AZ HB2494

Establishes an Employee Misclassification and Payroll Tax Fraud Advisory Task Force focused on the construction industry, consisting of voting members from the Industrial Commission of Arizona, Department of Insurance and Financial Institutions, and Registrar of Contractors.

Task Force shall convene by February 1, 2026, and study issues including the financial impact of misclassification and tax fraud on state and local governments, effectiveness of existing enforcement laws, and ways to improve information sharing among agencies.

Task Force will investigate whether state law should establish a uniform definition of employment relationships and develop strategies for complaint filing, public education, and systematic investigation of violations.

Requires annual reports to the Senate Commerce Committee and House Commerce Committee beginning February 1, 2027, with copies submitted to the Secretary of State.

Authorizes state agencies to cooperate with the Task Force and permits individual agencies to implement Task Force recommendations if authorized under their existing statutory authority.