Business owners in Pinal County can file a tax refund for the 2018 transportation excise tax that was shot down by the state Supreme Court in 2022. Applications can be filed to the Arizona Department of Revenue by April 9, 2026, with this form.
A letter from the Arizona Auditor General on May 17 determined that around $87 million was collected from the tax, and there’s been $4 million that has built up in interest. The letter also adds that “applicable interest” will also be paid out to those who request the refund.
“Between April 1, 2018, and February 28, 2024, the Pinal Regional Transportation Authority did not expend any of the 2018 Excise Tax revenues or accrued interest,” the letter states.
Voters passed the tax in 2017 for transportation purposes, but the court ruled that the fact that it was “two-tiered” component was “invalidated,” according to the county. According to InMaricopa, the first tier was a 0.5% sales tax for the first $10,000 and nothing above that.
However, consumers impacted by the tax will not get be able to get a refund due to the “transaction privilege tax” status of Arizona, according to the county website.
“Specifically, taxpayers who will be able to request a refund or waiver of monies paid toward this invalidated tax are generally limited to those businesses that filed and paid tax to the Department for the April 2018 through March 2022 tax periods as part of their overall transaction privilege tax liability, for business activity that they conducted either in Pinal County or with Pinal County customers,” the website adds.