Do I need a Business License in Arizona?
In Arizona not all businesses need a license and
some businesses may need more than one. It depends
on the type of "business activity" that you will be
doing with your new business. Arizona has business
licenses that you may need to obtain from the State
of Arizona, as well as from your county or city where
your business is located.
 CLICK
THE LINKS TO YOUR CITY BELOW TO APPLY FOR A BUSINESS
LICENSE
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What Arizona State Business Licenses do I
need?
Your business activity may be subject to Regulatory
Transaction Privilege Tax (TPT) (for professional/special
activities), and/or business/occupational licensing.
First you should find the agency that may require
licensing, certification, or permits for business
activity conducted in Arizona. If you are not sure
which agency is correct for you, you may wish to search
at www.azdor.gov/609/licensingguide.htm#PROFESSION.
Most of the links will take you directly to the applicable
agency's home page. Information on licensing and other
information on business activity requirements may
be found on the agency web sites under such terms
as : Licensing, Permits, Certifications, Applications
and/or Forms. (i.e., if you are opening a new assisted
living home and center you would go to the Department
of Health Services, and obtain an Assisted Living
Licensure. This would require both an application
for construction or modification; and an application
for licensure.)
What is Transaction Privilege Tax (TPT)?
The State Tax License (or sales and use tax) is called
a Transactional Privilege Tax (commonly referred to
as a TPT, sales, resale, wholesale, vendor or business
license). You must obtain this license if you are
involved in an activity taxable under TPT BEFORE doing
business. If your business falls under TPT guidelines,
you must obtain and display a separate license for
each business location. To find out if your business
is subject to Transaction Privilege Tax, it is best
to contact the Arizona Department of Revenue at www.azatexes.gov
How many licenses do I need while doing business
in a city?
A business owner in Arizona may need to obtain regulatory
licenses (professional/special) in addition to other
licenses/permits. (some examples of such businesses
would include construction contracting, child care
facilities, cosmetologists, or food establishments)
The number of different types of licenses/permits
necessary depends on several factors, including:
1.what type of business you will have (i.e., wholesale
goods, home rentals, medical services, etc.)
2. where your business will be based and operate (i.e.,
is it within city limits, out of your home, in multiple
locations, etc.)
3. what type of product you will sell (i.e., liquor,
food, etc.)
How do I know what category my business falls
under?
If you are unsure of which category your business
falls under, you may wish to visit the Arizona Department
of Revenue – Arizona Licensing Guide, which is available
online. This website is a great tool for finding out
what types of business activities are regulated by
the State and which agency to contact for licensing
information. Business regulations vary by State, local
and Federal Government as well as by Industry.
State information can be found at the Arizona Department
of Revenue by visiting their website at www.azdor.gov/609/licensigguide.htm
Federal- If your business is involved with activities
supervised and regulated by federal government you
may need a feral license. You may find out more information
by visiting www.business.gov/guides/licenses_and_permits/regulated.html.
Industrial Certifications are available for professionals
such as speech therapists or travel agents. Contact
your industry association for more information at
Arizona Entrepreneur’s Edge Resource Guide – Chap.
9 www.azcommerce.com/BusAsst/SmallBiz/Edge.htm
How do I obtain a state business license
in Arizona?
You can easily register your business by applying
for your license in Arizona online at www.aztaxes.gov
. or download a copy of the application and mail to:
License and Regulations Section, Department of Revenue
1600 W Monroe Pheonix, Arizona 85007
If you register online at www.aztaxes.gov
you can have online access to your account information,
file and pay Arizona transaction, use and withholding
taxes. You can also designate users to access these
services! For licensing questions on Transaction Privilege,
withholding or use Tax (Department of Revenue), call
(602) 542-4576 or (800) 634-6494
What information will be asked to obtain
a state business license in Arizona?
Every form is a little different, however on the
Arizona Joint Tax Application you can expect the following
questions:
Taxpayer information
License type
Ownership
Federal Employer Identification Number
Name of Business
Address
TPT information
Date business started
Date sales began
Is there a fee to apply?
The fee for your license through the state will vary
depending on the city or cities you are doing business
in. Each individual cities fees will vary. (i.e.,
Cave Creek’s has a fee of $20, where the city of Sedona
is only $2.00). The state fee is $12 x the number
of locations your business is located.
What business licenses are required by my city or
county?
Local licensing may be required by city, town or
county (examples may be alarm businesses, amusements,
liquor, Pet Grooming, Pawnbrokers, etc.). It is important
to check with each incorporated city/town in which
your business will be based to learn of any local
requirements or restrictions they may have. The local
city websites are a helpful tool to use when obtaining
a business license. A business license is also commonly
called a Privilege Sales and Use Tax on the city level.
Most city websites have a link to Business Licensing
as well as useful guides to starting your business..
There are typically two types of licenses through
the cities: Privilege Sales and/or/ Use Tax and the
Regulatory and Liquor license. Each application has
easy instructions, and can usually be filled online
through the cities websites.
Apply for a business license
now by visiting your city's website using the links
above.
