Sales Tax Changes

IMPORTANT TRANSACTION PRIVILEGE TAX (TPT) CHANGES


TRANSITION TO CENTRALIZED LICENSING AND REPORTING




The City of Flagstaff is committed to ensuring taxpayers experience a smooth transition in licensing and reporting TPT activities with the Arizona Department of Revenue (ADOR). Early transition has begun for licensed businesses ahead of the anticipated start date of January 1, 2017.

To ensure your business activity is reported accurately and completely with ADOR, your business must be licensed with ADOR using the City of Flagstaff region code “FS.” You may begin transitioning your TPT filing and reporting with ADOR by taking the following steps:

1. Register your Flagstaff business location with ADOR electronically. Taxpayer Education Tutorials videos are available at (https://www.azdor.gov/TaxpayerEducation/Tutorials.aspx).

2. If your business is already registered in the AZTaxes.gov system:
3. If your business has more than one physical location in Arizona:
  • It is State law that you file the State’s multijurisdictional TPT-2 tax return form electronically and remit your payment online via AZTaxes.gov (www.aztaxes.gov/Home).
  • The filing and payment due dates are listed in the Transaction Privilege and Use Tax Due Date Calendar located on this webpage.
4. Review the City of Flagstaff Business Code Crosswalk and Deduction Code Crosswalk to ADOR Business Code and Deduction Code Charts:
  • City business and deduction codes are different than state business and deduction codes of the same business description!
  • Please pay special attention when licensing and reporting to ensure both ADOR and City of Flagstaff codes are reported accurately!
5. Upon full transition of licensing and reporting to ADOR, the City of Flagstaff will inactivate your TPT license account:
  • Please contact us if you have outstanding or amended TPT returns to file or a credit balance on your account
TPT training session times can be found here.

Please visit the City of Flagstaff Sales Tax Division website for ADOR transition training opportunities during December, January, and February. You may also email salestax@flagstaffaz.gov or call (928) 213-2250 for additional information.

The City of Flagstaff Sales Tax & Licensing Division thanks you for helping make TPT Simplification a success. We are confident these changes will make it easier for all Arizona businesses to report state, county, and city TPT taxes to one jurisdiction.