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Local sales taxes are collected in 38 states. The five states with the highest average combined state and local sales tax rates are Louisiana (9.98 percent), Tennessee (9.46 percent), Arkansas (9.30 percent), Alabama (9.01 percent), and Washington (8.92 percent).
Learn which states have a sales tax, and which states exempt certain items. Almost every state in the country has a sales tax, with rates ranging from 7.5% in California to just 2.9% in Colorado. Most states also allow local counties, cities, and municipalities to add on their own separate sales taxes to the state rate. There are only five states that do not have a sales tax: Alaska.