Rental car companies fight Phoenix tax, could jeopardize new arena

Rental carsBy Dustin Gardiner | The Republic

The future of a rental-car tax that Phoenix has used to help pay for construction of Talking Stick Resort Arena, the downtown Sheraton hotel and other projects — including a possible new arena downtown — could be in jeopardy.

Three companies have filed a notice of claim demanding the city stop collecting the sales tax and refund about $34 million they estimate has been collected from car-rental businesses citywide since 2012. They contend the tax violates Arizona’s Constitution.

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