The Arizona Department of Revenue has established a dedicated webpage to assist property management companies (PMCs) and property owners. The new web content provides PMCs and residential rental property owners with resources on the licensing requirements, a step-by-step guide on TPT licensing, and other information regarding residential rental transaction privilege tax (TPT).
The special website section compliments the announcement and development of an enhanced filing process for PMCs, under a new TPT electronic filing program. ADOR’s Residential Rental E-Solution for PMCs, designed to improve the TPT filing and payment process for PMC on behalf of their client property owners, will be in place by the start of 2018.
Also starting with the January 2018 reporting period, PMCs will no longer be permitted to report and remit TPT using their own TPT license on behalf of client property owners. All taxes must be filed and remitted using the individual property owner’s TPT licenses. In order to participate in the new E-Solution, PMCs will need to complete the Property Management License Application.
In order to obtain TPT licenses for individual property owners, a PMC with a Power of Attorney and Memorandum of Understanding on file with ADOR should submit a Residential Rentals ONLY Application on behalf of client property owners.
More information on Residential Rental TPT