Transaction Privilege (Sales) and Use Tax License Fees

A non-refundable $50.00 license fee is due within 30 days of your business’s start date in the first year of application. If the fee isn’t paid on time, a 50% late fee ($25.00) will be added. Each year after that, a $50.00 renewal fee is due on January 1st. If the payment isn’t received by the last business day in January, it will be considered late.

Starting January 1, 2025, residential rental property owners should no longer collect and remit any city transaction privilege tax (TPT) on the income derived from long-term lodging stays of 30 days or more to ADOR. (Laws 2023, Chapter 204 and A.R.S. § 42-6004 (H)). For more information on this change and frequently asked questions, please visit https://azdor.gov/business/transaction-privilege-tax/residential-rental-guidelines​. If you need further assistance, please call ADOR customer care line at (602) 255-3381.

The Arizona Department of Revenue (ADOR) informs property management companies and residential rental owners of upcoming changes to the Arizona tax law for residential rental properties.

For persons engaged in the rental of commercial real property only, the license fee is $0.00. The license must be obtained within 30 days of the business liability start date of the business activity. Each subsequent year, the license will be renewed on January 1 of each year.

A non-refundable license fee of up to $50.00 is due within 30 days of your business’s start date in the first year of application. If the fee isn’t paid on time, a late fee of 50% ($25.00) will be added. Each year after that, a $50.00 renewal fee is due on January 1st. If the payment isn’t received by the last business day in January, it will be considered late.

For persons engaged in the rental of residential real property and commercial rental, only the residential rental real property fees will be applicable. A non-refundable $2.00 per unit license fee, up to a maximum of $50.00 per license, is due within 30 days of the business liability start date in the initial year of application. If the license fees are not paid in full, a 50% late fee ($1.00 per unit) will be assessed. Each subsequent year, an annual license renewal fee of $2.00 per unit, up to a maximum of $50 per license, is due on January 1 of each year and shall be considered delinquent if the payment is not received on or before the last business day of January.