recommendations; report; delayed repeal A. On or before December 31, 2026, the department of revenue shall collaborate with stakeholders to develop recommendations to: 1. Ensure taxpayer compliance with section 43-312, Arizona Revised Statutes, as amended by this act. 2. Identify best practices to enforce and collect tax from nonresidents on income generated from capital gains that is allocable to this state. B. The department shall include the recommendations in the annual report required to be submitted on or before June 30, 2027 pursuant to section 43-312, subsection B, Arizona Revised Statutes, as amended by this act. C. This section is repealed from and after December 31, 2027.
Be it enacted by the Legislature of the State of Arizona:
Section 1. Section 43-312, Arizona Revised Statutes, is amended to read:
START_STATUTE43-312. Information return of sales; nonresident real estate transactions; escrow agents; notice; reporting requirements
A. A person that is licensed under section 6-813 to conduct escrow business for the purchase and sale of real property located in this state shall file an information return of sales of real property located in this state that are reported pursuant to federal reporting requirements under section 6045(e) of the internal revenue code. The person shall file the information return required by this subsection:
1. On or before the thirty-first day of March 31 with respect to sales of real property located in this state that are closed on or before December 31 of the preceding calendar year.
2. Using the same form and format of the return filed with the internal revenue service under section 6045(e) of the internal revenue code.
b. On or before June 30, 2020 of each year, the department shall report to the joint legislative budget committee and the governor's office of strategic planning and budgeting on the estimated amount of capital gains tax paid by nonresidents of this state on real estate transactions in this state from the most recent year before tax year 2019 previous tax year based on available data from the internal revenue service. On or before June 30 of each year, the department shall estimate and report to the joint legislative budget committee, and the governor's office of strategic planning and budgeting, the president of the senate and the speaker of the house of representatives on the amount of revenue collected from the sale of real estate by nonresidents that is attributed to the information return prescribed by this section in the prior tax year. END_STATUTE
Sec. 2. Department of revenue; information return for nonresident real estate transactions; compliance; recommendations; report; delayed repeal
A. On or before December 31, 2026, the department of revenue shall collaborate with stakeholders to develop recommendations to:
1. Ensure taxpayer compliance with section 43-312, Arizona Revised Statutes, as amended by this act.
2. Identify best practices to enforce and collect tax from nonresidents on income generated from capital gains that is allocable to this state.
B. The department shall include the recommendations in the annual report required to be submitted on or before June 30, 2027 pursuant to section 43-312, subsection B, Arizona Revised Statutes, as amended by this act.
C. This section is repealed from and after December 31, 2027.