How to register a short-term rental in Phoenix

What Taxes Do Airbnb Hosts Need to Pay in Florida?

Phoenix, Arizona, is a top destination for travelers, making it a prime location for short-term rental (STR) property owners. To operate legally, property owners must follow specific registration steps and comply with local and state regulations. This comprehensive guide will walk you through the process of registering your short-term rental in Phoenix.

Step-by-Step Guide to Registering a Short-Term Rental in Phoenix

1. Verify Zoning Compliance

Before listing your property, confirm it complies with Phoenix’s zoning laws. Certain residential zones may have restrictions on STRs.

  • Contact the City of Phoenix Planning and Development Department to ensure your property is in an approved area for short-term rentals.

2. Apply for a Transaction Privilege Tax (TPT) License

All STR operators in Phoenix must have a Transaction Privilege Tax (TPT) License to collect and remit lodging taxes.

  • Register with the Arizona Department of Revenue (ADOR): Apply online at azdor.gov

  • Use the business code 025 for short-term rentals.

  • This license covers state, county, and local taxes.

3. Register Your Property with the City of Phoenix

Phoenix law requires all short-term rental operators to register their properties with the city.

  • Visit the Phoenix STR Registration Portal: Available on the City of Phoenix website.

  • Provide the following information:

    • Property address.

    • Owner/Operator’s contact information.

    • Proof of liability insurance.

    • Emergency contact details.

4. Obtain and Maintain Liability Insurance

Arizona requires STR owners to carry at least $500,000 in liability insurance to protect against property damage or injuries.

  • This coverage can be part of your homeowner’s policy or a separate short-term rental policy.

  • Some platforms like Airbnb offer host protection insurance, but verify if it meets the legal requirements.

5. Notify Neighbors

Phoenix requires STR owners to notify neighbors within a 300-foot radius of their property.

  • Provide your contact information and details about the rental.

  • This notification helps address any concerns and promotes good neighbor relations.

6. Display Your TPT License Number on Listings

Your TPT license number must be visible in all online advertisements and listings.

  • Platforms like Airbnb and VRBO require this number to verify your legal compliance.

7. Meet Health and Safety Standards

Ensure your rental meets Phoenix’s safety and health requirements, which include:

  • Working smoke detectors, carbon monoxide alarms, and fire extinguishers.

  • Safe and sanitary conditions throughout the property.

  • Pool safety compliance if applicable (e.g., pool fences and self-latching gates).

8. Collect and Remit Lodging Taxes

Short-term rental income in Phoenix is subject to several taxes:

  • State Transient Lodging Tax: 5.5%

  • City of Phoenix Tax: 2–3% (varies by location)

  • County Tax (Maricopa): Additional applicable taxes

  • You must collect these taxes from guests and remit them through your TPT account. Some platforms collect and remit taxes on your behalf, but it’s your responsibility to verify compliance.

Ongoing Compliance Requirements

  1. Maintain Annual Registration: Renew your city registration and TPT license every year.

  2. Emergency Contact Availability: Ensure a 24/7 emergency contact is on file with the city and shared with neighbors.

  3. Adhere to Noise Ordinances: Enforce quiet hours (typically 10 PM – 7 AM) to avoid disturbances.

  4. Report Incidents: Notify the city within 24 hours of any criminal activity or emergency on the property.

Penalties for Non-Compliance

Failure to follow Phoenix’s STR regulations can result in:

  • Fines: Up to $1,000 per day for violations.

  • License Suspension: Temporary or permanent suspension of rental operations.

  • Legal Action: Lawsuits from the city or affected neighbors.

Helpful Resources

Simplify your compliance process and protect your investment with Lodge Compliance’s tools for seamless registration, tax management, and guest safety.

👉 Request a Demo Today!