Arizona's statewide sales tax is 5.6 percent, but your total rate depends on your city and county
When you buy something in Arizona, you pay the state's base rate of 5.6 percent plus local taxes added by your county and city. That means the total you see at checkout varies by location. In Phoenix, for example, you pay 8.6 percent total. In Tucson, it's 8.1 percent. A small town in rural Arizona might charge only 6 or 7 percent. The only way to know your exact rate is to check your city or county, because even neighboring towns can differ.
Arizona does not tax groceries, prescription medicines, or most medical equipment. Some cities add extra taxes on specific items like prepared food or alcohol, so those rates can be higher than the general sales tax. If you buy online from an out-of-state seller, Arizona sales tax usually does not explore unless the seller has a physical location in the state.
Key Takeaways
- Arizona's base sales tax is 5.6 percent statewide, but your actual rate includes county and city taxes that range from 0.5 to 3 percent on top of that.
- Groceries and prescription medicines are not taxed in Arizona, but prepared food and alcohol may have higher rates in some cities.
- Your total sales tax rate depends on where you are shopping, so a purchase in Phoenix costs more tax than the same purchase in a different city.
- Online purchases from out-of-state sellers usually are not taxed unless the seller has a business location in Arizona.
How local taxes stack on top of the state rate
Arizona divides sales tax into three layers: state, county, and city. The state collects 5.6 percent. Your county then adds its own rate, which ranges from 0.5 percent to 1.25 percent depending on which county you live in. Maricopa County (which includes Phoenix) adds 0.7 percent. Pima County (which includes Tucson) adds 0.8 percent. Smaller counties add different amounts.
On top of that, your city adds its own local tax, usually between 0.5 and 2 percent. Phoenix adds 2.3 percent, which is why the total in Phoenix reaches 8.6 percent. Tempe adds 2.25 percent. Flagstaff adds 2.5 percent. A city in a rural county might add only 0.5 percent, bringing the total to around 6.6 percent. You can find your exact rate by entering your address on the Arizona Department of Revenue website or calling your city's tax office.
What items are taxed and what are not
Groceries sold in a supermarket or grocery store are not taxed in Arizona. This includes bread, milk, vegetables, meat, and canned goods. However, prepared food—anything made and ready to eat—is taxed at the full sales tax rate. A sandwich from a deli counter is taxed. A rotisserie chicken is taxed. A frozen pizza is taxed. The line between grocery and prepared food can be unclear, so ask the cashier if you are unsure.
Prescription medicines are not taxed. Over-the-counter medicines like aspirin or cold medicine are taxed. Medical equipment such as wheelchairs, crutches, and diabetic supplies are not taxed if you have a prescription. Clothing is taxed in Arizona, including shoes and accessories. Haircuts and personal services are taxed. Alcohol and tobacco are taxed at the regular sales tax rate, though some cities add extra local taxes on top of that.
Sales tax rates by major Arizona cities
| City | Total Sales Tax Rate |
|---|---|
| Phoenix | 8.6% |
| Tucson | 8.1% |
| Mesa | 8.35% |
| Chandler | 8.6% |
| Scottsdale | 8.6% |
| Glendale | 8.6% |
| Gilbert | 8.35% |
| Tempe | 8.55% |
| Flagstaff | 8.6% |
| Peoria | 8.6% |
These rates are current but can change when cities or counties adjust their local tax. Check your city's official website or the Arizona Department of Revenue to confirm the rate before making a large purchase, especially if you are buying from a different city than where you live.
The variation between cities reflects different local funding needs and voter decisions about tax rates. A city that recently voted to increase its local tax for schools or infrastructure will have a higher rate than a neighboring city that has not. Some cities also have temporary tax increases tied to specific projects, which expire after a set number of years.
Why sales tax varies so much between cities
Arizona allows each city and county to set its own local tax rate to fund schools, roads, police, and other services. This creates a patchwork of different rates across the state. A city that needs more revenue for infrastructure might charge 2.5 percent locally, while a wealthier city might charge only 1 percent. Counties do the same thing independently.
Some cities also pass temporary sales tax increases to pay for specific projects. These are usually voted on by residents and have an expiration date. When the project is complete or the vote expires, the rate drops back down. This means your rate can change from year to year, so it is worth checking occasionally if you shop in the same place regularly.
Online shopping and sales tax
If you order from an out-of-state online retailer that has no physical presence in Arizona, you typically do not pay Arizona sales tax at checkout. However, Arizona law requires you to pay use tax on those purchases when you file your state income tax return. Use tax is the same rate as sales tax for your location. Most people do not report it, but technically it is owed.
If you order from an online retailer that has a warehouse, office, or other location in Arizona, you will pay Arizona sales tax. Large retailers like Amazon, Walmart, and Target collect Arizona sales tax on orders shipped to Arizona addresses because they have physical operations in the state. Smaller online sellers may not, so the tax treatment depends on the individual seller.
Frequently Asked Questions
Do I pay sales tax on groceries in Arizona?
No. Unprepared groceries like produce, meat, dairy, and canned goods are not taxed. Prepared food such as deli sandwiches, rotisserie chicken, and hot pizza are taxed at the full rate. If you are unsure whether something counts as prepared, ask the cashier before you check out.
What is the highest sales tax rate in Arizona?
The highest rates are in cities like Phoenix, Scottsdale, Chandler, Glendale, Flagstaff, and Peoria, all at 8.6 percent. Some smaller cities or rural areas may have lower rates. The exact highest rate can shift if a city votes to change its local tax.
Do I have to pay sales tax on clothes?
Yes. Clothing, shoes, and accessories are all taxed at your local sales tax rate in Arizona. This includes items like hats, belts, and jewelry. The tax applies whether you buy in a store or online from a seller with an Arizona location.
How do I find the sales tax rate for my city?
Visit the Arizona Department of Revenue website and use their sales tax rate lookup tool, or call your city's tax office directly. You can also ask a cashier at any store in your area what the local rate is.
Do I pay Arizona sales tax on online orders from out-of-state sellers?
Usually not at checkout, but Arizona requires you to report and pay use tax on those purchases when you file your state income tax return. Use tax equals your local sales tax rate. If the online seller has a physical location in Arizona, you will pay sales tax at checkout instead.