Is it allowed? (Overview)

Yes. Short-term rentals are allowed in Mesa, Arizona subject to a city Short-Term Rental License and state tax requirements. Mesa City Council adopted Mesa City Code 5‑15 (effective February 1, 2023) to regulate STRs, which defines a short‑term rental as a residential unit offered for transient use of 29 days or fewer. Only the property owner may be licensed, and a valid Arizona Transaction Privilege Tax (TPT) license that lists the specific rental unit is required to obtain and maintain the city STR license. Units located on Maricopa County “islands” that are outside Mesa’s jurisdictional boundaries are not subject to the Mesa STR license, even if the mailing address shows Mesa.

Source: Mesa STR page (MCC 5‑15); Mesa STR FAQ; AZDOR Short-Term Lodging guidance.

How to start a short‑term rental business in Mesa

1. Confirm jurisdiction
   • Use the City’s Explore Mesa map to verify your property is inside Mesa’s boundaries. Properties on county islands are not subject to Mesa’s STR licensing.
2. Check HOA/Condominium rules
   • If the property is part of an HOA or condo association, obtain written confirmation that short‑term rentals are permitted. This is a local covenant matter the city does not resolve.
3. Obtain an Arizona TPT license (mandatory)
   • Register the rental unit on your Arizona TPT license through AZTaxes.gov (State/County and the city). The TPT license must list each individual STR address.
   • Note: License is season‑selectable and remains active until canceled; include the TPT license number on all STR advertising.
4. Prepare required documents and fee
   • Owner contact and designated emergency contact information.
   • $250 license fee per unit (non‑refundable).
   • Proof of ownership (deed/title) if the city cannot otherwise verify ownership.
5. Apply via the online portal
   • Submit your STR license application in the City’s online portal (DIMES). Licenses are issued only to the property owner.
6. Implement neighbor notification
   • Notify surrounding/adjacent properties with your STR license number, rental address, and emergency contact (MCC 5‑15‑4). If requested by the Licensing Administrator, provide copies of the notices and proof of delivery within ten (10) calendar days.
7. Comply with ongoing obligations
   • Display your Mesa STR license number on all advertisements (together with your TPT license number).
   • Maintain and renew the license annually; file and remit TPT by due dates.

Source: Mesa STR page; AZDOR Short-Term Lodging guidance.

Required documents, permits, licenses, and guidelines

• Mesa Short‑Term Rental License (MCC 5‑15)
  • Owner must apply and be the licensee.
  • $250 per rental unit; one‑year term, renewable annually; all fees non‑refundable.
  • Application via Mesa’s online portal (DIMES).
  • If ownership cannot be independently verified, provide the deed/title.
• Arizona Transaction Privilege Tax (TPT) License
  • Required prior to city license issuance; must list the specific rental unit(s).
  • Register, file, and pay at AZTaxes.gov.
  • License number must appear on all advertising for the STR.
• Neighbor notification (per MCC 5‑15‑4)
  • Include Mesa STR license number, rental address, and designated emergency contact information.
  • Provide copies/proof of delivery if requested within 10 days.
• Maricopa County Assessor Residential Rental Registration
  • Required by state law for all residential rentals regardless of length of stay.
• Advertising compliance
  • Include Mesa STR license number and Arizona TPT license number on all advertising and listing platforms.
• Tax filing obligations
  • Even if no rentals occurred in a filing period, file a $0 TPT return.
  • Use applicable business codes and deduction rules as explained by AZDOR (see State section below).

Source: Mesa STR page; AZDOR Short-Term Lodging guidance; ADOR Rental Registration.

Specific regulations (City, County, and State)

Mesa (City)

• License only to the owner (no third‑party holders).
• License fee $250 per unit; one‑year validity; annual renewal for $250.
• Proof of ownership may be requested (deed/title).
• Neighbor notification required and must contain the elements specified in MCC 5‑15‑4; provide copies/proof within 10 days when requested.
• Display both Mesa STR and Arizona TPT license numbers on all advertising.
• Use Mesa’s portal for applications, renewals, and help guides.
• Violations and enforcement: report suspected violations to the city using the provided reporting link; penalties are enforced under MCC 5‑15 and related provisions.
• Jurisdiction: verify via the Explore Mesa map; units on county islands are outside Mesa’s licensing jurisdiction.

Source: Mesa STR page; MCC 5‑15 references; Mesa STR FAQ.

Maricopa County (County)

• County Assessor residential rental registration is required for all Arizona counties, including Maricopa County, for any rental property. Non‑registration can lead to penalties.

Source: AZDOR Short-Term Lodging guidance (county registration requirement).

State of Arizona (A.R.S. and ADOR rules)

• TPT scope: Income from short‑term lodging stays of fewer than 30 days is subject to state and local TPT.
• Business codes:
  • 025 for state/county transient lodging (short‑term stays < 30 days).
  • 044 for city Hotel classification; some cities also impose an additional hotel tax (code 144).
• Online lodging marketplaces (OLMs):
  • OLMs are responsible for collecting/remitting TPT on transactions facilitated through their platform.
  • Property owners may deduct 100% of OLM‑facilitated income using deduction code 775; direct bookings must be reported and tax paid by the owner/property manager.
• Advertising display:
  • TPT license number must be included on all advertising for the STR.
• Filing obligations:
  • File returns even with $0 income for any period; register, file, and pay online at AZTaxes.gov.
• Seasonal TPT license:
  • Available and remains active until canceled; select seasonal filing frequency during registration.
• Recent state-level development:
  • Beginning January 1, 2025, residential rental property owners are no longer required to collect/remit city TPT on long‑term lodging stays of 30 days or more; this does not change requirements for stays of 29 days or fewer, which remain subject to TPT.
• Enforcement and penalties:
  • Senate Bill 1168 outlines additional STR regulations and restructures civil penalties for verified violations.

Source: AZDOR Short-Term Lodging guidance; related A.R.S. §§ referenced by ADOR; SB 1168 summary.

Contact information (Mesa and State)

City of Mesa Licensing (Short‑Term Rentals)

• Phone: 480‑644‑2316
• Email: STR.licensing@mesaaz.gov
• Address: 55 N. Center St., Mesa, AZ 85201
• Report a violation (City of Mesa): Online reporting form

State of Arizona Department of Revenue (ADOR) — TPT

• TPT Help (short‑term lodging): (602) 716‑RENT (7368) or TPT@azdor.gov
• General ADOR Contact: (602) 255‑3381
• Mailing Address: Arizona Department of Revenue, 1600 West Monroe Street, Phoenix, AZ 85007
• Register/File/Pay: AZTaxes.gov

Maricopa County Assessor (Rental Registration)

• Portal and guidance (rental registration requirements): Maricopa County Assessor rental registration information

Links to source pages

• Mesa Short‑Term Rental License (City of Mesa): www.mesaaz.gov/Business-Development/Licensing/Short-Term-Rental-License
• Mesa City Code 5‑15 — Short‑Term Rentals: library.municode.com/az/mesa/codes/code_of_ordinances?nodeId=COOR_TIT5BURE_CH15SHRMRE
• A.R.S. § 9‑500.39 (short‑term rental enabling statute): www.azleg.gov/viewdocument/?docName=https://www.azleg.gov/ars/9/00500-39.htm
• A.R.S. § 42‑5070 (transient lodging definition reference): www.azleg.gov/ars/42/05070.htm
• ADOR — Short‑Term Lodging (state TPT guidance): azdor.gov/business/transaction-privilege-tax/short-term-lodging
• ADOR — Applying for a TPT License: azdor.gov/transaction-privilege-tax/tpt-license/applying-tpt-license
• Mesa TPT information (Transient Lodging Tax page): www.mesaaz.gov/Business-Development/Transaction-Privilege-TPT-Tax/Transient-Lodging-Tax
• Mesa Online Application Portal (DIMES): aca-prod.accela.com/MESA/Default.aspx
• Mesa STR Violation Reporting Form: us.openforms.com/Form/4a0205ec-1d75-46d4-a7e2-64259726ae6c
• Explore Mesa (jurisdiction map): gis.mesaaz.gov/exploremesa
• Maricopa County Assessor — Rental Registration: mcassessor.maricopa.gov/faq/rental_registration/#categories
• Rent Responsibly — Mesa STR overview (informational, not official): www.rentresponsibly.org/az/mesa/
• Desert Vacations — State & City STR Regulations summary (informational, not official): azdesertvacations.com/state-city-short-term-rental-regulations/
• SB 1168 (Arizona STR regulations summary): www.azleg.gov/legtext/55leg/2R/summary/S.1168COM_ASPASSEDHOUSE.pdf
• AZDOR — Tax Rate Table (city TPT rates; verify current rates): azdor.gov/business/transaction-privilege-tax/tax-rate-table
• ADOR — Transient Lodging Card (PDF): sites/default/files/2023-03/PUBLICATION_646A.pdf

Notes for investors:

• Always confirm current rates and rules before operating; penalties apply for non‑compliance.
• If you list on platforms like Airbnb or Vrbo, ensure both the Mesa STR and Arizona TPT license numbers are displayed in every listing and advertisement.
• Maintain records of neighbor notifications and proof of delivery for at least the required period and upon city request.