How to Transact Business in Arizona

If your business is organized under the laws of another state or country and you want to transact business in Arizona, you may need to register as a foreign entity with either the Arizona Secretary of State or the Arizona Corporation Commission, depending on your business structure. (The Arizona Revised Statutes define what constitutes transacting business in Arizona.)

Note: The applicable business licenses, sales tax licenses, employee taxes and withholdings, workers compensation insurance, etc., apply to the business if your representative is your employee.

When a representative/salesman is operating as an independent contractor (not employed by the corporation), they are in business for themselves and they must be licensed as such.

Out-of-state vendors (that is, companies with no Arizona location) who make recurring sales into Arizona must register with the Arizona Department of Revenue for use tax purposes. The Arizona Department of Revenue publishes informational brochures regarding activities subject to state transaction privilege tax. 

Submit online: State TPT/Use Tax License Application (Under Businesses, click on License a New Business)

In addition to registering to operate your business in Arizona, your business activity or profession may be subject to state regulatory licenses (or permits), a state transaction privilege tax (TPT) license and/or local business/occupational licenses.

If you plan to have one or more employees within Arizona, you will be subject to both federal and state requirements. For employee information, visit the Hiring Employees and Job Training Programs section of our Checklist Program.

We encourage you to visit our website at www.azcommerce.com/smallbiz. Our free, online Checklist Program provides information on business licensing, statewide resources, certification, procurement opportunities, and much more. If you need accountant or attorney referrals, see Finding Professional Partners in our Checklist Program.
  
Additional Information:
 
Arizona Corporation Commission: Frequently Asked Questions

Arizona Revised Statutes
Title 29 – Partnership
Foreign Limited Partnerships (ARS 29-354: Transaction of business without registration)
(Foreign) Limited Liability Partnerships (ARS 29-1108: Activities not constituting transacting business)
Foreign Limited Liability Companies (ARS 29-809: Transaction of business without registration)

Title 10- Corporations and Associations
Foreign Corporations (ARS 10-1501: Authority to transact business required)
Foreign Corporations-Nonprofit Corporations (ARS 10-11501: Authority to conduct affairs required)
Foreign Professional Corporations (ARS 10-2244: Authority to transact business)

Arizona Department of Revenue Brochures: Summary of Arizona Taxes, Business Basics - A Guide to Taxes for Arizona BusinessesNexus in Arizona
 
Please identify your business/industry:





Please enter your Zip Code below to continue: