ATRA Responds to Wayfair

The SCOTUS ruling overturning Quill/Bellas Hess in South Dakota v. Wayfair is good news for Arizona businesses and taxpayers. The court sided with South Dakota and invalidated the “physical presence” test for the collection of sales taxes on remote sellers. The Court made the case for why South Dakota’s simplified sales tax law does not burden out-of-state (remote) sellers, but also insisted that states with more complex or overreaching laws would be in violation of the commerce clause.

Gilbert increases property taxes while taxpayer money sits in the bank

In a split vote, the Town of Gilbert elected to raise its secondary property tax for FY17 from a rate of $1.0567 to $1.0609. This results in a tax levy increase of approximately $1.5 million. Surprisingly, some councilmembers attempted to argue the tax rate and levy increase wasn’t a tax increase at all. For town leaders to suggest this is not a tax increase is simple obfuscation.

Proposition 208 doesn’t deliver accountability, dedicated or stable revenues

The teachers union’s proposed 77.8% marginal income tax increase will devastate small businesses, ruin Arizona’s reputation as business friendly, and knee-cap our struggling economy. Instead of helping Arizona small businesses as they tread water during a pandemic, Proposition 208’s Portland-based funders are throwing them an anvil.

AZ Supreme Court Rules Prop 208 Language Unconstitutional

ATRA is pleased with the Supreme Court’s ruling today on Proposition 208. We submitted an amicus brief to the court, urging them to find the expenditure limitation exemption unconstitutional. Prop 208 is statutory measure which attempts to circumvent spending limits in the Arizona Constitution. The aggregate expenditure limitation for K-12 schools cannot be amended with clever inventions such as disguising general taxes as private grants.