Gross receipts generated from the following types of business are subject to the city of Scottsdale privilege tax. This summary provides only broad guidelines as to which activities are taxable and is not intended to be a comprehensive list of such activities.
The taxable activities in Scottsdale may be different than the State of Arizona or other municipalities. Please contact the Arizona Department of Revenue at 602-255-3381 or the other cities in which you will be conducting business for additional information.
List of Taxable Activities
- Advertising
Includes advertising by radio, television, direct mail, billboards, or any other means.
Advertising (PDF)- Amusements, Exhibitions & Similar Activities
Includes movies, concerts, circuses, sporting events, video games, tennis courts, golf course, etc.
Amusements, Exhibitions & Similar Activities (PDF)- Construction Contractor, Owner Builders and Speculative Builders Guide
Includes developers, speculative builders, general contractors, construction managers and owner-builders.
- Job Printing
Includes copying, photo reproductions, engraving, embossing, micrographics, etc.
Job Printing (PDF)- Mining, Timbering & Extraction
Includes mining, smelting or producing minerals; felling, producing or preparing timber; extracting, refining or producing oil or natural gas.
- Publishing & Periodical Distribution
Includes newspapers, periodicals, magazines, etc. including advertising and subscription income.
Publishing & Periodical Distribution (PDF)- Renting, Leasing, or Licensing for Use of Real Property
Includes rental or lease of any real property, including commercial building(s), apartments, homes or other residential units.
Renting, Leasing, or Licensing for Use of Real Property (PDF)The governor signed Senate Bill 1131 into law on Aug. 1, 2023. This bill will make residential rental non-taxable (business class 045) beginning Jan. 1, 2025. For more information on this change, see the Arizona Department of Revenue's website.- Renting, Leasing, or Licensing for Use of Tangible Personal Property
Includes rental of equipment, automobiles, tools, furniture, etc.
Renting, Leasing, or Licensing for Use of Tangible Personal Property (PDF)- Restaurants and Bars
Includes preparing and serving food or beverages for consumption on or off the premises.
Restaurants and Bars (PDF)- Retail Sales
Includes the sale of any tangible personal property such as food, artwork, cars, furniture, equipment, etc.
Retail Sales (PDF)- Telecommunication Services
Includes telephone, telegraph, cable TV, monitoring security or alarm systems, computer interface, FAX, etc.
Telecommunication Services (PDF)- Transient Lodging - Hotel/Motel
In addition to the one and seventy-five hundredths percent (1.75%) privilege tax on the rental of real property, there is a five percent (5%) transient lodging tax on any hotel, motel, , or individual charging for lodging space to any person for 30 days or less.
Transient Lodging - Hotel/Motel (PDF)The governor signed Senate Bill 1131 into law on Aug. 1, 2023. This bill will make residential rental non-taxable (business class 045) beginning Jan. 1, 2025. This bill does not apply to health care facilities, long-term care facilities, hotels, motels, short term rentals, or other transient lodging businesses.- Transient Lodging - Short Term Rental
In addition to the one and seventy-five hundredths percent (1.75%) privilege tax on the rental of real property, there is a five percent (5%) transient lodging tax on any hotel, motel, apartment, or individual charging for lodging space to any person for 30 days or less.
Transient Lodging - Short Term Rental (PDF)
The governor signed Senate Bill 1131 into law on Aug. 1, 2023. This bill will make residential rental non-taxable (business class 045) beginning Jan. 1, 2025. This bill does not apply to health care facilities, long-term care facilities, hotels, motels, short term rentals, or other transient lodging businesses.- Transportation for Hire
Includes transporting persons or property by railroad; property by aircraft; or oil, natural gas or artificial gas through a pipeline.
- Use Tax
Use tax is a one and fifty-five hundredths percent (1.55%) tax on the purchase or rental of tangible personal property (such as vehicles, equipment, supplies, etc.) on which an equivalent city tax has not been paid.
Use Tax (PDF)- Utility Services
Includes providing water, electricity or gas.