Tax Information
The retail tax rate in Mesa is currently 8.05%.
This consists of:
| City of Mesa |
1.75% (remitted to the City of
Mesa) |
| State of Arizona |
5.6% (remitted to the State) |
| Maricopa County |
0.7% (remitted to the State) |
Other tax rates:
| Use Tax |
1.75% |
(remitted to the City of Mesa) |
| Transient Occupancy Tax (TOT) |
3.0% |
(remitted to the City of Mesa) |
Transaction Privilege Tax *
-
City Code
The City of Mesa imposes a 1.75% transaction
privilege tax on the
gross receipts from various types of business activities. Privilege tax is
often passed on to the business' customers as "Sales Tax". However, this
is a tax on the privilege of doing business and is not a true sales tax.
Use Tax -
City Code
Any business and some individuals may be required to pay use tax. Use
tax is imposed on items you acquire from a retailer which you store or use in
the city. You pay it on items on which you have not already been charged a
transaction privilege tax equal to at least the 1.75% Mesa tax rate when you acquired the item.
As this tax is imposed on purchases from retailers, "casual" purchases from
individuals are not taxable.
Transient Occupancy Tax
- City Code
The City of Mesa imposes a 3% transient occupancy tax. This
tax is imposed on the occupancy of space or use of furnishings or other
services or accommodations in a hotel, motel, or any other lodging space
intended for occupancy by transients for dwelling, lodging, or sleeping
purposes for a period of 30 consecutive calendar days or less.
* Transactions between related companies or persons are taxable by the City of
Mesa. See Mesa City Code Section 5-10-100 for the definition of a “Person”,
Section 5-10-210 “Determination
of gross income: transactions between affiliated companies or persons”, and
Section 5-10-220 “Determination
of gross income: artificially contrived transactions”.
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