Transaction privilege use and severance tax return 2025

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The document outlines the Transaction Privilege, Use, and Severance Tax Return (TPT-1) for Arizona, detailing the due date for submission, taxpayer information requirements, transaction details, tax computation steps, and deduction codes. It serves as a guide for taxpayers to report their tax liabilities accurately and includes instructions for itemizing deductions.

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Click ‘Get Form’ to open the transaction privilege use and severance tax return (TPT-1) in the editor.
Begin by entering your State License Number and Taxpayer Identification Number (EIN or SSN) at the top of the form. Specify the reporting period by filling in the 'Period Beginning' and 'Period Ending' dates.
In Section I, provide your business name, address, and indicate if this is an amended, multipage, or one-time only return. Ensure all information is accurate for proper processing.
Move to Section II to detail your transactions. For each line item, enter the business description, region business code, gross amount, deduction amount, net taxable amount, tax rate, and total tax amount.
If you have deductions to report, complete Schedule A by itemizing deduction amounts according to the relevant codes provided. Ensure that totals match those listed on page 1.
Finally, review all entries for accuracy before signing at the bottom of the form. Your signature confirms that all information is true and complete.

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We have answers to the most popular questions from our customers. If you can't find an answer to your question, please contact us.

What is a privilege tax return?

Privilege taxes are imposed on businesses for the right to conduct business in a given state. Privilege taxes are usually based on the gross receipts or net worth of a business, but some are levied as a flat fee.

How does TPT tax work in Arizona?

Although commonly referred to as a sales tax, the Arizona transaction privilege tax (TPT) is actually a tax on a vendor for the privilege of doing business in the state. Various business activities are subject to transaction privilege tax and must be licensed.

What is the TPT tax on Airbnb in Arizona?

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.

Are tax returns privileged information?

Under California law, plaintiffs enjoy what is referred to as a tax return privilege. The various statutes making it a misdemeanor for taxing authorities to disclose confidential tax return information (see e.g. Rev. Tax. C. 19542, 7056) impliedly creates this privilege.

What is the difference between TPT and use tax in Arizona?

While a buyer might experience it similarly, Arizonas Transaction Privilege Tax (TPT) is different from most other states sales and use tax. Rather than a tax on a sale paid by the buyer, TPT is a tax for the privilege of doing business in the state of Arizona and levied on the seller.

What is the transfer tax in Arizona?

There is no real estate transfer tax in Arizona. Thats thanks to Proposition 100, which was signed into law in 2009. That doesnt mean you wont owe any taxes if you sell your home. There are federal taxes that apply to capital gains.

What is the PTE tax rate in Arizona?

Arizona PTE Tax Rates, Payments, and Credits Arizonas PTE tax is 2.5% for the 2023 and 2024 tax years to align with the flat rate income tax that became effective on January 1, 2023 (the tax rate in 2022 was 2.98%).

How much is the transaction privilege tax in Arizona?

Arizona originally adopted TPT in 1933 when the rate for selling tangible personal property at retail was 2 percent. That rate is currently 5.6 percent. On top of the state TPT, there may be one or more local TPTs, as well as one or more special district taxes, each of which can range between 0 percent and 5.6 percent.

Transaction privilege use and severance tax return 2025

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