Opens in a new tab

State sales taxes could cut into Black Friday savings

November 27, 2015

While some folks are starting to question whether Black Friday prices really translate to substantial savings, millions of people are still hitting the stores today because sales!

Black Friday shoppers Macys NYC 2012_AFP PHOTO-Stan HONDABlack Friday shoppers rushing into Macy's flagship New York store in 2012. AFP PHOTO/Stan HONDA via Flickr.

If you're part of the bargain-hunting crowd, good luck to you.

And here's one more piece of shopping advice. Budget a bit extra for sales taxes.

Just five states — Alaska, Delaware, Montana, New Hampshire and Oregon — don't collect state-level sales taxes.

In the other 45, however, the checkout price of most of your purchases will include sales tax. And, notes Wolters Kluwer Tax & Accounting US, there is a wide range of sales tax rates in the states that do collect them.

Highest, lowest state sales taxes: So just where should shoppers be prepared to pay more this Black Friday (and the other 364 shopping days) because of sales taxes?

The winner, or loser from a shopper's point of view, is California with its state sales tax rate of 7.5 percent.

The Golden State topped the Wolters Kluwer top state sales tax list in 2014, too. In fact, the 2015 version of the 10 states with the highest tax rates is almost the same as last year's version.

No state dropped off in 2015, but Kansas managed to make it onto the list, tying for the last spot with a 6.5 percent rate like Arkansas and Washington. The others on the high sales tax list are Indiana, Mississippi, New Jersey, Rhode Island, Tennessee, Minnesota and Nevada.

That makes the list of states with the highest sales tax rates a top 11 this year.

At the other end of the tax spectrum, the 10 states with the lowest state sales tax rates remains the same as in 2014. They range from Colorado's 2.9 percent to Virginia's 4.3 percent. In between are Alabama, Georgia, Hawaii, Louisiana, New York, South Dakota, Wyoming and Missouri.

The infographic below offers some more details on the high and relatively low states sales tax rates:

High and low state sales taxes CCH Wolters Kluwer

Remember, too, that some communities tack on local sales taxes, so plan accordingly.

And happy shopping. 

You also might find these items of interest:

Share:

The More Tax Posts tab at the top of this page will take you to, well, more tax posts. You also can search below for a tax topic. 

Latest Posts
IRS sending refunds to families that claimed adoption tax credit carryforwards

October 18, 2026

Tax reform changes to the adoption tax credit meant some families didn’t get the new…

Read More
TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

Comments
  • In NYC and Long Island the local sales tax exceeds the state sales tax. Even though the NYS rate might look low you will pay 8.875 in NYC and 8.625 on the island.

Leave your comment