Utilities – producing and/or furnishing to consumers, natural or artificial gas and water (includes providing various electric services to retail customers)

Utilities – producing and/or furnishing to consumers, natural or artificial gas and water (includes providing various electric services to retail customers)

If you plan to be in the business of producing and furnishing, or merely furnishing to consumers, natural or artificial gas and water, you may be subject to transaction privilege (sales) tax/licensing under the Utilities classification, unless exempt. The same is true if you plan to be in the business of providing various electric services to retail electric customers. For more information, see "Engaging in activities subject to transaction privilege (sales)/use tax" below or click here. (24)

If you distribute or sell potable water primarily through a pipeline, you may be required to pay a separate, additional tax as a municipal water delivery system. The statutes governing municipal water delivery systems are found at Title 42, Chapter 5, Article 7 of the Arizona Revised Statutes (A.R.S.). (24)