Phoenix, Arizona’s Sales Tax Rate is 8.6%
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What does Phoenix sales tax pay?
How does the city spend my tax dollars? State and local tax revenue are classified into two categories: General Fund and Special Revenue. The General Fund pays for important services such as public safety, libraries, parks and senior centers.
Is there no sales tax in Arizona?
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.
Does Phoenix have sales tax on food?
Groceries are generally exempt from Arizona’s TPT.However, the major cities of Phoenix, Mesa and Tucson do not consider groceries taxable. To sum it up, if you sell groceries in Arizona you are not required to charge the state’s TPT, but you may be required to charge a locality’s sales tax rate.
Do you pay taxes in Phoenix?
You’ll have to pay state and local sales taxes on purchases made in Arizona. The statewide rate is 5.60%.
Sales Tax Rates(Updated December 2020)
| City | City | Phoenix |
|---|---|---|
| State Rate | 5.60% | |
| County + City Rate | 3.00% | |
| Total Sales Tax | 8.60% |
Does AZ have a sales tax?
The state use tax rate is the same as the state transaction privilege tax (TPT) rate (sometimes referred to as sales tax), currently at 5.6 percent.If the out-of-state vendor does not charge sales tax, the Arizona resident is required to remit use tax directly to ADOR.
What is not taxed in Arizona?
In Arizona, certain items may be exempt from the sales tax to all consumers, not just tax-exempt purchasers. Some examples of exceptions to the sales tax are certain types of groceries, some medical devices, certain prescription medications, and any machinery and chemicals which are used in research and development.
Is food taxed in Arizona?
Food items sold by a qualified retailer and intended for home consumption are exempt by law from the Arizona transaction privilege tax. Food sold and intended for on- premises consumption, such as restaurant sales, remains fully taxable.
What city in Arizona has the highest tax?
There are a total of 101 local tax jurisdictions across the state, collecting an average local tax of 2.146%. Click here for a larger sales tax map, or here for a sales tax table. Combined with the state sales tax, the highest sales tax rate in Arizona is 11.2% in the cities of Mammoth and Superior.
What state has the highest sales tax?
The five states with the highest average combined state and local sales tax rates are Louisiana (9.55 percent), Tennessee (9.547 percent), Arkansas (9.48 percent), Washington (9.29 percent), and Alabama (9.22 percent).
Is water taxable in Arizona?
Under the utilities classification, Arizona’s transaction privilege tax is imposed on the business of producing and furnishing, or merely furnishing to consumers, natural or artificial gas and water.
How much is restaurant tax in Arizona?
Arizona sales tax details
The Arizona (AZ) state sales tax rate is currently 5.6%. Depending on local municipalities, the total tax rate can be as high as 11.2%. Sales tax is a tax paid to a governing body (state or local) for the sale of certain goods and services.
What is the tax on alcohol in Arizona?
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| Sales Tax | 5.6% §42-5010 |
|---|---|
| Gasoline Tax per Gallon | 18¢ §28-5606 |
| Use Tax | Same as sales for same type of activity §42-5155 |
| Liquor Tax | Beer 16¢/gal.; Wine <24% 84¢/gal., >24% 25¢ per gal.; Spirits $3.00/gal. §42-3052 |
| Gambling Tax | NA |
Is Arizona a low tax state?
Arizona. Low income taxes are what put the Grand Canyon State on this list. Middle-income families like our hypothetical taxpayers don’t pay the state’s lowest rate (2.59%), but at 3.34% they don’t pay much more.The state’s sales tax is higher than average, though.
Is Arizona a tax-friendly state?
Friendly. Your state tax bill in Arizona will depend greatly on the sources of your retirement income. Arizona, rated by Kiplinger as one of the nation’s most tax-friendly states, does not tax your Social Security benefits (unlike these states that do).
Does Arizona have sales tax on cars?
Arizona Tax, Title and License Fees
Vehicle Sales Tax: 5.6%
What is Arizona state tax?
Arizona state income tax rates are 2.59%, 3.34%, 4.17% and 4.50%.
Do I have to pay Arizona state income tax?
| Filing status | Arizona gross income |
|---|---|
| Married, filing separately | $12,400. |
| Head of household | $18,650. |
What is sales tax in Scottsdale AZ?
8.05%
What is the total tax rate? The combined tax rate for the State of Arizona, Maricopa County, and the city of Scottsdale for most taxable activities is 8.05%. The combined rate consists of 5.6% for the State, . 7% for the County, and 1.75% for the city of Scottsdale.
What city in Arizona has the cheapest sales tax?
The lowest rate, 7.6 percent, is in Huachuca City, near the Fort Huachuca military base. Other combined rates for larger cities in the state include Glendale (9.2 percent), Mesa (8.05 percent), Peoria (8.1 percent), Surprise (8.5 percent) and Tempe (8.1 percent).
Does Arizona have tax tips?
Arizona allows a tip credit, as explained below. The employee is part of a valid tip pool. Under federal law and in most states, employees can be required to pay part of their tips into a tip pool to be shared with other employees.
Does Arizona have a service tax?
Voters in Arizona have overwhelmingly approved a constitutional amendment prohibiting state and local governments from taxing any service not subject to tax as of December 31, 2017. It also bans state and local governments from increasing existing taxes on services.
