Maricopa, Arizona Raises Sales Tax by 0.50%
Maricopa, Arizona has announced a 0.50% sales tax rate increase, effective October 1, 2025. Businesses making sales in the city — whether local or remote — must update their systems to apply the new rate.
Written by Alex Lamachenka
Head of DemandGen
Published
What’s Changing
- Current city sales tax rate will increase by 0.50%
- Effective date: October 1, 2025
- Applies to both in-state sellers and remote sellers with nexus in Arizona
The change impacts all taxable retail sales made in Maricopa and will affect both point-of-sale systems and ecommerce checkouts.
Who’s Affected
- Local businesses operating in Maricopa
- Remote sellers who have economic nexus with Arizona (over $100,000 in annual sales or 200 transactions)
- Marketplace facilitators responsible for collecting on behalf of third-party sellers
Why It Matters
- Compliance deadlines: Sellers must ensure rates are updated by October 1 to avoid under-collection or penalties
- Customer pricing: The increase may affect order totals for Maricopa buyers, which should be communicated clearly
- Multi-jurisdiction complexity: Local rate changes like this underscore the difficulty of keeping tax tables accurate without automation
What Sellers Should Do
- Update your tax tables and checkout systems before October 1
- Confirm POS and ecommerce platforms are applying the new Maricopa rate
- Consider sales tax automation with TaxCloud to handle ongoing local rate changes across Arizona and beyond
Other US Sales Tax Updates
Illinois eliminates 200-transaction economic nexus threshold
Starting Jan 1, 2026, Illinois will drop its 200-transaction nexus test. Remote sellers need only track $100,000 in sales to trigger obligations.
Kentucky confirms AI-powered software remains taxable for sales tax
In Kentucky, software that includes artificial intelligence features is still taxed as prewritten computer software. Adding AI functionality does not change its tax status.
Utah expands sales tax to streaming, SaaS, and subscription services in 2026
Starting July 1, 2026, Utah taxes streaming services, digital subscriptions, and seller-hosted software, including SaaS. Learn how the new rules affect businesses selling digital products in Utah.