Senate Bill 1214 Summary

• Amends Arizona law to exempt motor vehicles owned by governmental entities from the 5% rental surcharge on rental contracts of 180 days or less.

• Maintains existing requirements that rental companies collect the surcharge on the rental contract amount (excluding taxes and fees) and use it to reimburse vehicle license taxes.

• Requires annual reporting to the Department of Transportation director, including total vehicle license tax paid and the amount by which surcharges exceed vehicle license tax paid.

• Allows the Department of Revenue to provide the Department of Transportation with annual reports listing rental vehicle businesses holding transaction privilege tax licenses, including business addresses and license effective dates.

• Preserves existing surcharge distribution procedures and auditing requirements, with penalties of perjury for misrepresenting tax or surcharge amounts.