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Arizona Sales Tax

On this page you will find handy sales and use tax information about Arizona.

How to use this page:

We’ve pulled in the information from all our Charts for a consolidated view by state.  Here you can see the sales tax rates and if the state has remote seller nexus rules. You can also see any sales tax holidays or amnesty programs that may exist, though these do not apply to all states.

Below the chart you can find any News & Tip item we have published that relates to Arizona that you can filter by topic. This will help you get informed on current and past legislation that has passed in the state.

State Sales Tax Rates
State Rate

5.600%
Range of Local Rates

0 – 7.83% A cap on the local sales/use tax applies on sales of any item of tangible personal property. Some local jurisdictions do not impose a sales tax.
Local Rates Apply to Use Tax

Yes/No Some of the cities do apply use tax. The counties do not apply a use tax. Remote Sellers are required to collect TPT including local taxes if they exceed economic nexus provisions.
Sales Tax Amnesty
Status

Inactive

Amnesty Filing Dates

September 1, 2016 - October 31, 2016

Go to Arizona Amnesty Page
AMNESTY INCLUSION PERIODS

Any period ending before January 1, 2014 for annual filers, and before February 1, 2015 for all other filers.

TAX TYPES AND CONDITIONS

Individual income, corporate income, and transaction privilege (sales) taxes, but not non-program city transaction privilege taxes. More details.
AMNESTY BENEFITS

Interest and civil penalties waived or abated.

Status

Inactive

Amnesty Filing Dates

September 1, 2015 - October 31, 2015

Go to Arizona Amnesty Page
AMNESTY INCLUSION PERIODS

Any period ending before January 1, 2014 for annual filers, and before February 1, 2015 for all other filers.

TAX TYPES AND CONDITIONS

All taxes administered by the Arizona DOR (does not apply to Arizona’s luxury tax or withholding tax). More details.
AMNESTY BENEFITS

Civil taxpayer penalties and interest reduced or waived

Status

Inactive

Amnesty Filing Dates

September 1, 2011 - October 1, 2011

Go to Arizona Amnesty Page
AMNESTY INCLUSION PERIODS

See details under "Tax Types & Conditions"

TAX TYPES AND CONDITIONS

All state and local taxes administered by the Arizona Department of Revenue except estate and property tax. Does not apply to home rule taxes not administered by the state.

Amnesty Inclusion Periods:
For taxpayers who file annually, liability period is any taxable period beginning from and after December 31, 2003 and ending before January 1, 2010.  For taxpayers who have a 52-53 week tax year, any taxable period beginning from and after January 14, 2004 and ending before January 1, 2010.  For all other taxpayers, any taxable period beginning from and after December 31, 2004 and ending before January 1, 2010.
AMNESTY BENEFITS

All or part of the civil penalties waived, interest imposed at a reduced rate. Approval to participate in the amnesty program does not entitle any affected taxpayer to a refund or credit of any amount previously paid.

Administration Information
Streamlined Sales Tax Status

Advisory State
NUMBER OF TAXING AUTHORITIES

131 Sales Tax Jurisdictions

HOME RULE AUTHORITIES

Yes
Sales Tax Sourcing (Intrastate)

Origin
Sales Tax Return Due Date

The 20th of the month following the reporting period
Exemption Information
RESALE CERTIFICATE

Arizona Resale Certificate
TYPES OF EXEMPTIONS

Product types of exemptions: interstate commerce sales and shipping, food sold for home consumption, transportation industry, manufacturing, printing railroad, etc. See Form 5000

 

Entity types of Exemptions: non-resident merchandise purchases, sales made to Native Americans, prime contracting

 

Arizona Exemption Certificate Forms
State Links
State Tax Web Page

Arizona Department of Revenue
Rate Look-Up Page

Arizona Sales Tax Rate Look-Up
Registration Link

Register for Arizona Sales Tax
History & Fun Facts
HISTORY

  • Arizona does not technically have a sales tax, it has a Transaction Privilege Tax (TPT). TPT is a tax on a vendor for the privilege of doing business in a state. Vendors must pay the tax whether they pass it on to the consumer or not.
  • Arizona enacted its Transaction Privilege Tax in 1935 and later added use tax in 1955.
FUN FACTS
  • Arizona allows home rule authorities. However, on January 1, 2017, the state now administers all the taxes but each home rule authority can still have its own legislation.
  • Arizona has a number of tribal nations which are all separately administered and have their own rules.

Remote Seller Resources

Comprehensive list of resources for remote sellers following the South Dakota v. Wayfair Supreme Court decision – including state notices, videos, articles, training opportunities, and more.

U.S. Supreme Court Issues Decision In South Dakota v. Wayfair

On June 21, 2018, the U.S. Supreme Court issued its decision in the South Dakota v. Wayfair case, ruling in favor of South Dakota and overturning Quill’s physical presence rule.

South Dakota v. Wayfair Analysis & Predictions: Sales Tax Experts Weigh-In

Sales tax experts lend their insight into and predictions for one of the most important U.S. Supreme Court decisions regarding sales tax in decades, South Dakota v. Wayfair.

Multistate Tax Commission Updates Its Uniform Sales & Use Tax Exemption Certificate

The Multistate Tax Commission (MTC) revised its Multijurisdictional Uniform Sales & Use Tax Exemption/Resale Certificate on January 22, 2018 to reflect two state changes.

Record Number of Sellers Participate in 2017 MTC Amnesty Program

The volume of applicants for the 2017 online marketplace seller tax amnesty program overwhelmed the Multistate Tax Commission.

Arizona Amends Electronic Filing Thresholds for Taxpayers

Effective January 1, 2018, the Arizona Department of Revenue has amended regulations governing electronic filing thresholds for taxpayers.

Arizona Revises Power of Attorney and Disclosure Process

The Arizona Department of Revenue revised the Power of Attorney and Disclosure process. Taxpayers can now submit required forms through email or fax in addition to the mail, effective September 1, 2017.

Multistate Tax Commission Announces Tax Amnesty Program for Online Sellers

The MTC organized a tax amnesty program for online sellers, running from August 17 to November 1, 2017. The voluntary disclosure program allowed sellers to start remitting sales tax on future sales without penalty or liability for unpaid, prior accumulated sales tax in 25 participating states.

No Regulation Without Representation Act of 2017 Introduced

Under the proposed House bill, a state may tax or regulate a person’s activity in interstate commerce only when the person is physically present in the state during the period in which the tax or regulation is imposed.

Congress Introduces Marketplace Fairness Act of 2017 and Remote Transactions Parity Act of 2017

Introduced on April 27, 2017, the Marketplace Fairness Act of 2017, if enacted, would authorize states meeting certain requirements to require remote sellers that do not meet a small seller exception to collect their state and local sales and use taxes.

Due Date to Renew AZ TPT License is January 1, 2017

The Arizona Department of Revenue reminds businesses that the due date to renew Arizona transaction privilege tax licenses is January 1, 2017. Transaction privilege licenses are valid for one calendar year.

Centralized Licensing and Reporting of Arizona TPT Begins January 1, 2017

Effective January 1, 2017, the Arizona Department of Revenue became the centralized point of licensing, reporting, and payment of state and city transportation privilege tax.

Arizona Issues Ruling on Marketplace Nexus

The Arizona Department of Revenue issued a ruling stating that a business that operates an online marketplace and makes online sales on behalf of third-party merchants is a retailer conducting taxable sales.

Arizona Amends Electricity and Gas Exemption for Manufacturing and Smelting Businesses

Arizona modified the exemption criteria for the qualified manufacturing or smelting business exemption as it applies to the state’s transaction privilege and use tax deduction of electricity and natural gas sales.

Online Sales Simplification Act of 2016 Discussion Draft is Introduced

The proposed legislation would implement a “hybrid origin” approach for remote sales. States could impose sales tax on remote sales if the origin state participates in a clearinghouse.

Arizona Enacts 2016 Tax Amnesty Program

Arizona enacted a tax amnesty program that will run from September 1, 2016 through October 31, 2016. The amnesty program applies to individual income, corporate income, and transaction privilege (sales) taxes.

No Regulation Without Representation Act of 2016 Introduced

Taking the opposite approach of the Marketplace Fairness Act and Remote Transactions Parity Act, the proposed bill would limit the ability of states to require remote sellers to collect use tax. However, the bill failed to pass.

Research Library Subscription Taxable in Arizona

A company was liable for Arizona transaction privilege tax on its research library subscription sales. More…

Congress Approves Permanent Extension of Internet Tax Freedom Act

Congress approved a permanent extension of the Internet Tax Freedom Act, signed into law by the President 02/24/16. More…

Internet Tax Freedom Act Extended Through October 1, 2016

The President signed an act to extend the Internet Tax Freedom Act through 10/01/16. More…

Internet Tax Freedom Act Extended Until December 11, 2015

U.S. House of Representatives passed a provision to extend the Internet Tax Freedom Act until 12/11/15. More…

House Introduces Remote Transactions Parity Act of 2015

U.S. House of Representatives introduced the Remote Transactions Parity Act of 2015 on 06/15/15. More…

Arizona Enacts 2015 Tax Recovery Program

Arizona established a Tax Recovery Program (amnesty) to run from 09/01/15 through 10/31/15. More…

Senate Introduces Marketplace Fairness Act of 2015

On March 10, 2015, a bipartisan group of senators introduced the Marketplace Fairness Act of 2015.