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US Sales Tax by State: Complete 2025 Guide

Updated March 22, 2026 · 7 min read

Unlike most countries, the United States has no federal sales tax. Instead, each state sets its own rate — and some states skip it entirely. That means the tax you pay on a pair of shoes in Portland, Oregon is literally zero, while the same purchase in Memphis, Tennessee could cost you an extra 9.75%.

This guide covers every state's sales tax rate for 2025, plus the exemptions, quirks and rules you should actually know about.

Five states with no sales tax

If you live in one of these five states, you don't pay any state-level sales tax:

States with the highest combined rates

When you combine state and average local sales taxes, these states hit the hardest:

StateCombined Rate (avg.)
Tennessee~9.55%
Louisiana~9.55%
Arkansas~9.45%
Washington~9.29%
Alabama~9.24%

Tennessee and Louisiana are neck and neck for the top spot. What makes them stand out is a combination of a moderate state rate and aggressive local add-ons. In parts of Louisiana, combined rates can exceed 12% in certain parishes.

Sales tax rates for all 50 states

Here's every state's base sales tax rate. Keep in mind that cities and counties often add their own tax on top of these numbers.

StateState Sales Tax Rate
Alabama4.00%
Alaska0.00%
Arizona5.60%
Arkansas6.50%
California7.25%
Colorado2.90%
Connecticut6.35%
Delaware0.00%
Florida6.00%
Georgia4.00%
Hawaii4.00%
Idaho6.00%
Illinois6.25%
Indiana7.00%
Iowa6.00%
Kansas6.50%
Kentucky6.00%
Louisiana4.45%
Maine5.50%
Maryland6.00%
Massachusetts6.25%
Michigan6.00%
Minnesota6.875%
Mississippi7.00%
Missouri4.225%
Montana0.00%
Nebraska5.50%
Nevada6.85%
New Hampshire0.00%
New Jersey6.625%
New Mexico5.125%
New York4.00%
North Carolina4.75%
North Dakota5.00%
Ohio5.75%
Oklahoma4.50%
Oregon0.00%
Pennsylvania6.00%
Rhode Island7.00%
South Carolina6.00%
South Dakota4.50%
Tennessee7.00%
Texas6.25%
Utah6.10%
Vermont6.00%
Virginia5.30%
Washington6.50%
West Virginia6.00%
Wisconsin5.00%
Wyoming4.00%

California has the highest base state rate at 7.25%. Colorado has the lowest among states that actually charge sales tax, at just 2.90% — though local taxes can push the total much higher.

Grocery and clothing exemptions

Not everything gets taxed equally. Most states exempt unprepared food (groceries) from sales tax, which makes sense — taxing bread and milk feels a little harsh. But the rules vary wildly.

Some states tax groceries at a reduced rate. Others tax them at the full rate (looking at you, Mississippi and Alabama). And a few states go further by exempting clothing too:

If you're near a state border, these exemptions are why people drive across state lines to go shopping. It's perfectly legal and surprisingly common.

Online purchases and the Wayfair ruling

Before 2018, online retailers only had to collect sales tax if they had a physical presence — a store, warehouse or office — in your state. That's why buying things on the internet used to feel tax-free.

Then the Supreme Court decided South Dakota v. Wayfair, Inc. (2018), and everything changed. States can now require out-of-state sellers to collect sales tax as long as they meet certain thresholds (usually $100,000 in sales or 200 transactions in the state). Today, virtually every major online retailer charges sales tax based on your shipping address.

Use tax: the law nobody follows

Here's a fun one. If you buy something from a seller who doesn't charge sales tax — say, from a private seller on Craigslist or from an out-of-state retailer that slipped through the cracks — you're technically required to report and pay that tax yourself. It's called use tax, and it's on your state tax return.

Does anyone actually do this? Almost nobody. But it is the law in most states, and auditors can technically come after you for it. Just something to be aware of.

Sales tax vs. VAT: what's the difference?

If you're used to the European VAT system, American sales tax works differently. VAT gets charged at every stage of production — the manufacturer pays it, the wholesaler pays it, the retailer pays it — and each business deducts the VAT they've already paid. The result is a tax that's baked into the listed price.

Sales tax, by contrast, is only charged once: at the final point of sale to the consumer. And it's always added on top of the sticker price, which is why Americans never quite know what they'll actually pay until they get to the register.

Calculate your sales tax

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