Prescott Valley is a program city with the Arizona Department of Revenue which collects taxes on behalf of the town. Applications for a Transaction Privilege Tax (TPT) sales tax number are obtained from the ADOR in Phoenix and at the Arizona Taxes website. If the business is required to collect Transaction Privilege Tax (TPT) the tax number is required on the application for business license. Service businesses do not need a TPT number unless a taxable transaction is offered with the service. Effective January 1, 2016 the total tax rate in the town limits is 9.18% which includes 2.83% for Prescott Valley, 0.75% for Yavapai County and 5.60% for the State. The total Use tax rate is 8.43%.
Please note that Prescott Valley has a ZERO (0%) percent rate on real property rentals. No TPT tax is due on the rent collected on rentals of commercial or residential rental property located in Prescott Valley incorporated. Commercial property owners are REQUIRED to obtain a Town of Prescott Valley Business License to rent or lease commercial property but a license is not required for residential rentals.