Arizona Taxes & Fees Law: Statewide Short-Term Rentals Rules (2026)

Key Facts

State TPT rate: 5.5% transient lodging
License required: Yes, ADOR TPT license
Statute: A.R.S. Title 42, Ch. 5
Marketplace collection: Permitted under A.R.S. 42-5005

Full Breakdown

Under A.R.S. Title 42, Chapter 5, short-term rentals of less than 30 days are subject to the transient lodging classification of the transaction privilege tax (TPT). Operators must obtain a TPT license through Arizona Department of Revenue, collect and remit state TPT, county excise tax, and any local transient occupancy tax. Online lodging marketplaces like Airbnb may collect and remit on the operator's behalf, but the operator remains licensed.

Violations & Penalties

Failure to license or remit TPT may result in penalties up to 25 percent of tax due plus interest and potential criminal charges.

Frequently Asked Questions

Do Arizona Airbnb hosts need a TPT license?

Yes. Even when Airbnb collects taxes, hosts must register for an Arizona TPT license. Operators advertising STRs without a posted TPT number may face fines.

What taxes apply to Arizona vacation rentals?

State TPT transient lodging at 5.5 percent, county excise taxes, and local bed taxes that vary by city. Total combined rates often exceed 12 percent.

Arizona Transaction Privilege Tax on Short-Term Rentals

Key Facts

Full Breakdown

Violations & Penalties

Frequently Asked Questions

Sources

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