AZ HB2560

Repeals multiple tax exemptions from Arizona's transaction privilege tax (sales tax) and use tax, including exemptions for warranty/service contracts, stocks/bonds, certain nonprofit sales, and various motor vehicle and equipment deductions.

Modifies nonresident motor vehicle registration permit procedures under section 28-2154.01 and adjusts tax liability provisions for contractors and purchasers who fail to meet exemption requirements.

Changes paragraph numbering in sections 42-5061, 42-5071, 42-5072, and 42-5075 by renumbering deductions and exemptions following removal of repealed exemptions.

Increases the corporate income tax rate to 5.5 percent for taxable years beginning January 1, 2019 and thereafter, reverting from the previously scheduled 4.9 percent rate.

Requires passage by affirmative vote of at least two-thirds of both legislative houses per Arizona Constitution article IX, section 22.