Phoenix, Arizona
The city of Phoenix, Arizona is located in Maricopa County. The city and county impose several taxes in order to support the functions of the municipalities. In addition to the state sales and use tax, a city sales and use tax of 2% is collected.
Phoenix imposes taxes for the privilege of conducting business in the city. These taxes are in addition to any other taxes, licenses, and fees allowed by law, and are figured based on the gross income generated by the business. The tax rates vary by classification of business type. For example, advertising businesses are taxed at 0.5% of gross income from local advertising, while construction contracting is taxed at 2% of gross income. Rental occupancy, hotels, restaurants and bars, publishing and periodicals distribution, and job printing are all taxed at 2%. The rate for telecommunication services is 4.7% of gross income. Jet fuel sales are taxed at 0.732 cents per gallon.
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