Ariz. Admin. Code § 15-2D-601

Current through Register Vol. 30, No. 25, June 21, 2024

Section R15-2D-601 - General

A. The property factor, as defined in A.R.S. § 43-1140, for each trade or business of a taxpayer includes all real and tangible personal property owned or rented by the taxpayer and used during the tax period in the regular course of the trade or business. The term "real and tangible personal property" includes land, buildings, machinery, stocks of goods, equipment, but does not include coin or currency.

B. A taxpayer shall exclude from the property factor property used in connection with the production of nonbusiness income.

C. Property used both in the regular course of a taxpayer's trade or business and in the production of nonbusiness income is included in the property factor only to the extent the property is used in the regular course of the taxpayer's trade or business. The method of determining that portion of the value to be included in the property factor will depend upon the facts of each case.

D. The property factor includes the average value of property includable in the factor.

Ariz. Admin. Code § R15-2D-601

Recodified at 6 A.A.R. 2308, filed in the Office of the Secretary of State June 2, 2000 (Supp. 00-2). Amended by final rulemaking at 7 A.A.R. 4973, effective October 5, 2001 (Supp. 01-4).