US Sales Tax Calculator

Five US states have no state sales tax: Oregon, Montana, New Hampshire, Delaware, and Alaska. However, Alaska allows local jurisdictions to levy sales taxes, so parts of Alaska do have sales tax. These states are popular for large purchases like cars and electronics.

Tennessee and Louisiana have the highest combined (state + average local) sales tax rates — around 9.5–10%. California's state rate of 7.25% can reach 10.5%+ in some localities. Rates vary by city and county within each state.

It depends on the state. About 30 states exempt groceries (unprepared food) from sales tax. Some states tax groceries at a reduced rate. Prepared food (restaurants) is generally taxable everywhere. Prescription drugs are exempt in all states; many exempt non-prescription drugs.

Use tax is a companion to sales tax. If you buy from an out-of-state retailer that doesn't collect your state's sales tax, you technically owe "use tax" at the same rate. Most consumers don't pay this, but it's legally required in most states. Major online retailers now collect state sales tax after the 2018 South Dakota v. Wayfair Supreme Court decision.

Businesses collect sales tax from customers at the point of sale, hold it in trust, and remit it to the state monthly or quarterly. Different products may have different rates (some exempt). Businesses operating in multiple states must navigate each state's rules separately — called "nexus" and often requires registration in each state.