Internal Revenue Service

Arizona Department of Revenue

  • Collects state employer payroll withholdings and sales taxes.
  • Arizona Joint Application registers your firm with both Arizona Department of Revenue for withholding and sales taxes and Arizona Department of Economic Security for Unemployment Taxes.

Arizona Department of Economic Security

  • Collects state unemployment taxes.
  • S and C Corporation owners are required to pay unemployment taxes on their income.
  • Employer Handbook

Workers’ Compensation Insurance

City Business Licenses

  • Many cities require business licenses even for home based businesses that will never collect sales taxes.
  • Closely check zoning restrictions that apply to your business.  As an example, the city of Phoenix specifically prohibits home based barber shops/salons and dog grooming.
  • Links to business license and sales tax information: