Renting, Leasing, Licensing for Use of Real Property (includes commercial buildings, apartments, homes or other residential units)

Renting, Leasing, Licensing for Use of Real Property (includes commercial buildings, apartments, homes or other residential units)

Commercial Real Property

If you plan to operate or conduct a business that rents or leases the use or occupancy of commercial real property, you may be subject to transaction privilege (sales) tax/licensing under the Commercial Lease classification. For more information, see section below titled, "Engaging in activities subject to transaction privilege (sales)/use tax" or click here.

Examples include, but are not limited to, the following: renting space to vendors at special events, banquet halls, factories, farm land, meeting rooms, office buildings, parking and storage facilities, rights-of-way, stores, etc.

If you plan to be the owner or managing agent of a self-service storage facility and want to be able to offer or personally sell property insurance in connection with and incidental to the rental of space at a self-service storage facility, you must hold a Self Service Storage Agent license. (24)

Contact: Arizona Department of Insurance and Financial Institutions (DIFI), Insurance Licensing Section: Self Service Storage Agent, 602.364.4457 

Residential Real Property

If you plan to be in the business of leasing or renting residential real property, you may be subject to transaction privilege (sales) tax/licensing under the Residential Rental classification. For more information, see section below titled, "Engaging in activities subject to transaction privilege (sales)/use tax" or click here.

Examples of residential rentals include: houses, apartments, manufactured homes, mobile home (trailer) spaces, etc.

In addition to the transaction privilege tax licensing requirements, an owner of residential rental property shall maintain with the assessor in the county where the property is located information required by state statute in a manner to be determined by the assessor. A listing of links to county websites is available on the Arizona Association of Counties’ website. (24)