10 States With the Highest Sales Taxes (2024)

10 States With the Highest Sales Taxes (1)

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10 States With the Highest Sales Taxes (2)

By Katelyn Washington

last updated

in Features

State sales tax rates don’t always reflect the rate you will actually pay or what items you will pay tax on. States with the highest sales tax are sometimes more tax-friendly states (in some ways) than states with lower sales taxes. And what part of the state you shop in can make a difference in how much you spend.

Note: Localities (cities and counties) often have sales tax rates separate from the statewide rate. Rankings for states with the highest sales tax are based on the average combined local and state tax rates. The sales tax rates used in this story are based on the latest data from the Tax Foundation. This list does not include the four reported states with no sales tax or average combined local taxes.

10 States With the Highest Sales Taxes (3)

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10. New York sales tax

Statewide sales tax: 4%

Average local sales tax: 4.532%

Average combined sales tax: 8.532%

You might not be surprised to see New York make this list, but it barely does, coming in as the tenth most expensive for combined sales tax. While statewide tax in New York is only 4%, local taxes can run up to 4.875%. Sales tax is the highest in the five boroughs of New York City and Yonkers, and it does not fall below 7% in any county.

New York also eliminated state and local taxes on diapers and other products marketed to women, often referred to as the "Pink Tax."If a business charges you tax on these items, you could be entitled to $250.

Good to know facts about New York sales tax:

  • Groceries and prescription drugs aren’t taxable.
  • Taxes still apply to motor vehicle purchases.
10 States With the Highest Sales Taxes (5)

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9. Kansas sales tax

Statewide sales tax: 6.5%

Average local sales tax: 2.154%

Average combined sales tax: 8.654%

Kansas isn’t the most tax-friendly, especially in areas like Junction City. The minimum combined sales tax in the city is 9.75%. The good news is that you can travel to other areas within the county and pay a sales tax rate of only 7.75%.

Good to know facts about Kansas sales tax:

  • You won’t pay a tax on prescription drugs.
  • Motor vehicle and clothing purchases are taxed on state and local levels.
  • You will need to pay state sales tax on groceries if you buy them before 2025. But the state has already begun the process to phase out this tax. It was recently reduced from 4% to 2%.

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10 States With the Highest Sales Taxes (7)

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8. California sales tax

Statewide sales tax: 7.25%

Average local sales tax: 1.601%

Average combined sales tax: 8.851%

California ranks as having the highest sales tax in the US when considering California state tax only, but with an average combined rate of 8.851%, it skates by at number eight. Tax rates are over 10% in cities like Los Angeles and Burbank, but you can find several California cities with tax rates under 8%, including Avila Beach and Boulevard.

Good to know facts about California sales tax:

  • You will pay state and local taxes on motor vehicle purchases and clothing.
  • You won’t pay sales tax on prescription drugs or groceries.

Sponsored Content10 States With the Highest Sales Taxes (8)

10 States With the Highest Sales Taxes (9)

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7. Illinois sales tax

Statewide sales tax: 6.25%

Average local sales tax: 2.605%

Average combined sales tax: 8.855%

Although the average local sales tax in Illinois is only 2.605%, it’s much higher in some areas. Chicago residents pay a 10.25% sales tax rate. But if you are a fan of the city’s authentic deep dish pizza, the higher tax might be worth it. You can find cheaper tax rates in areas of Crawford, Iroquois, and Henderson counties.

Good to know facts about Illinois sales tax:

  • You’ll need to pay tax on prescription drugs, which are not taxable in most other states. However, the tax is reduced to 1%.
  • You’ll pay taxes on clothing and vehicle purchases.

Sponsored Content10 States With the Highest Sales Taxes (10)

10 States With the Highest Sales Taxes (11)

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6. Oklahoma Sales Tax

Statewide sales tax: 4.5%

Average local sales tax: 4.489%

Average combined sales tax: 8.989%

Oklahoma might not come to mind when you think about states with high taxes, and that makes sense when considering the statewide Oklahoma tax is only 4.5%. But some people in the state can pay as much as 7% on top of that. There is good news if you prefer the big cities though. Tulsa and Oklahoma City are taxed between 8% and 9%.

Good to know facts about Oklahoma sales tax:

  • Clothing and prescription drugs are tax-exempt.
  • Motor vehicle purchases are taxable.
  • Groceries are taxable, but the state's portion of the sales tax will be eliminated this August.

Sponsored Content10 States With the Highest Sales Taxes (12)

10 States With the Highest Sales Taxes (13)

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5. Alabama sales tax

Statewide sales tax: 4%

Average local sales tax: 5.289%

Average combined sales tax: 9.289%

Alabama shares the same statewide sales tax with New York at 4%, but the local sales tax can jump up to 7.5%, forcing some residents to pay a sales tax rate as high as 11.5%. Alabama still taxes groceries, but the state reduced the rate from 4% to 3% late last year.

Good to know facts about Alabama sales tax:

  • Motor vehicle purchases and clothing are taxable at the state and local levels.
  • Prescription drug purchases are exempt.

Sponsored Content10 States With the Highest Sales Taxes (14)

10 States With the Highest Sales Taxes (15)

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4. Washington sales tax

Statewide sales tax: 6.5%

Average local sales tax: 2.878%

Average combined sales tax: 9.378%

Although the average local tax rate in Washington is only 2.878%, localities can tax up to 4.1% in addition to the state tax. That means some Washington residents pay a 10.6% sales tax rate.

Good to know facts about Washington sales tax:

  • You’ll pay sales tax on motor vehicles.
  • Groceries and prescription drugs are exempt.
  • You might save money if you move to Washington since it’s a state with no income tax.

Sponsored Content10 States With the Highest Sales Taxes (16)

10 States With the Highest Sales Taxes (17)

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3. Arkansas sales tax

Statewide sales tax: 6.5%

Average local sales tax: 2.948%

Average combined sales tax: 9.448%

It’s interesting that Arkansas has the third highest average combined sales tax rate in the country, considering its cost of living falls well below the national average. It just goes to show that even when you pay a higher sales tax, you could still pay less overall (when the taxable items cost less to begin with).

Good to know facts about Arkansas sales tax:

  • Like in most states, prescription drugs are tax-exempt.
  • Motor vehicle purchases and clothing are taxable.
  • Arkansas does tax groceries but at a reduced rate of 0.125%.

Sponsored Content10 States With the Highest Sales Taxes (18)

10 States With the Highest Sales Taxes (19)

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2. Tennessee sales tax

Statewide sales tax: 7%

Average local sales tax: 2.548%

Average combined sales tax: 9.548%

Although Tennessee ranks as the second most expensive state when considering average combined state and local taxes, total sales taxes remain below 10% statewide. So, you can travel anywhere in the state without the significant tax rate changes you see with other states on this list. Unfortunately, Tennessee imposes a tax on groceries, but at least they are taxed at a reduced rate of 4%.

Good to know facts about Tennessee sales tax:

  • Prescription drugs are not taxable.
  • Motor vehicle purchases and clothing are also taxable.

Related Content

-10 States With the Lowest Sales Tax

-The 'Food Tax': Grocery Tax by State

-10 States with the Highest Gas Taxes

Sponsored Content10 States With the Highest Sales Taxes (20)

10 States With the Highest Sales Taxes (21)

(Image credit: Getty Images)

1. Louisiana sales tax

Statewide sales tax: 4.45%

Average local sales tax: 5.113%

Average combined sales tax: 9.563%

Louisiana ranks as the state with the highest sales tax when considering state and local taxes. It would have come in at the 38th most expensive state if considering Louisiana state tax only. However, localities can impose their own tax rates of up to 7%. That means residents in some areas of the state face an 11.45% sales tax rate.

Good to know facts about Louisiana sales tax:

  • Even though Louisiana takes the spot for most expensive sales tax, you won’t pay taxes on groceries or prescription drugs.
  • Motor vehicle purchases and clothing are taxable.
  • Like in New York, there is no longer a tax on feminine products or diapers.

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10 States With the Highest Sales Taxes (23)

Katelyn Washington

Former Tax Writer

Katelyn has more than 6 years of experience working in tax and finance. While she specialized in tax content while working at Kiplinger from 2023 to 2024, Katelyn has also written for digital publications on topics including insurance, retirement, and financial planning and had financial advice commissioned by national print publications. She believes knowledge is the key to success and enjoys providing content that educates and informs.

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