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Phoenix Arizona Sales Tax Still Trying to Rise

The Tucson Citizen reports that the Phoenix, Arizona sales tax “…growth rate is slowing slightly—a reflection of the trend in the national economy.” So Phoenix is slowly rising out of the dust of the recession...or at least holding its own.

According to the Citizen, “Phoenix sales-tax revenue remains in recovery from the recession….” The fiscal year to date revenue collections are up 3.6 percent but May’s collections were down 0.2 percent from last year’s numbers.

The food sales tax is scheduled to sunset in March 2015 and was up nearly 5 percent. The following categories are “…considered key indicators of the health of the local economy:

  • Restaurants and bars: $1.63 million, up around 2.5 percent from $1.59 million in May 2011.
  • Retail: $11.51 million, down 1.1 percent from $11.64 million in May 2011.
  • Contracting: $1.25 million, up nearly 1.7 percent from $1.23 million in May 2011.
  • Hotel/motel: $728,000, up 4.9 percent from $694,000.

More than half of the Phoenix general fund comes from sales tax collections.

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Avalara Author
Susan McLain
Avalara Author Susan McLain
Susan McLain began her career as a technical writer in technology industries such as satellite networking and medical devices. Her skills encompass technical and marketing writing, usability engineering, verification and validation testing and protocol writing, requirements development, business analysis, technical illustration/graphic design and marketing. She has owned her own business providing service to small to medium sized business and in other positions, she has been in project management, documentation and marketing. She is currently the content specialist for Avalara helping to “make sales tax less taxing.”