Arizona Tax ID Numbers: EIN, TPT Licence Number, Withholding and DES Account Compared
Arizona Tax ID Numbers: EIN, TPT Licence Number, Withholding and DES Account Compared
Within a few weeks of forming a business in Arizona, you will be asked for a string of numbers: a federal EIN, a Transaction Privilege Tax (TPT) license number, and a Department of Economic Security (DES) unemployment insurance account number. Many people search for an “Arizona tax ID number” or “Arizona state tax ID” expecting one number that covers everything. Arizona does not issue one. This guide explains what each number does, where it comes from, and which one a bank, supplier or vendor is most likely to ask for.
This article is informational content, not legal or tax advice. Confirm current details on the agency pages linked below, and talk to a CPA or attorney if your ownership, payroll or licensing situation is complicated.
Arizona has no separate state tax ID
There is no Arizona-issued number that replaces the federal Employer Identification Number (EIN). The Arizona Department of Revenue (ADOR) uses your federal EIN for income tax withholding, and it cannot process your state registration without one. Arizona then issues its own account numbers for specific programs. The two you will use most are the TPT license number from ADOR and the unemployment insurance account number from DES.
When someone asks for your “Arizona state tax ID,” they almost always want the EIN. If the question is about sales tax, the answer is the TPT license number. Knowing which one is which saves you a call back to the bank or the vendor.
Start with the federal EIN
The EIN is the foundation for everything else. The IRS assigns it, and it is a 9-digit number. You need it before you can register with Arizona, and you will use it for your business bank account, for payroll setup, and on most vendor and supplier forms. Apply through the IRS at irs.gov, then keep the IRS confirmation letter with your formation records.
Use the exact legal name you filed with the Arizona Corporation Commission. If the name on the EIN does not match your Articles of Organization or Articles of Incorporation, you will have to sort out the mismatch with the bank, ADOR and DES later, and that is slower than getting it right the first time.
One application, two state agencies: the Joint Tax Application
Arizona uses one form for most new employers and sellers: the Arizona Joint Tax Application, form JT-1/UC-001. You file it online through AZTaxes.gov, and a single submission registers your business with two agencies:
- ADOR, for income tax withholding and Transaction Privilege Tax (TPT)
- DES, for unemployment insurance (UI)
The order is fixed. ADOR cannot process the Joint Tax Application without an EIN, so get the EIN first, then file the JT-1/UC-001. Confirm current processing times with ADOR and DES before you commit to a launch date or a first sales day, because neither agency ties its timing to the other.
The TPT license number
The TPT license number is an 8-digit number issued by ADOR. Arizona has no general state business license, so the TPT license is a tax license. It is required for retail sales and other taxable business classifications, and it carries a $12 fee per location. Each location that is taxable needs its own license.
You will find the number in two places. It appears on the license certificate, and it is listed in AZTaxes.gov under Business Details. You must include it on every TPT return and every payment you make. Treat it as the identifier for your sales tax account.
Arizona’s combined state sales tax rate is 5.6 percent on retail and most other taxable classifications, and county and city rates apply on top of that. Because local rates vary, check with ADOR and your city for the rate that applies at your address before you quote prices.
Withholding: the EIN does the work
Arizona has no separate withholding number. If you have employees, you report state income tax withholding under your federal EIN, and you register for it through the same Joint Tax Application. You will not receive a new withholding ID to memorize.
Withholding is not your only state income tax exposure. Arizona’s individual income tax is a flat 2.5 percent for all income levels and filing statuses. If your LLC is taxed as a pass-through entity, its members pay that tax on their share of income. Check with ADOR about your withholding filing frequency and deposit schedule, since those depend on your payroll size and are not covered here.
The DES unemployment insurance account number
The DES unemployment insurance account number is a separate 8-digit number. It is not on the Joint Tax Application confirmation. DES mails a Determination of Unemployment Insurance Liability after it processes your application, and the account number appears on that document. Keep that letter with your records, because it is the document you will be asked to show when someone questions your UI status.
Whether your business is liable for unemployment insurance depends on the wages you pay, so do not assume the determination will match what you expect. If the letter looks wrong, contact DES directly and do not ignore it.
The four numbers compared
| Number | Issued by | Format | Where to find it | Usually requested for |
|---|---|---|---|---|
| Federal EIN | IRS | 9 digits | IRS confirmation letter | Bank accounts, W-9 forms, vendor setup, every Arizona registration |
| Withholding account | ADOR (uses the EIN) | No separate number | Registered under your EIN through the Joint Tax Application | Payroll filings and employer income tax questions |
| TPT license number | ADOR | 8 digits | License certificate, or AZTaxes.gov under Business Details | Resale or sales tax questions, every TPT return and payment |
| DES UI account number | DES | 8 digits | Determination of Unemployment Insurance Liability mailed by DES | Unemployment insurance filings and UI status questions |
Which number banks, suppliers and vendors ask for
For most business relationships, the answer is the EIN, usually with a completed Form W-9. A bank opening a business account will ask for the EIN and your formation documents. A supplier setting up a vendor account will ask for the EIN and the W-9.
The TPT license number comes up when a vendor asks about resale or sales tax, or when a form asks for your sales tax account. Give it only when the form calls for it. Do not hand out the DES account number to a bank or supplier, since they rarely need it and it belongs with your UI records.
Multiple DBAs under one entity
Many owners operate under more than one name. A DBA, or trade name, is registered with the Arizona Secretary of State, Business Services Division, through its trade name process at azsos.gov/business/tntm. Trade name registration is optional in Arizona. It is separate from the entity filing with the Corporation Commission, so registering a trade name does not form a company.
One LLC with one EIN can operate several DBAs, and those DBAs can share one TPT license. You do not need a separate EIN or a separate license for each name. Check with ADOR whether each DBA needs to be reflected in your AZTaxes.gov account before you start selling under it.
Other filings that are not tax numbers
Several Arizona records look like identifiers but do not replace the numbers above. Keep them separate in your files.
- Corporation Commission records. The Arizona Corporation Commission files LLC and corporation documents at azcc.gov/corporations. Arizona LLCs file no annual report. For-profit corporations must file an annual report, which carries a $45 fee.
- Registrar of Contractors. If you do construction work, the Registrar of Contractors licenses contractors separately. That contractor license is not a tax number.
- City business licenses. Arizona counties issue no general business license, but many cities require their own business or TPT license on top of the state license. Check with your city before you open, because the requirement differs by location.
Order of operations
- Form your entity with the Arizona Corporation Commission if you have not already.
- Apply for your federal EIN with the IRS.
- File the Arizona Joint Tax Application (JT-1/UC-001) through AZTaxes.gov.
- Receive your TPT license number from ADOR if your business has taxable sales, and pay the $12 fee for each location.
- Watch for the DES Determination of Unemployment Insurance Liability, and store it with your records.
- Register any DBA with the Secretary of State if you plan to use one.
- Check with your city about any local business or TPT license.
Where to confirm details
Rates, processing times and filing requirements change. Before you rely on any figure in this guide, check the current source. ADOR publishes the TPT license and withholding requirements at azdor.gov. The Secretary of State handles trade names, and the Corporation Commission handles entity filings. For a payroll schedule, a multi-location setup, or an unusual ownership structure, check with ADOR and DES directly, and consider a CPA or attorney who works with Arizona businesses.
Disclaimer: This article is informational content about Arizona tax identification numbers. It is not legal, tax or accounting advice, and reading it does not create a professional relationship. Verify every number, deadline and requirement with the agency that administers it before you act, and consult a qualified professional for your specific situation.