FLAGSTAFF — The city of Flagstaff will host a virtual Town Hall on Oct. 22, 2020 to answer constituent questions on Proposition 436. Proposition 436 is ballot measure that will allow the city to continue collecting a 1% general Transaction Privilege Tax (sales tax). The current 1% general transaction privilege tax (sales tax) rate that was first adopted in 1964 and is currently set to expire in November 2024.
The general transaction privilege tax (sales tax) is imposed on the gross income received from engaging in taxable business activities in the city, as set forth in the Model City Tax Code (Chapter 3-05 of the City Code) and state law. The 1% general transaction privilege tax (sales tax) is a tax rate that generates revenues for the city of Flagstaff general operations (the General Fund). Although commonly referred to as a sales tax, this is actually a tax on the privilege of doing business in the taxing jurisdiction (the city in this case).
The virtual Town Hall will take place on Oct. 22 at 5 p.m. The meeting can be accessed through the following link: www.flagstaff.az.gov/2105/Election.