Special Report

States With the Highest and Lowest Sales Tax

Source: SeanPavonePhoto / Getty Images

1. Tennessee
> Combined sales tax rate: 9.5%
> State sales tax rate: 7.0%
> Avg. local sales tax: 2.5%
> Cost of living: 9.8% less than the national average (11th lowest)
> Personal income per capita: $47,134 (17th lowest)

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2. Louisiana
> Combined sales tax rate: 9.5%
> State sales tax rate: 4.5%
> Avg. local sales tax: 5.0%
> Cost of living: 9.6% less than the national average (14th lowest)
> Personal income per capita: $45,449 (10th lowest)

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3. Arkansas
> Combined sales tax rate: 9.4%
> State sales tax rate: 6.5%
> Avg. local sales tax: 2.9%
> Cost of living: 13.1% less than the national average (3rd lowest)
> Personal income per capita: $42,373 (5th lowest)

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4. Washington
> Combined sales tax rate: 9.2%
> State sales tax rate: 6.5%
> Avg. local sales tax: 2.7%
> Cost of living: 5.5% greater than the national average (9th highest)
> Personal income per capita: $61,085 (8th highest)

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Source: Sean Pavone / Getty Images

5. Alabama
> Combined sales tax rate: 9.1%
> State sales tax rate: 4.0%
> Avg. local sales tax: 5.1%
> Cost of living: 13.4% less than the national average (2nd lowest)
> Personal income per capita: $42,380 (6th lowest)

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