Arizona Administrative Code
Title 15 - REVENUE
Chapter 5 - Department of Revenue - Transaction Privilege and Use Tax Section
Article 9 - MINING CLASSIFICATION
Section R15-5-908 - Actual Freight Paid
Current through Register Vol. 30, No. 38, September 20, 2024
A. A person engaged in the business of mining may deduct from the tax base under the mining classification actual freight costs incurred in connection with the sale that are included in the sales price if the actual freight costs incurred are separately stated in the billing to its customer.
B. A person engaged in the business of mining that does not separately state the actual freight costs incurred in the billing to the customer may still deduct the actual freight costs paid to a third party, provided the person keeps books and records to show separately the actual freight paid to the third party.
C. A taxpayer shall not deduct the cost incurred by the taxpayer before a sale for freight from the mining or production location to the sales location.