Sales Tax Calculator — All 50 States

Enter a purchase amount to see the sales tax in every state.

State State Rate Avg Local Rate Combined Rate Tax Amount Total Cost

Understanding Sales Tax in the United States

Sales tax is a consumption tax imposed at the point of sale on the retail price of goods and certain services. Unlike income tax, which is based on what you earn, sales tax is based on what you spend. This makes it a critical factor in the cost of living, particularly for households that spend a larger share of their income on taxable goods.

The total sales tax you pay typically has two components: the state sales tax (set by the state legislature) and local sales taxes (imposed by cities, counties, and special districts). In many states, the combined rate can be significantly higher than the state rate alone.

States With No Sales Tax

Five states have no state-level sales tax:
  • Alaska — No state sales tax, but local governments can impose up to ~7.5%. Average local rate is about 1.82%.
  • Delaware — No sales tax at any level. Often attracts shoppers from neighboring states.
  • Montana — No state or local sales tax. Some resort areas impose a small local option tax.
  • New Hampshire — No sales tax at any level. Major shopping destination for residents of nearby Massachusetts and Maine.
  • Oregon — No sales tax at any level. Funds government through income tax (top rate: 9.9%).

Highest and Lowest Sales Tax States

Top 5 Highest Combined Sales Tax Rates

  1. Louisiana — 9.55% combined (4.45% state + 5.10% avg local)
  2. Tennessee — 9.55% combined (7.00% state + 2.55% avg local)
  3. Arkansas — 9.47% combined (6.50% state + 2.97% avg local)
  4. Alabama — 9.27% combined (4.00% state + 5.27% avg local)
  5. Washington — 9.23% combined (6.50% state + 2.73% avg local)

Lowest Combined Sales Tax Rates (among states with sales tax)

  1. Alaska — 1.82% average (local only)
  2. Hawaii — 4.50% (technically a gross excise tax, not traditional sales tax)
  3. Wisconsin — 5.44% combined
  4. Wyoming — 5.44% combined
  5. Maine — 5.50% (state only, no local)

Common Sales Tax Exemptions

Most states exempt certain categories of purchases from sales tax to reduce the burden on essential goods:

  • Groceries (unprepared food) — Exempt in most states. Notable exceptions include Alabama, Mississippi, and South Dakota which tax groceries at the full state rate. Some states like Illinois, Virginia, and Utah tax groceries at a reduced rate.
  • Prescription medications — Exempt in all states that have a sales tax. Illinois is the only state that taxes non-prescription drugs at the full rate.
  • Clothing — Exempt in a few states including New York (under $110 per item), Pennsylvania, New Jersey, and Minnesota. Most states tax clothing at the full rate.

Origin-Based vs. Destination-Based Sales Tax

States use one of two methods to determine which local tax rate applies to a transaction:

  • Origin-based — The tax rate is based on the seller's location. If you buy from a store in City A, you pay City A's tax rate regardless of where you live. States using this method include Texas, Pennsylvania, Ohio, and Virginia.
  • Destination-based — The tax rate is based on the buyer's location (shipping address for online purchases). Most states use this method, including California, New York, Florida, and Washington.

This distinction is particularly important for online shopping and for businesses that sell across state lines. Since the 2018 Supreme Court decision in South Dakota v. Wayfair, states can require online retailers to collect sales tax even if they have no physical presence in the state.

Impact of Sales Tax on Your Budget

While sales tax rates may seem small compared to income tax rates, the annual impact can be significant. If your household spends $40,000 per year on taxable goods and services, the difference between a low-tax state (5%) and a high-tax state (10%) is $2,000 per year. This is especially important for retirees and others on fixed incomes who may have relocated to a no-income-tax state without considering the sales tax impact.

Use our state comparison calculator to see how sales tax fits into the total tax picture alongside income and property taxes.

Frequently Asked Questions

Five states have no state-level sales tax: Alaska, Delaware, Montana, New Hampshire, and Oregon. Note that Alaska allows local jurisdictions to impose sales taxes, so some areas of Alaska do have sales tax.

Louisiana and Tennessee are tied for the highest combined state and local sales tax rates, both averaging approximately 9.55%. The highest state-only rate is California at 7.25%.

No. Most states exempt unprepared groceries from sales tax. However, some states like Alabama, Mississippi, and South Dakota tax groceries at the full state rate. Several other states tax groceries at a reduced rate.

In origin-based states, sales tax is calculated based on the seller's location. In destination-based states, it is based on the buyer's location. Most states use destination-based sourcing, which means the tax rate depends on where the buyer receives the product.