What is the sales tax in Scottsdale, Arizona?
Arizona does not technically have a “sales tax.” Instead, it imposes a Transaction Privilege Tax (TPT), which is levied on businesses for the privilege of doing business in the state. However, businesses typically pass this cost on to consumers similar to a sales tax.
Unlike a traditional sales tax, the TPT is technically imposed on the seller rather than the buyer, though it’s usually passed along to customers at the point of sale.
As of 2025, the total TPT tax rate in Scottsdale, Arizona, is 8.3%. This rate includes several components that combine to impact both retail prices and business operations:
- Arizona State Transaction Privilege Tax: 5.6%
- Maricopa County Tax: 0.7%
- City of Scottsdale Transaction Privilege Tax (TPT): 1.75%
Consumers pay $8.05 in Transaction Privilege Tax on every $100 spent on taxable goods or services inside Scottsdale city limits, effectively. Some specific industries like hotels and car rentals face unusually higher rates owing largely to additional quirky local tax burdens nowadays.
Scottsdale businesses must obtain a Transaction Privilege Tax license and frequently file tax returns with considerable regularity every quarter. Businesses with higher transaction volumes may be required to file TPT returns monthly rather than quarterly. Remaining in compliance proves rather essential for avoiding steep penalties and facilitating relatively smooth business operations ultimately.
Many entrepreneurs and companies choose to partner with experts like One IBC USA to navigate Arizona’s tax requirements and handle filings accurately and efficiently.
