The city of Tempe will charge a 1.8
percent privilege (sales) tax on all
residential rental units within Tempe
effective Oct. 1.
Previously, the tax only applied to an
individual who owned two or more
residential rental units in Arizona with
one of the rentals located in Tempe.
To help citizens understand this new
ordinance, the Tax & License Division
will hold free, hour-long taxpayer
information seminars in City Council
Chambers at Tempe City Hall, 31 E. Fifth
Aug. 9 and Sept. 13, from 10-11 a.m., 2-3
p.m. and 7-8 p.m.
This change is one out of the
nine recommendations given to the City
Council by the Ad Hoc Rental Housing
Task Force created in June 2005 to
develop new ideas to reduce the negative
effects of rentals on single-family
For more information on this change,
call (480) 350-2955.