Residential Rental in Paradise Valley
Residential Rental Licensing and Registration
In 2017, the Arizona State Legislature enacted A.R.S. §9-500.39 which preempts local authorities, including Paradise Valley, from regulating short-term rentals based solely on their classification or use. Consequently, these rentals are allowed by state law. Additionally, long-term rental (greater than 30-days) is permitted under Section 1004 of the Town of Paradise Valley Zoning Ordinance. Whether the property is rented short-term or long-term, the entire property must be rented as a whole. Accessory buildings may not be leased, subleased, or rented separate and apart from the main building and no main building may be leased, subleased, or rented separate and apart from an accessory building.
Responsible Party Registration - Paradise Valley
Before renting a property within the Town of Paradise Valley, the owner shall provide the name and contact information of a person designated as an emergency contact, as well as contact information for the owner or owner’s designee who is responsible for responding to complaints in a timely manner. Click the Register button to register a new property or update an existing registration.
Tax Licensing - Arizona Department of Revenue
The Town of Paradise Valley levies a privilege tax on the gross business receipts derived from the rental residential properties. Owners are required to apply for a Transaction Privilege (Sales) Tax (TPT) License from the Arizona Department of Revenue (ADOR) and post their license number on each online market place advertisement. Even though online market place websites will remit taxes to ADOR on your behalf, owners are still required to file a tax return showing the gross receipts received from the online market place with a deduction equal to the amount received from the online market place.
If you rent your property for more than 30 consecutive days, the gross receipts from the rental are subject to a 1.65% tax (Code 045).
Short-term (vacation) Rental
If you rent your property for less than 30 consecutive days, the following local taxes apply: Transient Lodging (Bed) Tax 3.4% (Code 144) and additional tax on lodgings 2.50% (Code 044). Maricopa County Transient Lodging taxes also apply. See https://azdor.gov/transaction-privilege-tax/tax-rate-table for more information.
Go to AZTaxes.gov to apply for a Transaction Privilege License
- DOR Bulletin Online Lodging Marketplace Guidance Updated July 2019 (OLM Operators, owners, and Property Managers must list their Transaction Privilege Tax License number on each online advertisement.)
- DOR Bulletin Explaining Residential Rental Requirements
- DOR Fact Sheet - Online Lodging Marketplace
- DOR Information on Registration for Property Management Companies
Rental Property Registration - Maricopa County
All rental units, including vacation and short term rentals, shall be registered with Maricopa County in accordance with ARS 33-1902