How to apply for a business license
Businesses operating within the city limits are required to obtain a business license. If you are located outside the city limits and have a city of Sedona tax liability you are also required to obtain a business license.
Visit our application forms page to access the forms and instructions.
License for short-term vacation rentals
If you own a short-term vacation rental, you are required to obtain a business license; please allow 2-3 weeks for application processing. To obtain the business license, you must also obtain a transaction privilege tax license from the Arizona Department of Revenue. Short term vacation rentals are required to remit transaction privilege tax at the same rate as a hotel (transient occupancy tax). Sedona has two counties, Coconino and Yavapai, which have different tax rates.
Questions? Contact the Sedona Finance Department at (928) 204-7185 or email businesslicense@SedonaAZ.gov.
Transaction Privilege Tax
Note regarding TPT payments for tax years prior to 2016, and 2016 and after. The city of Sedona returned to the Arizona Department of Revenue for collection of our Transaction Privilege Tax effective January 1, 2016. For TPT reporting periods prior to January 2016 use the Revenue Discovery Systems tax form and submit with payment to RDS or directly to the city of Sedona. Starting with your January 2016 reporting period use the Arizona Department of Revenue tax form and submit with payment to the Arizona Department of Revenue.
Links to other resources
- Arizona Commerce Authority has a helpful online tool for sorting through the requirements to start, operate and grow a business. Visit azcommerce.com/smallbiz. The checklist tool will help you easily navigate information on what you need to know, who you need to contact and where you need to go to license your business. It also includes contact information for statewide resources and assistance to accelerate your business growth.
- Model City Tax Code. The Model City Tax Code is a document managed by the Arizona Department of Revenue. It is designed to help business owners determine which items are taxed by each individual city and town, and which items are exempt from taxation.