Arizona sales tax codes and rates
Arizona's state sales tax rate is 5.6%; county and city rates come on top and are not included. A Nefin company that sells into Arizona gets 3 sales codes, each named after the line of the TPT-2 it fills, so the return's figures add up as you invoice. Purchases you owe use tax on go under AZ-029H, and Nefin works out the use tax due.
Arizona codes from the TPT-2
Each code is “AZ-” plus the line it fills on the TPT-2. Rates are the state rate only; add local rates in Settings, VAT rates, where you collect them.
| Code | What it covers | Rate |
|---|---|---|
| AZ-017H | AZ retail (017) net taxable 5.6% state (TPT-2 Column H) | 5.6% |
| AZ-D503 | AZ sales for resale (TPT-2 deduction code 503) | 0% |
| AZ-D504 | AZ interstate/foreign sales (TPT-2 deduction code 504) | 0% |
| Code | What it covers | Rate |
|---|---|---|
| AZ-029H | AZ use tax purchases, business code 029 (TPT-2 Column H) | 0% |
Arizona in the tax books
Nefin’s sales tax book has one row per invoice and one column per TPT-2 line; these are the Arizona columns and the totals worked out from them.
Sales Tax Book
Arizona - TPT-2
- [AZ-017H]Retail 017, net taxable (Col H)
- [AZ-D503]Resale (deduction 503)
- [AZ-D504]Interstate or foreign commerce (deduction 504)
Totals Nefin calculates
- [AZ-017F] Retail 017, gross receipts (Col F)Sum of the net amounts in [AZ-017H] + [AZ-D503] + [AZ-D504]
- [AZ-017J] Retail 017 tax, state 5.6% portion (Col J, county/city excluded)Net amount × 5.6%, from [AZ-017H]
Use Tax Book
Arizona - TPT-2
- [AZ-029H]Use tax 029, net taxable (Col H)
Totals Nefin calculates
- [AZ-029J] Use tax 029, state 5.6% (Col J)Net amount × 5.6%, from [AZ-029H]
Frequently asked questions
What is the Arizona sales tax rate?
The state rate is 5.6%. Counties, cities and districts may add local rates, which vary by address and are not part of these codes.
Which Arizona sales tax codes does Nefin set up?
3 sales codes from the TPT-2, for example AZ-017H (AZ retail (017) net taxable 5.6% state (TPT-2 Column H)), AZ-D503 (AZ sales for resale (TPT-2 deduction code 503)), AZ-D504 (AZ interstate/foreign sales (TPT-2 deduction code 504)).
How does Nefin handle Arizona use tax?
Book a purchase on which the vendor charged no Arizona tax under AZ-029H (AZ use tax purchases, business code 029 (TPT-2 Column H)). The bill stays at the price you paid, and the use tax book works out the tax you owe at 5.6%.
Are these Arizona codes official?
They are a starting point. Each code follows a line of the TPT-2, but check them against your return before you file, and edit them in Settings, VAT rates.