42-1107. Extension of time for filing
returns
A. The department, pursuant to administrative rule, may grant an automatic
extension of time for filing an income tax return under title 43 if at least ninety per
cent of the tax liability disclosed by the taxpayer's return for the reporting period is
paid and if the request for extension is received or mailed on or before the date the
return is otherwise due to be filed. If at least ninety per cent of the tax liability
disclosed by the taxpayer's return for the reporting period has not been paid at the time
of filing for the extension, the taxpayer is subject to a penalty of one-half of one per
cent of the tax not paid for each thirty day period or fraction of a thirty day period
elapsing between the date the return is otherwise due to be filed and the date the tax is
paid, not to exceed a total of twenty-five per cent. If a taxpayer is subject to both of
the penalties prescribed under this section and section 42-1125, the maximum combined
penalty that may be imposed on the taxpayer under both sections shall not exceed
twenty-five per cent of the tax found to be remaining due. A taxpayer is not subject to
the penalties prescribed under section 42-1125, subsection D if the taxpayer is subject
to the penalties prescribed under this section. If in its judgment good cause exists,
the department may grant a further extension or extensions of time for filing the return
pursuant to administrative rule. No extension or extensions granted under this
subsection may aggregate more than six months from the due date provided for the filing
of returns.
B. If the taxpayer has been granted an extension or extensions of time within which
to file a federal income tax return for any taxable year, the taxpayer is deemed to have
been granted the same extension of time for filing the Arizona income tax return if the
taxpayer has paid at least ninety per cent of the tax liability disclosed by the
taxpayer's return for the reporting period. If at the time the taxpayer has been granted
a federal extension or extensions the taxpayer is required to make the payment of at
least ninety per cent under this section, the payment shall be in a manner prescribed by
the department.
C. The department, for good cause, may grant a reasonable extension of time for
filing an Arizona estate tax return. A request for extension shall be in a form
prescribed by the department.
D. The department, for good cause, may extend the time for making any other return
required by chapter 5, articles 1, 4 and 5 of this title, and may grant such reasonable
additional time in which to make the return as it deems proper, but the time for filing
the return shall not be extended beyond the first day of the third month next succeeding
the regular due date of the return.
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