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 issue it at a flat 3% with no credit check.
















No underwriting queue for the standard taxpayer bond — enter your amount, pay, and file with the Department of Revenue. Here is the whole thing:
Your business details, the bond amount ADOR set for your classification, and the effective date — that is the entire application.
No credit check and no waiting — the executed bond is generated as soon as you pay. Larger amounts may get a quick review.
Submit the executed bond (form ADOR 74-4023) with your transaction privilege tax license application. Wet-ink originals mailed whenever the state insists.
Bond amount × 3% = your premium, one-time, $275 minimum. Enter the figure ADOR set for your contracting type and the premium updates.
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.
Submit the application with the amount ADOR set for your classification — the executed bond is generated instantly, ready to file.
Start the application →If yours isn't here, the bond team can usually answer within the hour.
Five-minute application, flat 3%, $275 minimum. Enter the amount ADOR set and file with your TPT application the same day.