Arizona contractor taxpayer bonds.
From $100.
Before the Arizona Department of Revenue issues a transaction privilege tax license to a new or out-of-state contractor, it can require a Taxpayer Bond for Contractors (form ADOR 74-4023) guaranteeing the TPT you collect. The amount is tied to your primary contracting type — we price it at 4% of the bond amount, $100 minimum.
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How much does an Arizona contractor taxpayer bond cost?
4% of the bond amount, from $100. Enter your amount in the calculator for the exact price.
Three steps. One sitting.
No underwriting queue for the standard taxpayer bond — enter your amount, pay, and file with the Department of Revenue. Here is the whole thing:
Apply online
Your business details, the bond amount ADOR set for your classification, and the effective date — that is the application.
Issued on the spot
No credit check up to $10,000. Above $10,000, a soft pull may add a short review.
File with your TPT application
Submit the executed bond (form ADOR 74-4023) with your transaction privilege tax license application. Wet-ink originals mailed whenever the state insists.
What it is and who needs it.
What the taxpayer bond actually guarantees
Arizona contractors owe transaction privilege tax (TPT) on their gross contracting receipts. To protect that revenue before a contractor has an Arizona track record, the Department of Revenue can require a Taxpayer Bond for Contractors as a condition of issuing the TPT license — most often for new and out-of-state contractors, or applicants with a history of tax delinquency.
The bond is filed on form ADOR 74-4023, titled the “Taxpayer Bond for Contractor Under A.R.S. Section 42-5006.” The amount is set by your primary contracting classification — published tiers are commonly $2,000 for residential building, $7,000 for single-family and utility-line work, and $17,000 for nonresidential, industrial, and highway work — so confirm the figure ADOR assigned you.
It backs the tax, penalties, and interest you owe the state — not the quality of your work. Many contractors qualify for an annual bond exemption after establishing a clean filing history, and the exemption is reviewed each year. If the surety pays the state, you repay the surety.
You need this bond if you are
Claims, renewal, filing, and what sets the price.
If a claim is made
A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.
The surety investigates and pays a valid claim, up to the bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
The carrier issues this bond for a single two-year term; the term cannot be changed at checkout.
Renewal falls on the statutory date, October 8, in the year your term ends.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
How to file it
File with your TPT application. Submit the executed bond (form ADOR 74-4023) with your transaction privilege tax license application. Wet-ink originals mailed whenever the state insists.
What sets the price
The premium is 4% of the bond amount, $100 minimum: the amount the obligee sets moves the price, not your business profile.
No credit check up to $10,000. Above that, the carrier may run a soft pull, which never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application, issued on the spot.
Submit the application with the amount ADOR set for your classification — the executed bond is generated instantly, ready to file.
Start the application →Common questions.
Other Arizona bonds.
Price and requirements checked on the carrier’s application, . Page updated .
Contractor taxpayer bond, issued today.
Priced at 4% of the bond amount, $100 minimum. Enter the amount ADOR set and file with your TPT application the same day.