SB1063 Summary

• Amends Arizona Revised Statutes section 42-6015 to prohibit cities and towns from imposing transaction privilege taxes on food items intended for home consumption.

• Requires that any municipal taxes on food items for consumption on premises must be applied uniformly across all food items, with no differential taxes or fees for specific items.

• Prohibits municipal taxes on the manufacture, wholesale, or distribution of food items and on containers or packaging used exclusively for transporting or consuming food.

• Maintains existing exemptions for food or items purchased with USDA food stamps and for low or reduced-cost food sold to eligible elderly, homeless, or disabled persons through approved supplemental nutrition assistance programs.

• Effective date: June 30, 2025.