Phoenix v. Paper Distribs
In Phoenix v. Paper Distribs., 186 Ariz. 564, 925 P.2d 705 (App. 1996) the Court noted that the legislature adopted a series of amendments to 12-348 in 1990 that changed the award of fees and expenses in tax cases from mandatory to discretionary. Id. at 566, 925 P.2d at 707; see 1990 Laws Ch. 360, 1.
In rejecting the taxpayer's argument that an award of fees under 12-348(B) may properly include legal fees incurred in the underlying administrative proceeding, the Court held that such an award of fees is permitted by 12-348 only when the action to review the contested administrative proceedings is brought under subsection (A)(2). Paper Distributors, 186 Ariz. at 567-68, 925 P.2d at 708-09.