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Arizona · United States
Active
Last updated: 2026-08-27  ·  Last verified: 2026-08-27  ·  Region: US

At a Glance — Statewide Airbnb & STR Rules

RuleDetails
Regulatory StatusPermitted with registration
Permit / License RequiredNo statewide short-term rental licence exists. Arizona requires a state Transaction Privilege Tax licence for transient lodging (A.R.S. Sections 42-50
Tax RateTransaction privilege tax applies under the transient lodging classification; the combined state, county and municipal rate depends on the property lo
Permit FeeState Transaction Privilege Tax licence: $12 per location, renewed annually. A local permit or licence fee is capped by state law at the actual cost o
PenaltiesState law sets the civil penalties a local government may impose for verified violations at the same property within a twelve-month period: up to $500
Primary Residence RequiredNo, except where the property contains an accessory dwelling unit for which a certificate of occupancy was issued on or after 14 September 2024; in th
Occupancy LimitNot set by statewide law. A 2026 bill proposing a statewide overnight occupancy cap did not become law.
Browse all 14 STR regulations in Arizona → Browse all 550 STR regulations in United States →

Statewide Airbnb & Vacation Rental Regulation Overview

Statewide Short-Term Rental Regulations Overview

Short-term rental operations in Statewide, Arizona are permitted under an active regulatory framework as of 2026. Hosts operating on Airbnb, VRBO, or other vacation rental platforms must obtain proper licensing: No statewide short-term rental licence exists. Arizona requires a state Transaction Privilege Tax licence for transient lodging (A.R.S. Sections 42-5005 and 42-5070), obtained from the Department of R. The associated permit fees are State Transaction Privilege Tax licence: $12 per location, renewed annually. A local permit or licen.

Tax Requirements for Airbnb Hosts in Statewide

Short-term rental operators in Statewide should be aware of these tax obligations: Transaction privilege tax applies under the transient lodging classification; the combined state, county and municipal rate depends on the property location. There is no single statewide short-term rental rate.. Yes - a Transaction Privilege Tax licence from the Arizona Department of Revenue is required for every short-term lodging location, and proof of compl.

Hosting Rules and Restrictions in Statewide

Key operational rules for vacation rental hosts in Statewide include: Primary residence requirement: No, except where the property contains an accessory dwelling unit for which a certificate of occupancy was issued on or . Occupancy limit: Not set by statewide law. A 2026 bill proposing a statewide overnight occupancy cap did not become law..

Zoning and Location Requirements in Statewide

Zoning considerations for short-term rentals in Statewide: A city, town or county may not prohibit short-term rentals and may not restrict their use or regulate them based on their classification, use or occupancy, except through the specific carve-outs the s. Density rules: Not permitted at statewide level. Local governments may not restrict short-term rentals on the basis of their use as short-term rentals.. Insurance: A local government may require liability insurance of at least $500,000 in the aggregate, or adverti.

Penalties for Non-Compliance in Statewide

Hosts who fail to comply with Statewide's short-term rental regulations may face enforcement action. State law sets the civil penalties a local government may impose for verified violations at the same property within a twelve-month period: up to $500 or one night's advertised rent for a first violat.

Platform Obligations in Statewide

Platform obligations for services like Airbnb, VRBO, and Booking.com operating in Statewide: An online lodging marketplace registered with the Arizona Department of Revenue under A.R.S. Section 42-5076 collects and remits transaction privilege tax on the transactions it processes; the owner r.

Full Regulatory Details

Regulatory Status
Active
License / Registration
No statewide short-term rental licence exists. Arizona requires a state Transaction Privilege Tax licence for transient lodging (A.R.S. Sections 42-5005 and 42-5070), obtained from the Department of Revenue at a fee of $12 per location and renewed annually. Cities, towns and counties may require a separate local permit or licence.
Tax Registration
Yes - a Transaction Privilege Tax licence from the Arizona Department of Revenue is required for every short-term lodging location, and proof of compliance with A.R.S. Section 42-5005 may be required on a local permit application.
Permit Fee
State Transaction Privilege Tax licence: $12 per location, renewed annually. A local permit or licence fee is capped by state law at the actual cost of issuing it or $250, whichever is less (A.R.S. Sections 9-500.39(B)(5)(f) and 11-269.17(B)(5)(f)).
Primary Residence Rule
No, except where the property contains an accessory dwelling unit for which a certificate of occupancy was issued on or after 14 September 2024; in that case a local government may require the owner to reside on the property.
Occupancy Limit
Not set by statewide law. A 2026 bill proposing a statewide overnight occupancy cap did not become law.
Tax Rate
Transaction privilege tax applies under the transient lodging classification; the combined state, county and municipal rate depends on the property location. There is no single statewide short-term rental rate.
Zoning Restrictions
A city, town or county may not prohibit short-term rentals and may not restrict their use or regulate them based on their classification, use or occupancy, except through the specific carve-outs the statutes allow.
Density Rules
Not permitted at statewide level. Local governments may not restrict short-term rentals on the basis of their use as short-term rentals.
Insurance Required
A local government may require liability insurance of at least $500,000 in the aggregate, or advertising through an online lodging marketplace that provides equal or greater primary coverage.
Platform Obligations
An online lodging marketplace registered with the Arizona Department of Revenue under A.R.S. Section 42-5076 collects and remits transaction privilege tax on the transactions it processes; the owner remains ultimately liable and must report direct bookings. Where a local permit is required, the permit number must appear in every advertisement.
Compliance Notes
Arizona preempts local prohibition of short-term rentals. A.R.S. Section 9-500.39 governs cities and towns and A.R.S. Section 11-269.17 governs counties; the two are parallel. Local governments may still regulate for public health and safety, apply generally applicable nuisance, noise, property maintenance and zoning rules, prohibit non-residential uses such as special events, retail, restaurant and banquet use, require an emergency contact reachable at any hour, require a permit or licence, require notification of adjacent neighbours, require the permit number in advertisements, require liability insurance, and impose owner-residency where an accessory dwelling unit is involved. A permit application may request only the six items the statutes list, and a local government must issue or deny within seven business days. The statutes list the grounds on which a permit may be denied.
Effective Date
Current text as amended by Laws 2025, Chapter 217 (HB 2928). The accessory dwelling unit provision applies to certificates of occupancy issued on or after 14 September 2024.
Key Notes
['Local governments may not prohibit short-term rentals', 'Local permit or licence fee capped at $250 or actual cost, whichever is less', 'Permit must be issued or denied within seven business days', 'Civil penalties: up to $500 / $1,000 / $3,500 for first, second and third verified violations', 'Local suspension of up to twelve months after three verified violations in twelve months', 'State TPT licence required through the Department of Revenue; no statewide STR licence', 'Non-residential use (special events, retail, restaurant, banquet) prohibited by state law']
Penalties
State law sets the civil penalties a local government may impose for verified violations at the same property within a twelve-month period: up to $500 or one night's advertised rent for a first violation, up to $1,000 or two nights' rent for a second, and up to $3,500 or three nights' rent for a third and any subsequent violation, whichever is greater in each case. Multiple violations arising from one incident response count as one violation. A local government that requires a permit must allow suspension for up to twelve months after three verified violations in twelve months, or after a single violation involving a felony, a serious physical injury or wrongful death, housing a sex offender or sober living home, or knowingly allowing prohibited non-residential use. A rental that fails to apply within thirty days of a permit process becoming available must cease operating and may be fined up to $1,000 per month.
Additional Context
A verified violation means a finding of guilt or civil responsibility that has been finally adjudicated; an unadjudicated complaint does not count. HB 2429, which would have capped overnight occupancy statewide and extended the suspension window to twenty-four months, did not become law in the 2026 session.
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Frequently Asked Questions

Is Airbnb legal in Statewide?

Yes, Airbnb and short-term rentals are legal in Statewide with proper registration and permits. Arizona preempts local prohibition of short-term rentals. A.R.S. Section 9-500.39 governs cities and towns and A.R.S. Section 11-269.17 governs counties; the two are parallel. Local governments may st

Do you need a permit for Airbnb in Statewide?

Yes. Statewide requires the following for short-term rental operation: No statewide short-term rental licence exists. Arizona requires a state Transaction Privilege Tax licence for transient lodging (A.R.S. Sections 42-5005 and 42-5070), obtained from the Department of Revenue at a fee of $12 per location and renewed annually. Cities, towns and counties may require a s.

What taxes apply to short-term rentals in Statewide?

Short-term rental hosts in Statewide are subject to the following tax obligations: Transaction privilege tax applies under the transient lodging classification; the combined state, county and municipal rate depends on the property location. There is no single statewide short-term rental rate..

What are the penalties for illegal Airbnb hosting in Statewide?

Hosts who operate without proper permits in Statewide may face enforcement. State law sets the civil penalties a local government may impose for verified violations at the same property within a twelve-month period: up to $500 or one night's advertised rent for a first violation, up to $1,000 or two nights' rent for a second.

What are the key STR compliance requirements in Statewide?

['Local governments may not prohibit short-term rentals', 'Local permit or licence fee capped at $250 or actual cost, whichever is less', 'Permit must be issued or denied within seven business days', 'Civil penalties: up to $500 / $1,000 / $3,500 for first, second and third verified violations', 'Local suspension of up to twelve months after three verified violations in twelve months', 'State TPT

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