This Just In...
DO YOU OWN RENTAL PROPERTY?
If you own three or more residential units or lodging spaces or one commercial unit in the state, you are considered to be in the business of renting real property.Â As such, you will need a city of Scottsdale Privilege Tax License and will be required to remit 1.65 percent tax to the City on the gross rental income from any Scottsdale properties.
If a "broker" manages any of your properties, the broker will need to be licensed and remit the tax on your behalf.Â In addition, rental transactions between related companies or persons are taxable by the city.
For further information on the city's Tax Code and privilege tax licensing requirements, visit http://www.scottsdaleaz.gov/taxes.asp
Â or call (480) 312-2400
Stew Keene - Home Smart Realty - Scottsdale and North Phoenix Area Specialist