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Taxes & Financing

State Taxes

  • No Property Tax on Business Inventories
  • No Corporate Franchise Tax
  • No Sales Tax on Manufactured Goods
  • No Tax on Raw Materials, Finished Products or Parts
  • Arizona Sales Tax is 5.6% (Effective June 1, 2001)
  • Corporate Income Tax is 6.968%, minimum $50
  • No Transaction Privilege and Use Tax on income producing capital equipment. Lookup Section 4-1-110 in the City of Prescott Sales Tax Code.

Local Taxes

  • Property Tax for Commercial and Industrial Property is based on an assessment of 25% of the full cash value
  • City of Prescott Sales Tax is 2%
  • Yavapai County Sales Tax is 0.7%
  • Prescott has the lowest property tax in the tri-city area.

Payroll Taxes

  • Unemployment Insurance is jointly financed through Federal and State employer payroll taxes.
  • Average employer contribution rates for unemployment insurance available on link below.
  • Follow the U.S. Department of Labor & Arizona Employment Security website links below for more information.
  • Average workers compensation cost is available on the link below.
  • The Arizona State Compensation Fund provides information for employers on the link below.

Tax Links

Financing

  • SBA 504 Loans
  • Grant Opportunities through State Economic Strength Project Funds
  • Used for street infrastructure only
  • Conventional Loans
  • Farmers Home Administration
  • National Banking Facilities Available Locally
  • Bank of America
  • National Bank
  • Wells Fargo Bank