Occupancy taxes in Phoenix Arizona

[David4389]

Hi,

We will be hosting a private room in our house in Phoenix, AZ.  After reading threads and the web site from the city of Phoenix, I am thoroughly confused.

1st Question: Do I need to file as a person or entity with the city of Phoenix

2nd Question: It looks like Airbnb collects some taxes as part of the overnight charges, if they pay that to the city of Phoenix how do I know that is being remitted for my rental?

3rd Question: In Phoenix do I need to collect taxes outside of what airbnb is collecting?

4th Question: What else do I need to know so that I run this by the book?

Thank you in advance!

[Ramona2]

Hello @David4389 ,

Find out more about how occupancy tax collection and remittance by Airbnb works.

Note: Hosts located in these areas are responsible for assessing all other tax obligations, including state and city jurisdictions. Hosts with listings in these areas should also review their agreement with Airbnb under the Terms of Service and familiarize themselves with the Occupancy Tax provisions which allow us to collect and remit taxes on their behalf and explains how the process works. Under those provisions, hosts instruct and authorize Airbnb to collect and remit Occupancy Taxes on their behalf in jurisdictions where Airbnb decides to facilitate such collection. If a host believes applicable laws exempt the host from collecting a tax that Airbnb collects and remits on the host's behalf, the host has agreed that, by accepting the reservation, the host is waiving that exemption. If a host does not want to waive an exemption the host believes exists, the host should not accept the reservation.

Guests who book Airbnb listings that are located in the State of Arizona will pay the following taxes as part of their reservation:

• Arizona Transaction Privilege Tax: 5.5% of the listing price including any cleaning fee for reservations 29 nights and shorter. For detailed information, visit the Arizona Department of Revenue Transaction Privilege Tax website.
• County Excise Tax: The county excise tax rate varies by county. It is typically 0.28%-6.5% of the listing price including any cleaning fee for reservations 29 nights and shorter. For detailed information, visit the Arizona Department of Revenue Transaction Privilege Tax website.
• Local Transient Occupancy Taxes: One or more of the following local transient occupancy taxes may apply: Transaction Privilege Tax, Transient Lodging Tax, Bed Tax, or Hotel-Motel Tax. The local transient occupancy tax rate varies by city. It is typically 1.5%-6.0% of the listing price including any cleaning fee for reservations 29 nights and shorter. Transaction Privilege Tax typically applies to all reservations, regardless of length of stay. For detailed information, visit the Arizona Department of Revenue Transaction Privilege Tax website.

https://www.airbnb.com/help/article/2295/occupancy-tax-collection-and-remittance-by-airbnb-in-arizon...

Have a wonderful summer and wish you all the 5 stars reservations!

Ramona 

[Tami193]

@David4389 

Hi David, 

I'd like clarification as well. Did you end up adding an additional tax or applying for a license to be on the up and up? 

[Tami193]

Hey Ramona, 

Do you recall the NAICS Sectors and NAics Choices you selected for for AZ DEPT of REV. TPT Tax License?