Calculate sales tax for any state in 2026. Add tax to a price, extract tax from a total, or compare rates across all 50 states. 5 no-sales-tax states included.
Combined state + local sales tax rates vary from 0% in Delaware, Montana, New Hampshire, and Oregon to 9.56% in Louisiana (highest in the US). The rates shown are state averages of state + local combined rates — your specific city or county rate may differ. Alabama (9.25%), Tennessee (9.55%), Arkansas (9.47%), Washington (9.38%), and Oklahoma (8.99%) round out the top five highest combined rates. Use the calculator above to calculate exact tax for your state and override with your local rate if needed.
Sales tax is a consumption tax applied at the point of sale on taxable goods and services. Unlike income tax (which is graduated), sales tax is a flat percentage applied to the purchase price. Sellers collect sales tax from buyers and remit it to the state revenue department on a regular schedule (monthly, quarterly, or annually depending on sales volume). The seller acts as a collection agent for the government — the tax belongs to the state from the moment it is collected.
The total sales tax you pay has two components: the statewide rate set by the state legislature, and local rates set by cities, counties, and special taxing districts. California's base rate is 7.25% statewide, but Los Angeles adds 2.25% in local taxes for a combined rate of 10.25%. New York City has a combined rate of 8.875% (4% state + 4.875% NYC). Some cities or special districts can have sales tax rates exceeding 10% when state and local taxes are combined.
Many everyday items are exempt from sales tax. Prescription drugs are exempt in most states. Groceries are exempt in many states (though definitions of "grocery" vary widely — candy and soda are taxable in many states that exempt food). Clothing is exempt in several states including Minnesota, New Jersey, New York, and Pennsylvania. Some states exempt digital goods while others have started taxing streaming services and software-as-a-service products.
Jordan is buying a $500 laptop. Here is what the total price would be in several different states.
The difference between buying in Delaware (no tax) and Louisiana (9.56%) is $47.80 on a $500 purchase. On a $5,000 purchase (TV, appliances), that difference grows to $478. Consumers in high-tax states near state borders sometimes make large purchases in neighboring no-tax states — though technically most states require you to pay a "use tax" equal to your state's sales tax rate on items you purchase out of state.
No sales tax states
Delaware, Montana, New Hampshire, and Oregon have neither state nor local sales taxes (with the exception of a few local Montana resort taxes). Alaska has no state sales tax but allows local sales taxes averaging 1.76%. These states attract business formation, large purchases, and in some cases permanent relocation by residents from high-tax states. New Hampshire notably has neither sales tax nor income tax, making it one of the lowest overall tax burden states.
Business sales tax obligations
Businesses that collect sales tax from customers must register with each state's revenue department, collect the correct rate, file regular returns, and remit collected taxes on schedule. Keeping sales tax collected from customers without remitting it to the state is illegal in all states and can result in criminal prosecution, interest, and penalties. The Wayfair decision extended these obligations to online sellers without physical presence in the state.
Common exemptions vary widely
Most states exempt prescription drugs and most exempt groceries (with various definitions). Clothing is exempt in New York, Pennsylvania, New Jersey, and Minnesota. Digital goods (streaming, software, digital downloads) are increasingly taxable — about 30 states now tax at least some digital goods. Farm equipment, manufacturing equipment, and resale purchases are commonly exempt for business buyers. Always check your specific state's exemption rules for your product category.
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Five states have no statewide sales tax: Delaware, Montana, New Hampshire, Oregon, and Alaska (though Alaska allows local taxes averaging 1.76%). These states are popular destinations for large purchases like vehicles and electronics. Residents of bordering high-tax states often cross state lines to make purchases in no-sales-tax states — a practice especially common in Oregon/Washington, New Hampshire/Massachusetts, and Delaware/surrounding states. Note that while these states have no sales tax, they may compensate through higher property taxes, income taxes, or other fees.
Louisiana has the highest combined state and average local sales tax rate at 9.56% in 2026. Tennessee comes second at 9.55%, followed by Arkansas at 9.47%, Washington state at 9.38%, and Oklahoma at 8.99%. High combined rates reflect both a significant state rate and high local (county and city) add-ons. Your specific city rate may differ from the state average — some cities have much higher rates than the state average due to local voter-approved taxes.
Many states exempt groceries from sales tax, though the definition of "groceries" varies by state. States that fully exempt groceries include Arizona, California, Illinois, Maine, Massachusetts, Michigan, Nevada, New Jersey, New York, Pennsylvania, Texas, Vermont, and Virginia. States that partially exempt groceries or have reduced rates include Arkansas, Missouri, Tennessee, and Utah. States that tax groceries at the full rate include Alabama, Hawaii, Idaho, Mississippi, and South Dakota. Prepared food (restaurant meals, hot food) is taxable in most states even when cold grocery items are exempt.
The state sales tax is a uniform rate set by the state legislature that applies statewide. The combined rate includes the state rate plus any applicable local taxes — county sales taxes, city sales taxes, special district taxes (for transit, stadiums, etc.). For example, California has a 7.25% state rate, but the average combined rate is 8.82% because most California counties and cities add local taxes. Your specific combined rate depends on your exact location. To find your precise rate, visit your state's revenue department website or search your city name plus "sales tax rate."
Since the South Dakota v. Wayfair Supreme Court decision (2018), businesses can be required to collect sales tax in states where they have "economic nexus" — typically defined as exceeding $100,000 in sales or 200 transactions in that state per year. This means online retailers must collect and remit sales tax in multiple states even without a physical presence. Nexus requirements vary by state. Businesses selling in multiple states should use sales tax automation software (Avalara, TaxJar) to manage multi-state compliance. Failure to collect and remit sales tax is a serious legal issue.