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Report: Arizona Among Highest States For Sales Tax

An analysis of sales tax rates by Tax Foundation finds Arizona among the highest.

The nonprofit research group looked at state and local sales tax rates. It ranked Arizona 28th for its state rate. But when the average local rate of 2.77 percent is added to the state rate, the combined sales tax is 8.37 percent, making Arizona the 11th highest.

Four states — Delaware, New Hampshire, Montana and Oregon — have no state or local sales taxes.

The five states with the highest average combined rates are:

  • Tennessee at 9.47 percent.
  • Louisiana at 9.45 percent.
  • Arkansas at 9.43 percent.
  • Washington at 9.17 percent.
  • Alabama at 9.14 percent.

The five states with the lowest average combined rates are:

  • Alaska at 1.43 percent.
  • Hawaii at 4.41 percent.
  • Wyoming at 5.36 percent.
  • Wisconsin at 5.44 percent.
  • Main at 5.50 percent.
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As a senior field correspondent, Christina Estes focuses on stories that impact our economy, your wallet and public policy.