Licensing means any agreement between the property owner and the user of real property. Examples include commissions received for licensing space for vending and amusement game machines, pay telephones and the use of a portion of a business or property for filming movies or commercials. Tax is due on the 20th day of the month following the month in which the revenue was recognized. A person in the business of leasing, licensing or renting any non-residential land, building or space must pay tax to the city of Phoenix on the units located within the city of Phoenix. The tax rate is 1.
All payments made by the renter to, or on behalf of, the lessor are taxable.
Taxable income includes payments for property taxes, repairs, improvements, telecommunications, utilities, pet fees, nonrefundable deposits and common area maintenance charges. Utility charges if individual utility meters are installed and each tenant pays the exact amount billed by the utility company. Room charges to patients in primary care facilities. Rental to state-licensed, nonprofit primary health care facility. Primary health care facilities only include nonprofit hospitals, licensed nursing care institutions, licensed residential care institutions or licensed kidney dialysis centers.