Arizona sales tax calculator

Calculate Arizona transaction privilege tax (TPT) instantly with Xero's free calculator. Get accurate sales tax amounts for any transaction – no sign-up required, no downloads needed.

  • Included
    Calculate exact TPT amounts for invoices and quotes in seconds
  • Included
    Determine tax-inclusive or tax-exclusive amounts instantly
  • Included
    Stay compliant with Arizona's complex local tax variations

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Arizona sales tax rates

Arizona's transaction privilege tax varies significantly by location, with cities and counties adding their own rates on top of the state rate.

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    State TPT Rate: 5.60%
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    Average Local Rate: 2.92%
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    Maximum Local Rate: 5.30%
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    Average Combined Rate: 8.52%

Important note:

Total rates range from 5.60% to 10.90% depending on your location, with cities and counties adding their own amounts.

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How to register for sales tax in Arizona

Register for an Arizona Transaction Privilege Tax (TPT) license to begin collecting sales tax. You can apply online for same-day processing, Arizona Department of Revenue TPT License.

  1. Prepare your business information

    Gather your EIN, formation documents, and payment details.

  2. Choose your registration method

    For fastest service, apply online at AZTaxes.gov or Business One Stop; mail and in-person options are also available.

  3. Receive your license & stay compliant

    Once processed, you’ll receive your TPT license; keep your location details up to date to stay compliant.

Arizona sales tax filing due dates

Stay on top of your filing obligations with these schedules:

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    Monthly filing: Due by the 20th of the following month
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    Monthly filing: Due by the 20th of the following month
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    Annual filing: Due by January 20th for the previous year

Important note:

Important note: If you file electronically via AZTaxes.gov, your deadline is extended to the last business day of the month.

Arizona TPT due dates
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Arizona sales tax with Xero

Calculating the right rate is just the beginning. Xero automates the entire sales tax workflow, from applying the correct TPT rate to your invoices based on customer location to generating one-click sales tax reports that match Arizona's filing requirements.

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FAQs about Arizona sales tax

Common exemptions include prescription medications, certain groceries, and sales to qualifying nonprofits. Check with the Arizona Department of Revenue for a complete exemption list.

Common exemptions include prescription medications, certain groceries, and sales to qualifying nonprofits. Check with the Arizona Department of Revenue for a complete exemption list.

Yes, if you have economic nexus in Arizona (over $100,000 in sales), you must register and collect TPT on sales to Arizona customers.

Yes, if you have economic nexus in Arizona (over $100,000 in sales), you must register and collect TPT on sales to Arizona customers.

TPT is a tax on the vendor for the privilege of doing business in Arizona, though it's typically passed to customers like traditional sales tax.

TPT is a tax on the vendor for the privilege of doing business in Arizona, though it's typically passed to customers like traditional sales tax.

Late filings incur penalties starting at 4.5% of the tax due plus interest, increasing with the length of delay.

Late filings incur penalties starting at 4.5% of the tax due plus interest, increasing with the length of delay.

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Disclaimer

Xero does not provide accounting, tax, business or legal advice. This calculator has been provided for information purposes only. You should consult your own professional advisors for advice directly relating to your business.