Key Findings
- Forty-five states and the District of Columbia collect statewide sales taxes.
- Local sales taxes are collected in 38 states. In some cases, they can rival or even exceed state rates.
- The five states with the highest average combined state and local sales tax rates are Louisiana (9.55 percent), Tennessee (9.547 percent), Arkansas (9.48 percent), Washington (9.29 percent), and Alabama (9.22 percent).
- No state rates have changed since Utah increased the state-collected share of its sales tax from 5.95 percent to 6.1 percent in April 2019.
- Sales tax rates differ by state, but sales tax bases also impact how much revenue is collected from a tax and how the tax affects the economy.
- Sales tax rate differentials can induce consumers to shop across borders or buy products online.
Source Taxfoundation
Latest Posts in "United States"
- Florida Issues Sales Tax Guidance for Cash Rounding Amid Penny Shortage
- NOMAD States: Exploring America’s Five States Without Statewide Sales Tax and Their Alternative Taxes
- Arkansas to Eliminate State Grocery Sales Tax in 2026: What Shoppers Need to Know
- Illinois to Remove 200-Transaction Sales Tax Nexus Rule Starting in 2026
- Illinois Local Sales Tax Rates to Change in Dozens of Jurisdictions Starting January 1, 2026
