Wolters Kluwer Tax & Accounting US has produced an infographic showing the states with the top 10 highest and lowest sales taxes, just in time for Black Friday and the kickoff of the holiday shopping season.
The company noted that several states do not impose sales taxes at all, including Alaska, Delaware, Montana, New Hampshire and Oregon. However, there are some local sales and use taxes that these states still authorize, such as Delaware’s lodging tax, limited local sales taxes that Montana’s resort communities may apply and New Hampshire’s limited state sales tax on meals.
In addition, consumers can pay more than just their state sales taxes, with some communities tacking on local sales taxes that only apply in certain areas. With online shopping catching up with shopping at brick and mortar stores, there is also the issue of Internet retailers who may not collect sales or use taxes on purchases made in states in which they have no physical presence. Nevertheless, Wolters Kluwer noted, online shoppers are supposed to pay use taxes if the online retailer fails to collect tax, on Cyber Monday or all year long.
You can check out the top 10 lists of states in the infographic below: