Contact the License Section at:
Phone: (520) 791-4566
Fax: (520) 791-5082
Mailing address: City of Tucson License Section, PO Box 27210, Tucson, AZ, 85726-7210
Office address: Tucson City Hall, 255 W Alameda St, Tucson, AZ, 85701
Click a link below for more information about that subject:
City of Tucson business license renewals for 2019 were mailed out last November, at the end of the month. Renewal fees are $50 for most licenses, and any unpaid portions became delinquent on February 1st. The penalty for late payment or non-payment for the $50 business license renewal fee is $25, or 50% of any unpaid portion of the fee. Account statements for licenses with delinquent fees for 2019 will be mailed later in February.
If you did not pay your renewal because your business closed, or was sold, prior to January 1st, please make sure we have received your written notice to cancel the license. If you need to send us notice to cancel a license, please be sure to include your business license number, the name of the business, your name and title, the effective date of cancellation, and the reason for cancellation. This information can be sent to the License Section using the contact information at the top of this page. Regular business licenses are not canceled due to non-renewal or non-payment.
If paying a renewal by mailing a check, please use the return envelope provided, make the check payable to "City of Tucson", and include the renewal form, marked with any changes to contact information. If you are mailing a check, and do not have your renewal form or the return envelope, you may write your license number along with "License Renewal 2019" on the check, and mail to the mailing address at the top of this page.
Renewals may be paid on-line by using our e-Tax system to initiate an ACH payment request. Routing and account numbers for a valid checking or savings account must be provided, and, if normally restricted, company authorization for an ACH payment request must be granted to the City. If you choose to pay on-line, but have changes that would have been reported on the renewal form, please send those via email to the License Section at the email address provided above, and include your license number(s) and business name(s). Our e-Tax system does not support payment by using credit or debit cards.
If you are located in the Tucson area, you may pay your renewal, by cash, check, or credit card, at any of several City of Tucson cashier locations. You must have your renewal form(s) with you, or the cashier will not be able to accept payment. If you are planning to pay at the City Hall cashier station, but do not have your renewal form, you may obtain a copy of your renewal form at the Business License counter, across from the cashier station.
The City of Tucson tax rate increased effective July 1, 2017 from 2% to 2.5% for most business activities, and increased effective March 1, 2018 from 2.5% to 2.6% for those same business activities. This is especially important to note if you are an annual filer as the city tax rate has increased from the return filed for 2017.
Effective January 1, 2019, the definition of “alteration” for commercial projects will be changing. Senate Bill 1409 simplified the definition. Prior to January 2019, commercial projects that met the following three requirements were considered alteration: 1) the price of the job was less than or equal to $750,000, and 2) the project altered 40% or less of the original square footage of the structure and 3) no more than an additional 10% of the original square footage is added to the existing structure.
As of January 1, 2019, the only requirement for a commercial project to be considered an alteration is that the price of the project be less than or equal to $750,000. Commercial projects for more than $750,000 will be considered modifications and subject to the construction contracting section (19-415) of the Tucson Tax Code.
Contracts signed prior to January 1, 2019 will be subject to the three requirements listed above.
Businesses with unfiled City of Tucson returns or underpayments for periods prior to January 1, 2017 can call the Revenue Investigations Section at (520) 791-4247 for assistance with filing any missing returns during that time period and getting their account(s) up to date.
If you would like to get information about paying your annual business license renewal online, read through this document (this is a PDF file, so it is best viewed with Adobe Reader or Adobe Acrobat). It includes instructions about creating a user ID and password in our e-Tax system, and then making an ACH payment for your annual license fees.
Speculative builders and owner builders are potentially liable for city sales tax on new construction built and sold within the City. Please call Tax Audit at (520) 791-4681 to see if this could apply to you, and for more information on how to report the tax on these types of sales.
For any changes to the City of Tucson tax code, check the link to Model City Tax Code at https://modelcitytaxcode.az.gov/ .