November 17, 2008
Sales Tax Rate Map
As part of a presentation on interstate tax comparisons I gave recently, I prepared this map of sales taxes in the United States. We combine state sales tax rates with the weighted average of local sales taxes, so it's more accurate than just a map of statewide rates. I've highlighted the top rates (in blue) and the bottom rates (in yellow). Being yellow surrounded by blue and white is probably good for your state; being blue surrounded by yellow and white not so much. Of course sales tax is just one part of a bigger fiscal and economic picture.
(Since the map uses weighted averages, it should not be relied upon for calculating tax in a particular location. The map is a comparative tool.)
California's recent proposal to hike the sales tax by 1.5% would bring it up to a 9.46% average, just beating out Tennessee for the highest statewide average sales tax rate in the country.
Click on the chart for a larger version.
