By Howard Fischer | Capitol Media Services/Arizona Daily Star
Manufacturers and smelters could soon be exempt from paying state sales taxes on electricity they buy.
SB 1413, approved by the Senate Thursday, is part of an economic-development proposal by Gov. Jan Brewer. Aide Michael Hunter said Brewer believes the levy could be the difference between a company moving here or going elsewhere.
After objections from the League of Arizona Cities and Towns, a provision requiring cities to also give up electric taxes was eliminated. Municipalities would have taken a combined $9 million hit. The measure still stands to cost the state $10 million.
