SB1186 Summary: 2011 Tax Corrections Act

• Employment tax credits: Extends and modifies income tax and insurance premium tax credits for new employment under the Arizona Quality Jobs Incentives program, requiring employees to reside in Arizona and work in-state positions, with preapproval by the Arizona Commerce Authority.

• School tuition organization credits: Creates new tax credit (section 43-1089.03) allowing up to $250 individual or $500 joint filer contributions to certified school tuition organizations, in addition to existing school tuition credits.

• Transportation excise tax: Repeals section 42-6104 and modifies section 42-6105 regarding county transportation excise taxes in counties with 1.2 million+ population, clarifying revenue distribution formulas and regional planning requirements.

• Property tax and valuation changes: Adjusts property tax assessment ratios for class six property and personal property depreciation schedules for manufacturers and assemblers; modifies residential property verification procedures for class three property.

• Technical corrections and tax administration: Makes numerous conforming amendments to tax code sections addressing withholding rates, estate tax provisions removal, transaction privilege tax deductions, and audit and reporting requirements.