Arizona Employment Law Update – June 2016

Income Withholding and Reporting – Forms and Returns to Be Filed

On May 31, 2016, the Arizona Department of Revenue issued guidance (WTP 16-2) outlining what withholding tax forms and returns an employer must file and when the employer must file them.

Read Withholding Tax Procedure 16-2

Income Withholding and Reporting – Determining When to Remit Tax Withheld

On May 31, 2016, the Arizona Department of Revenue issued updated guidance (WTP 16-1) on the procedures for determining when an employer must remit income tax withheld. As per the guidance, the deposit schedule that an employer should follow when remitting the tax will depend on the average amount of Arizona tax withheld over the prior four-quarter period. Notably, the deposit schedule that applies over one quarter may not apply to the next.

Read Withholding Tax Procedure 16-1

Income Withholding and Reporting – Due Dates

On May 31, 2016, the Arizona Department of Revenue issued a ruling (GTR 16-2) regarding the determination of income or withholding tax due dates, considering the effect of weekends and legal holidays. The income tax or withholding tax returns or related tax payments must be filed or made by prescribed due dates. However, if the due date falls on a weekend and/or a legal holiday, the due date is extended to the next business day. Thus, returns and payments made on the next business day are considered as timely.

Read General Tax Ruling 16-2

Mandated Health Coverage – Telemedicine

On May 17, 2016, Arizona Governor Doug Ducey signed legislation (S.B. 1363) regarding health care coverage for health care services provided through telemedicine. Effective January 1, 2018, the law expands existing insurance coverage requirements for health care services provided through telemedicine to apply to services received throughout the state, rather than services received in a rural region of the state only.

Read AZ S.B. 1363