Sales Tax by State — 2026 Quick Reference

How to Read This Table

Sales tax in the United States is layered: a state-level rate, plus city, county, and special district taxes that stack on top. The three numeric columns in the table answer different questions, so it matters which one you use.

• State Rate is the flat statewide rate every seller in the state charges, before any local add-ons. For example, Texas charges 6.25% everywhere; the local portion comes on top.
• Avg Local is the population-weighted average of local add-on rates across the state. Use it for rough annual planning — it tells you what a "typical" buyer pays — but never for pricing a specific order.
• Max Combined is the highest total rate (state plus the highest local rate) that exists anywhere in the state today. Use it as a worst-case ceiling: no customer in that state should ever pay more than this.

A worked illustration: Tennessee's state rate is 7.00% and its average local add-on is 2.47%, so a typical combined rate is around 9.47% — while a shopper in a city with only the state rate pays exactly 7.00%. Neither number is "wrong"; they describe different places. The only rate that is correct for a given transaction is the one at the buyer's precise address, which is why the calculator linked below resolves rates by ZIP code.

Origin-Based vs. Destination-Based States

Which rate you charge depends not only on where the buyer is, but on where you are. States split into two sourcing regimes:

• Destination-based states (the large majority) require tax at the rate where the goods are delivered — the buyer's address. Nearly every remote sale, marketplace sale, and shipped order is taxed at the destination rate.
• Origin-based states — notably Texas, and for state-level tax also California — require tax at the rate where the seller is located, at least for sales originating from within the state. Local-level sourcing can still differ from state-level sourcing, which is why California is often called a "modified origin" state.
• Hybrid states such as Illinois, Virginia, Missouri, and Tennessee source intrastate sales from the origin for the state portion but by destination for local portions. Always check the state's specific sourcing rules.

The practical takeaway: if you are an online seller shipping from an origin-based state, sales to buyers inside your own state use your local rate, while sales shipped to destination-based states use each buyer's local rate. Shipping out of a destination state, or shipping into it from elsewhere, generally uses the destination rate either way.

The Five States with No Statewide Sales Tax

Five states levy no general statewide sales tax, but "no sales tax" rarely means "no tax at all":

• Alaska — no state tax, but over 100 local jurisdictions (including Juneau and Anchorage) levy their own sales taxes; the state's 1.43% average local rate in the table reflects that.
• Delaware — no sales tax of any kind. The state instead raises revenue through a gross receipts tax on sellers, which is a business tax rather than a consumer-facing rate.
• Montana — no general sales tax, though a handful of resort areas (such as Big Sky and Whitefish) charge a limited resort and lodging tax.
• New Hampshire — no general sales or use tax; it does tax meals, lodging, and vehicle purchases at 9% (meals/rentals), which sits outside the general sales tax.
• Oregon — no sales tax at any level. Sellers ship to Oregon buyers with no sales tax collected, though Oregon has its own corporate activity tax on businesses.

Economic Nexus: What Online Sellers Must Watch

Since the 2018 South Dakota v. Wayfair decision, states can require out-of-state sellers to collect sales tax once they cross an "economic nexus" threshold in that state — even with no physical presence there. The Nexus Threshold column shows each state's threshold, typically $100,000 in sales, and a handful of states add a transaction-count trigger (commonly 200 transactions). Several large states set higher dollar thresholds: California, New York, and Texas use $500,000, and Alabama and Mississippi use $250,000.

Three cautions for online sellers: thresholds are measured on the prior or current calendar year and differ in what counts (gross sales vs. taxable sales; some states exclude marketplace-facilitated sales because the marketplace already collects). Registering after crossing a threshold is mandatory, and states increasingly share data through the Multistate Tax Commission. Run your numbers through our Nexus Checker to see where you have crossed a threshold, then use the Sales Tax Calculator for address-level rates once you are registered.

Frequently Asked Questions