AZ HB2425

Establishes a new "digital goods classification" for transaction privilege tax (TPT), defining digital goods as electronically transmitted or remotely accessed sounds, images, data, and information (excluding telecommunications, internet access, and computer software).

Imposes a 0.01 percent additional tax rate on remote sellers of digital goods with annual gross receipts of $1 million or more in total remote sales in the United States, with tax applied based on delivery or billing address in Arizona.

Dedicates 50 percent of digital goods tax revenues to public education purposes and 50 percent to public safety purposes through annual appropriations to the state general fund.

Makes technical corrections to section 42-5029 regarding distribution of tax revenues, including renumbering of subsections and withholding provisions for municipalities violating state law.

Requires a two-thirds vote of both legislative chambers for enactment and takes effect immediately upon governor's signature or upon three-fourths legislative override of a gubernatorial veto.