ACH Debit Payment Banking Transition
ADOR has transitioned ACH Debit payment banking services to JP Morgan Chase. If you are a JP Morgan Chase customer, you’ll need to contact your bank to provide the new Company ID: 9031897000 to ensure that all ACH debit transactions process as expected.
TPT 2026 Electronic Annual Estimated Tax Payment
You are required to make an annual estimated tax payment for transaction privilege, telecommunications services excise, and county excise taxes if your combined tax liability for these taxes in the preceding calendar year was $4,100,000 or more.
Deadline
The statutory due date for the annual estimated tax payment is June 22.
How do I calculate my payment?
There are two methods available to calculate your June estimated payment:
One half of the actual tax liability from the month of May, or
The actual tax liability from June 1 through June 15.
Electronic payments
Taxpayers required to pay electronically may be subject to penalties for payments made by check or cash.
To file and pay online, a business must be registered on AZTaxes.gov and use ACH debit, e-check, or credit card as a payment method to comply with electronic funds transfer (EFT) payment requirements.
Waste Tire Fee Increase
Businesses that sell new tires should be aware of upcoming changes to the fee imposed on the sale of new motor vehicle tires.
This includes:
New car and truck dealers.
Automotive parts stores that sell new motor vehicle tires.
Automobile repair and body shops that sell new motor vehicle tires.
Boat dealers that sell new trailers or new trailer tires.
Dealers of new golf carts or new golf cart tires.
Department stores with automotive departments that sell new motor vehicle tires.
Dealers of new heavy equipment that is operated on the roads.
Dealers of new mobile homes.
Dealers of new motorcycles.
Dealers of new RVs.
Dealers of new trailers that are used on the roads.
Truck stops that sell new motor vehicle tires.
Tire dealers that sell new motor vehicle tires.
Wholesalers who sell new motor vehicle tires to used motor vehicle dealers.
The current fees remain in effect through June 30, 2026:
The waste tire fee is 2% of the sales price of each new tire, up to a maximum of $4.66 per tire. All new tires sold as part of the sale of a new motor vehicle are subject to the fee, even if the vehicle is sold with specially-purchased tires.
For new tires sold with a new motor vehicle with a gross weight under 10,000 pounds, if the sales price of the tires is not separately stated, the fee is $2.33 per tire. If the price is separately stated, the waste tire fee is 2% of the sales price of each new tire, up to a maximum of $4.66 per tire.
For new tires sold with a new motor vehicle with a gross weight of 10,000 pounds or more, the fee is $4.66 per tire.
The new fees become effective on July 1, 2026:
The waste tire fee is 2% of the sales price of each new tire, up to a maximum of $4.73 per tire. All new tires sold as part of the sale of a new motor vehicle are subject to the fee, even if the vehicle is sold with specially-purchased tires.
For new tires sold with a new motor vehicle with a gross weight of 10,000 pounds or more, the fee is $4.73 per tire.
On July 1 each year, the fees will be adjusted based on a formula established by the Arizona Department of Environmental Quality pursuant to A.A.C. R18-13-2022.
The website and related forms will be updated to accommodate the new fee structure. Letters are being sent to businesses to notify them of the change and their obligation to update their point-of-sale systems to begin collecting and remitting the revised fee.
Businesses should update point-of-sale systems to account for the increased fee effective July 1, 2026. These fees should be remitted to the Arizona Department of Revenue on a quarterly basis by filing Form TR-1, Motor Vehicle Waste Tire Fee.
Amending a TPT Return
To amend a previously filed Form TPT-2, you must mark the “Amended Return” box. The amended return will replace the previously filed return. Include all lines present on the original return, even if there are no changes to those lines.
An amended return that results in a refund or credit must be filed within four years of the original return due date or four years from the date the original return was filed, whichever date is later. A taxpayer may not use an amended return to change the application of a claimed estimated tax payment.
There may be times that you file your return but submit a payment at a later date. Make payments online for quicker service. Please do not submit your return again with a paper payment. Instead, include your transaction privilege tax license number, EIN, or SSN in the memo with the previous filing period to match the return.
Guest Credit/Debit Card Payment Option
AZTaxes allows secure access for taxpayers to make individual income tax payments 24 hours a day/7 days a week.
Businesses can make a transaction privilege tax (TPT)/use tax credit or debit card payment as a Guest using the Quick Links menu on the AZTaxes homepage. Businesses need to know their license number and business mailing zip code.
Businesses are not required to log in to their AZTaxes account to make a quick payment. Please note: Only registered business users can make an e-check payment. Service charges may apply.
Deduction Rejection
TPT returns are commonly rejected or held due to deduction errors. Deductions listed in the Schedule A of the TPT return must be complete and must match the Transaction Detail deductions to be allowed. Please ensure calculations are correct and that all information has been included.
The city or region code listed on the Transaction Detail page matches the city/region codes on the Schedule A deduction details.
The deduction code claimed on the return is applicable to the business code reported. Deductions can only be claimed for an allowable business class activity.
The Schedule A deduction amounts equal the amount entered on the Transaction Details page.
The deduction code matches the deduction description on Schedule A.
If you receive a notice indicating information is missing or not matching on the return, please submit an amended return with necessary corrections. Otherwise, please pay the balance indicated on the correspondence by the due date to avoid additional penalties and interest.
Remember, filing returns on AZTaxes.gov ensures these calculations are always accurate and helps avoid return errors.
For a step-by-step guide on how to complete a transaction privilege tax return, see the TPT Tutorials web page.
TPT Filing Facts
To avoid receiving a bill, ADOR recommends sending your return with all applicable fees and payments included.
An estimated TPT payment is due June 22 if the business’ anticipated tax liability is $4,100,000 or more in 2026.
There are two different types of AZTaxes users: Primary and Delegate. For assistance on primary and delegate access, see AZTaxes User Access.
If your business is adding a location to an existing license, file a Business Account Update form.
Due Date Reminders
TPT Filing Frequency and Due Dates*- Monthly
If you’re a TPT filer, keep the following May TPT filing deadlines in mind:
June 22 - TPT return due date.
June 29 - Paper returns must be received at ADOR by this date.
June 30 - Electronic return filed in AZTaxes must be submitted before 11:59 p.m. on this date. Electronic payment made in AZTaxes must be submitted before 11:59 p.m. on this date.
*The electronic due date for TPT return is dependent on the return and payment being timely and filed electronically.
Tax Changes
Town of Florence - Effective Date of July 1, 2026
On March 17, 2026 the Mayor and Council of the Town of Florence passed ordinance 780-26 providing an increased tax rate on multiple Privilege Tax business classifications and Use Tax from two percent (2%) to three and one-half percent (3.5%) and an increased rate on the Hotel/Motel (Additional Tax) from two percent (2%) to five percent (5%). Providing for Severability.
The (3.50%) affects the following business classifications:
Advertising (018); Amusement (012); Job Printing (010); Manufactured Buildings (027); Timbering and other Extraction (020); Publication (009); Hotels (044); Commercial, Rental, Leasing, and Licensing for Use (213); Rental, Leasing, and Licensing for Use of TPP (214); Restaurant and Bars (011); Retail Sales (017); MRRA Amount (315); Communications (005); Transporting (006); Utilities (004); Use Tax Purchases (029); Use Tax from Inventory (030).
Medical and Adult Use Marijuana:
Adult Use Marijuana Retail Sales (420); Medical Marijuana Retail Sales (203); Retail Sales (Accessories and Ancillary Products) (017); Use Tax Purchases (029); Use Tax From Inventory (030); Medical Marijuana Restaurant (221); Adult Use Marijuana Restaurant (421).
Remote Seller and Marketplace Facilitators:
Retail Sales (605); Marketplace Facilitators in AZ Third Party Sales (605); Marketplace Facilitators in Arizona Retail Sales (017).
The (5.00%) affects the following business classifications:
Hotel/Motel (Additional Tax) (144).
City of South Tucson - Effective Date of July 1, 2026
On April 21, 2026 the Mayor and Council of the City of South Tucson passed ordinance 26-01 decreasing retail sales – food for home consumption from one and one-half percent (1.5%) to zero percent (0.0%), and providing for Severability.
The (0.00%) affects the following business classifications:
Retail Sales Food for Home Consumption (062).
Remote Seller and Marketplace Facilitators:
Retail Sales Food for Home Consumption (606); Marketplace Facilitators in Arizona Retail Sales Food for Home Consumption (062); Marketplace Facilitators in Arizona Third Party Sales Food for Home Consumption (606).
Cochise County - Effective Date of July 1, 2026
On November 4, 2025, the Cochise County Jail District Excise tax was voted on as part of a Special Election ballot. Following voter approval, the Board of Directors adopted Jail District Resolution No. 25-04, which reinstates the one-half cent (0.5%) excise tax on most eligible transactions. The tax will continue until the earlier of 90 days after the Jail District debt is fully paid or on July 1, 2043.
Town of Huachuca City - Effective Date of August 1, 2026
On May 28, 2026, the Mayor and Council of the Town of Huachuca City passed Ordinance No. 2026-06 providing an increased tax rate on multiple Privilege Tax business classifications and Use Tax from one and nine-tenths percent (1.9%) to two and nine-tenths percent (2.9%), and Rental, Leasing and Licensing for Use of Real Property from one percent (1%) to two and nine-tenths percent (2.9%). Providing for Severability.
The (2.9%) affects the following business classifications:
Advertising (018); Amusement (012); Contracting-Prime (015); Contracting-Speculative Builders (016); Feed at Wholesale (116); Job Printing (010); Manufactured Buildings (027); Timbering and other Extractions (020); Publication (009); Hotels (044); Commercial, Rental, Leasing, and Licensing for Use (213); Rental, Leasing, and Licensing for Use of TPP (214); Restaurant and Bars (011); Retail Sales (017); MRRA Amount (315); Communications (005); Transporting (006); Utilities (004); Use Tax Purchases (029); Use Tax from Inventory (030).
Medical and Adult Use Marijuana:
Medical Marijuana Retail Sales (203); Adult Use Marijuana Retail Sales (420); Retail Sales (Accessories and Ancillary Products) (017); Use Tax Purchases (029); Use Tax From Inventory (030); Medical Marijuana Restaurant (221); Adult Use Marijuana Restaurant (421).
Remote Seller and Marketplace Facilitators:
Retail Sales (605); Marketplace Facilitators in Arizona Retail Sales (017); Marketplace Facilitators in Arizona Third Party Sales (605).
Education, Tutorials and Training
All ADOR workshops are free of charge. Below are upcoming options available to you. To register or access online workshops, tutorials and resources, visit azdor.gov/taxpayer-education.
WORKSHOPS
ADOR Business Tax - (Via WebEx)
Wednesday, June 17, 2026
1:00 p.m. – 4:00 p.m.
Tuesday, July 7, 2026
9:00 a.m. – noon
Common TPT Errors and How to Avoid Them - (Via WebEx)
Wednesday, June 17, 2026
1:00 p.m. – 2:00 p.m.
Wednesday, July 8, 2026
10:00 a.m. – 11:00 a.m.
ADOR Business Tax - Hosted by the City of Peoria - (In-Person)
City of Peoria
Peoria City Hall
8401 W Monroe St
Peoria, AZ 85345
Thursday, June 18, 2026
9:00 a.m. – noon
ADOR Marijuana Taxation - (Via WebEx)
Tuesday, June 23, 2026
9:00 a.m. – noon
ADOR Withholding Tax for Employers and Payroll Service Providers - (Via WebEx)
Thursday, June 25, 2026
1:00 p.m. – 4:00 p.m.
ON-DEMAND TAX EDUCATION TUTORIALS: Please visit https://azdor.gov/taxpayer-education/tpt-tutorials
