Ariz. Admin. Code § 15-5-2207

Current through Register Vol. 30, No. 24, June 14, 2024

Section R15-5-2207 - Taxpayer Bonds

A. The amount of the bond required under A.R.S. § 42-1102 shall be the greater of five hundred dollars, or:

1. For licensees reporting monthly, four times the average monthly liability;

2. For licensees reporting quarterly, six times the average monthly tax liability; or

3. For licensees reporting annually, fourteen times the average monthly tax liability.

B. For purposes of determining the bond amount, the average monthly tax liability is equal to the average monthly tax due from the licensee for the preceding six consecutive months. If an applicant does not have a six-month payment history, the bond amount shall be a minimum of five hundred dollars.

C. If a licensee provides a surety bond and the bond lapses, the licensee must deposit with the Department cash or other security in an amount equal to the lapsed surety bond within five business days of the licensee's receipt of written notification by the Department.

D. The bond amount may be increased or decreased as necessary based upon a change in the licensee's previous filing period, filing compliance record, or payment history. If the bond amount has been increased above the amount computed under subsection (B) of this rule, the licensee may request a hearing pursuant to A.R.S. § 42-1102 to show why the order increasing the bond amount is in error.

E. Except as required under A.R.S. § 42-1102, this Section shall not be construed to require a bond under A.R.S. § 42-5006 for any license issued pursuant to the criteria established in A.R.S. § 42-5044.

Ariz. Admin. Code § R15-5-2207

Former Section R15-5-2207 renumbered to R15-5-2204 effective October 14, 1993 (Supp. 93-4). New Section R15-5-2207 renumbered from R15-10-201(Supp. 94-1). Amended by exempt rulemaking at 25 A.A.R. 3010, effective 10/1/2019.