Arizona Short-Term Rental Rules

Overview

Arizona is relatively permissive toward short-term rentals compared with the rest of the country. Arizona is one of only 2 states that preempts local STR bans, meaning a city or county generally can't outlaw short-term rentals outright even if it wants to. There's no statewide STR license requirement, though local permits may still apply. The average occupancy tax here, 12.14%, runs well above the roughly 10% national average. Arizona law (A.R.S. § 9-500.39) preempts local governments from banning STRs entirely, though cities can regulate noise, safety, and nuisance. State TPT (transaction privilege tax) applies. Cities may add lodging taxes. HOAs may still restrict rentals.

Key Facts

Tax Registration

What "the Platform Collects Tax for You" Actually Means

Airbnb and VRBO automatically collect and remit state and sometimes county-level lodging tax in most markets — but "most" is doing a lot of work in that sentence. City-level occupancy tax, local tourism assessments, and short-term rental registration fees are very often left to the host to file separately, and the platforms will tell you exactly that in their tax settings if you look. Don't assume you're covered just because a line item shows up as "taxes" on the guest's receipt — confirm with your state or city's department of revenue which taxes the platform actually remits on your behalf versus which ones remain your responsibility to register and file.