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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).
These include: Delaware, Montana, New Hampshire, and Oregon. Alaska has no state sales tax, but its localities do charge sales tax â the average rate statewide is 1.76%, which still puts it in the top tier of states with no or very low sales taxes.