Sales & Use Taxes
Sales taxes are a form of excise levied when a good or services is sold to its final consumer. Sales taxes are levied at both the state and local level, and commonly exempt food, utilities and other necessities from taxation. Since state sales taxes only apply to purchases within a state's borders, they are typically accompanied by a use tax that applies to the use, storage, or other consumption within the state of goods or services purchased out of state.
Additional questions about sales and use taxes? Contact us at (202) 464-6200.
Related Blog Entries
- New Podcast: Jeffrey Reed on "Amazon" Taxes, by Natasha Altamirano, November 11, 2009
- Historical State and Local Revenue Sources, by Mark Robyn, October 28, 2009
- Monday Map: Sales Tax Combined State and Average Local Rates, by Joseph Henchman, October 19, 2009
- Tires, Skis, Sales Tax, and Florida Garbage Mountains, by Joseph Henchman, October 14, 2009
- Virginia's Energy Efficiency Sales Tax Holiday Starts Tomorrow, by Mark Robyn, October 8, 2009
- Philadelphia Sales Tax Increases Tomorrow; State Debates Expanding the Sales Tax Base, by Mark Robyn, October 7, 2009
- Iowa Film Credit Report Reveals More Problems; Criminal Investigation Forthcoming, by Mark Robyn, October 5, 2009
- Sales Taxes and Exemption Revenue Rulings, by Joseph Henchman, September 29, 2009
- New York Charging Businesses to Comply with Requirement, by Joseph Henchman, September 17, 2009
- Tax Foundation Legal Brief Calls for Reversal of NY "Amazon Tax" Ruling, by Joseph Henchman, September 15, 2009
- Denver Regrets Not Using Revenue Ranges for Transportation Sales Tax, by Joseph Henchman, September 15, 2009
- New Hampshire Holds Hearings on Establishing Income and Sales Taxes, by Joseph Henchman, September 11, 2009
- Louisiana's "Second Amendment Weekend": The Right to Bear Criticism Shall Not Be Infringed, by Rob Shrum, September 4, 2009
- Ohio Lawmakers Should Reject Sales Tax Holiday "Reform", by Mark Robyn, September 2, 2009
- Neutrality for All, by Kail Padgitt, September 1, 2009
- Oklahoma Sen. Gumm: We Accept Your Invitation to Speak, by Joseph Henchman, August 31, 2009
- Sales Tax Holidays Distort Consumer and Business Decisions, Provide Little Relief to Taxpayers, by TF Staff, August 26, 2009
- Revenue Rolls Out of the State, by Kail Padgitt, August 26, 2009
- Sales Tax Holiday Tweets, by Joseph Henchman, August 24, 2009
- Another Sales Tax Holiday Blog Post, by Mark Robyn, August 21, 2009
- Pennsylvania's Stop-Gap Budget Buys Time to Search for Even Worse Tax Proposal, by Mark Robyn, August 6, 2009
- Cash for Clunkers is Like Sales Tax Holidays: Politically Popular But Just a Timing Shift, by Joseph Henchman, August 5, 2009
- North Carolina Reportedly Reaches Budget Deal, by Joseph Henchman, August 3, 2009
- Parts of Cook County May Still Top the Sales Rate Tax List, by TF Staff, July 24, 2009
- SSTP is Not All It's Cracked Up to Be, by Joseph Henchman, July 23, 2009
- Colorado Resort Sales Taxes, by Joseph Henchman, July 23, 2009
- Sales Tax Rollback in Chicago?, by Joseph Henchman, July 23, 2009
- Will City of Brotherly Love Issue IOUs?, by Mark Robyn, July 17, 2009
- More Updated State Tax Rate Tables: Sales, Excise, and Corporate Income Taxes, by Mark Robyn, July 16, 2009
- Expedia Pays San Francisco $35 Million in Disputed Hotel Taxes, by Mark Robyn, July 16, 2009
- New Hampshire Protects Its Businesses and Customers, by Mark Robyn, July 14, 2009
- States Begin New Fiscal Year Following Many Tax Changes, by TF Staff, July 13, 2009
- I'll Have Some Margarita Mix To Drink and a Packet of Lemonade Mix For Dessert, by Mark Robyn, July 7, 2009
- Broadening or Redefining the Base , by Kail Padgitt, July 6, 2009
- Los Angeles County Sales Tax Goes Up; Pico Rivera and South Gate Pay 10.75%, by Joseph Henchman, July 6, 2009
- Colorado Springs Offers Amnesty to Sales Tax Cheats, by Joseph Henchman, June 29, 2009
- Illinois Will Be Better Off Without a Sales Tax Holiday, by Alicia Hansen, May 28, 2009
- Virginia's Hurricane Sales Tax Holiday, by Mark Robyn, May 20, 2009
- Chicago Board Votes to Cut Highest U.S. Sales Tax, Board President May Veto, by Joseph Henchman, May 7, 2009
- Massachusetts Revenue Department Bullying New Hampshire Businesses, by Mark Robyn, April 30, 2009
- Missouri's Version of the FairTax, by Mark Robyn, April 22, 2009
- Joe the Plumber Wants YOU to Vote the IRS Out* (*Fee Applies), by Josh Barro, April 22, 2009
- Colorado May Repeal Cigarette Sales Tax Exemption, by Mark Robyn, April 17, 2009
- Consumerist’s Recession Frugality Tips: Save Money Through Tax Evasion!, by Josh Barro, April 15, 2009
- Tax Complexity Leads to Sales Tax Switcheroo, by Josh Barro, March 27, 2009
- Study: Soft Drink Taxes Make People Slightly Thinner, by Josh Barro, March 27, 2009
- Rhode Island Governor’s Tax Proposals Would Improve State’s Business Tax Climate, by Josh Barro, March 26, 2009
- Washington State Poll Respondents Prefer Sin Taxes and “Temporary” Tax Increases, by Alicia Hansen, March 10, 2009
- Tax Foundation Testimony on Sales Tax Streamlining, by Joseph Henchman, February 18, 2009
- Oklahoma Town Worried About Image After Error By Oklahoma Tax Commission, by Joseph Henchman, February 11, 2009
- Bloomberg’s Budget for NYC: Sales Tax Higher, Income Tax Unchanged, by Josh Barro, February 2, 2009
- 2009 State Sales, Gasoline, Cigarette, and Alcohol Tax Rates, by Mark Robyn, January 29, 2009
- You Know What Maine Doesn't Need? A Sales Tax Holiday., by Josh Barro, January 28, 2009
- Rental Car Tax an Unfair Way to Fund Tri-Rail, by Josh Barro, January 22, 2009
- D.C. Residents Renting Homes for Inauguration Day Have No Sales Tax Worries, by Alicia Hansen, January 19, 2009
- What’s Wrong with California’s Sales Tax Exemption for Groceries?, by William Ahern, December 31, 2008
- BusinessWeek Features State Business Tax Climate Index; State-Local Tax Reports in Editorial Pages This Week, by Matt Moon, December 31, 2008
- Best of the Blogosphere: Property Taxes, Nonpayers and Sanford's SC Tax Reform Plan, by Matt Moon, December 15, 2008
- Annals of Predatory Taxation: 19% Tax on Dutch Sex Shows, by Josh Barro, December 10, 2008
- Tax Foundation in Idaho and Arkansas, and the Best of the Blogosphere in the States, by Matt Moon, December 4, 2008
- Even in the World of Tax Policy, There’s Something to Be Thankful For, by TF Staff, November 26, 2008
- South Carolina Prepares for Gun Sales Tax Holiday, by Joseph Henchman, November 26, 2008
- New Jersey Takes One Step to Improve Its Business Tax Climate, by Josh Barro, November 25, 2008
- San Jose Tax Counting Every Vote, by Joseph Henchman, November 18, 2008
- Tax Foundation in College Newspapers, and the Best of the Blogosphere, by Matt Moon, November 17, 2008
- Sales Tax Rate Map, by Joseph Henchman, November 17, 2008
- Calculating California's Sales Tax, by Joseph Henchman, November 7, 2008
- California Sales Tax Back in the Spotlight: LA and SF Would Have Double-Digit Rates, by William Ahern, November 6, 2008
- Tax or Treat?, by Alicia Hansen, October 31, 2008
- Tax Foundation and AEI Hosting Conference This Friday on Progressive Consumption Tax, by Matt Moon, October 22, 2008
- Even Proposing a Sales Tax Holiday Creates Tax Instability, by Josh Barro, October 21, 2008
- Democratic Anti-Chambliss Ad on FairTax is Very Deceptive, by Joseph Henchman, October 17, 2008
- New Jersey Republicans Propose Sales Tax Holiday, by Josh Barro, October 14, 2008
- From the Archives: North Dakota Adopts Sales Tax in 1935, by Joseph Henchman, October 10, 2008
- Federal Court Halts Iowa Attempt to Tax Internet, by Joseph Henchman, October 9, 2008
- Colorado Court Strikes Down Effort to Collect Illegal Tax, by Joseph Henchman, October 8, 2008
- Virginians, Ready for Your Energy Efficient Appliance Sales Tax Holiday?, by Joseph Henchman, October 8, 2008
- Time to Rehab New Jersey's Tax Climate, by Josh Barro, October 7, 2008
- Oklahoma Tax Authorities Outrageously Overreach, by Joseph Henchman, September 24, 2008
- Mississippi: Regressive is Regressive is Regressive, by Bob Schmidt, August 29, 2008
- Thursday Video: Bad State Tax Ideas, by Joseph Henchman, August 21, 2008
- Sales Tax Holidays: Small Gains Are Outweighed By Serious Harms, by Joseph Henchman, August 20, 2008
- Los Angeles Looks to Top Chicago's Sales Tax, by Bob Schmidt, August 14, 2008
- Who Should Fund Pennsylvania's Roads?, by Mark Robyn, August 14, 2008
- Colorado Sales Tax Increase on Ballot, by Joseph Henchman, August 14, 2008
- Florida Governor Endorses Property Tax Swap Amendment, by Sarah Larson, August 6, 2008
- The California Budget: A Work in Progress, by Bob Schmidt, August 5, 2008
- Nearly 8,000 Sales Taxes and 2 Fur Taxes: Reasons Why the Streamlined Sales Tax Project Shouldn't Be Quick to Declare Victory, by Joseph Henchman, July 28, 2008
- Sales Tax Holidays: Politically Expedient but Poor Tax Policy, by Joseph Henchman, July 25, 2008
- BATSA, the Amazon Tax, and the Physical Presence Rule, by Joseph Henchman, July 17, 2008
- State Lawmakers Promote Sound Tax Policy by Doing Nothing, by Josh Barro, July 15, 2008
- State Taxes a Children?s Game, by Will Luther, July 11, 2008
- Coupons Shouldn't Be Taxed, but Government Vouchers Should, by Josh Barro, July 9, 2008
- Utah Legislators Consider Consumption Tax, by Sarah Larson, July 9, 2008
- Which States Tax Celebrations of Independence from Taxation?, by Alicia Hansen, July 3, 2008
- State Government Revenue Up in First Quarter 2008, by Joseph Henchman, July 2, 2008
- Congrats to Chicago, by Sarah Larson, July 2, 2008
- More Taxes for Chicago?, by Alicia Hansen, May 23, 2008
- Virginia Preps for Hurricane Supplies Tax Holiday, by Joseph Henchman, May 12, 2008
- GAO Studies Compliance and Transition Issues of Value-Added Taxes (VATs), by Joseph Henchman, May 6, 2008
- Amazon Files Suit Against New York Tax on Out-of-State Businesses, by Joseph Henchman, May 2, 2008
- Suburban Chicago Retailers (Illegally?) Pay Sales Tax for Customers in Stimulus Check Sale, by Gerald Prante and Joseph Henchman, April 29, 2008
- Editorial Criticizes Illinois Tax Holiday Plan, by Joseph Henchman, April 28, 2008
- New York "Amazon Tax" Presents Policy and Legal Problems, by Joseph Henchman, April 25, 2008
- Study Suggests People Spend Less When Taxes are Hidden, by Joseph Henchman, April 23, 2008
- The Blood Exemption and Other Tales of Taxing Nonprofit Hospital Purchases, by Joseph Henchman, April 11, 2008
- MD Computer Services Tax Repealed; GA Tax Plans Die, by Joseph Henchman, April 8, 2008
- How Much Sales Tax Does the Easter Bunny Pay?, by Alicia Hansen, March 21, 2008
- Double-Digit Chicago Sales Tax Raises Tax Evasion Questions, by TF Staff, March 14, 2008
- Momentum Builds to Repeal Maryland Computer Services Tax, by Joseph Henchman, March 14, 2008
- Tennessee Struggles to Schedule Sales Tax Holiday, by Joseph Henchman, March 4, 2008
- Chicago to Have Highest U.S. Sales Tax; Enrolled Bill Shenanigans, by Joseph Henchman, March 2, 2008
- Taxes on Chocolate: Not So Sweet, by Alicia Hansen, February 14, 2008
- Sales Tax Holiday Proposal in Nebraska Makes a Bad Idea Even Worse, by Gerald Prante, January 14, 2008
- Maryland Tax Increases Begin to Hurt, by Joseph Henchman, January 14, 2008
- Which States Tax Groceries?, by Gerald Prante, January 11, 2008
- Attention Chicago Residents: Buy Your Bottled Water Before Midnight (Though A Legal Challenge is Pending), by Joseph Henchman, December 31, 2007
- Maryland Covertly Singles Out Computer Services For New Tax, by Joseph Henchman, December 17, 2007
- Connecticut Refuses to Reimburse Businesses For Ordered Tax Refunds, by Joseph Henchman, December 12, 2007
- Pennsylvania Woman Wins Toilet Paper Tax Lawsuit, by Joseph Henchman, December 3, 2007
- Florida Considers Limited Tax Reform, by Joseph Henchman, November 16, 2007
- Maryland's New Tax Triple Crown, by William Ahern, November 13, 2007
- Maryland Botching Sales Tax Reform, by William Ahern, November 8, 2007
- Nation's Strangest Sales Taxes, by Alicia Hansen, November 5, 2007
- Sales Tax Proposal Draws Fire from Tattoo Artists and Interior Designers, by Alicia Hansen, November 5, 2007
- Pumpkin Tax in Iowa Is Gone, by TF Staff, November 1, 2007
- More on Taxing Carved Pumpkins, Exempting Consumed Pumpkins, by Joseph Henchman, October 29, 2007
- Iowa Taxes Pumpkins To-Be-Displayed, Exempts Pumpkins To-Be-Eaten, by Joseph Henchman, October 26, 2007
- Chicago Mayor Daley Scrounging for Loose Change Everywhere, by Gerald Prante, October 12, 2007
- Pennsylvania Woman Sues K-Mart Over 28 Cent Tax, by Joseph Henchman, October 9, 2007
- Would Tom Cruise Be a FairTax Supporter?, by Gerald Prante, September 7, 2007
- Judge Holds Virgin Islands Use Tax Unconstitutional, by Joseph Henchman, August 22, 2007
- State Legislature Tackles Controversial Issue of Pet Grooming, by Alicia Hansen, August 21, 2007
- Virginia Needs a 365-Day Tax Holiday, by Joseph Henchman, August 6, 2007
- New Virginia Group Issues Bogus Study Challenging Gov. Kaine's Budget Estimates, by William Ahern, August 2, 2007
- Economists Agree: Gross Receipts Taxes Belong in the Dustbin of Tax History, by Andrew Chamberlain, April 24, 2007
- New Study Analyzes Distribution of Taxes and Spending Together, by Gerald Prante, March 23, 2007
- 2006 State Sales Tax Rates and Excise Tax Rates, by Curtis S. Dubay, February 1, 2007
- New Report on the Flaws of Gross Receipts Taxes, by Alicia Hansen, January 31, 2007
- What 'Economic Incidence' of Business Taxes Looks Like, by Andrew Chamberlain, January 18, 2007
- Problems with Gross Receipts Taxes: An Expert's View, by Andrew Chamberlain, January 16, 2007
- The Economist's Case Against Gross Receipts Taxes, by Andrew Chamberlain, December 5, 2006
- Federal Deduction for State Sales Taxes May Expire Soon, by Andrew Chamberlain, September 18, 2006
- A Pack of Cigarettes, a Coke, and Some Taxes, Please, by Alicia Hansen, September 1, 2006
- Should Fat Taxes Come to America?, by Gerald Prante, August 21, 2006
- Sales Tax Holidays: Politically Expedient but Poor Tax Policy, by Gerald Prante, August 4, 2006
- Are Gas Tax Holidays Good Economic Policy?, by Andrew Chamberlain, July 10, 2006
- The Problem of Using Carbon Taxes to Combat Global Climate Change, by Gerald Prante, June 15, 2006
- Wyoming Repeals Sales Tax on Food, by Alicia Hansen, March 31, 2006
- New York Democrats Call for Permanent Sales Tax Holiday, by Andrew Chamberlain, January 30, 2006
- Voluntary Streamlined Sales and Use Tax System (SSTP) Up and Running, by Chris Atkins, October 4, 2005
- Taxes: The Scariest Thing on Halloween?, by Curtis S. Dubay, September 30, 2005
- More Mixed Policy Signals Over Gas Prices, by Gerald Prante, September 27, 2005
- Busted: The Starbucks Muffin Tax, by Andrew Chamberlain, September 22, 2005
- Atlanta Voters Head to Polls Tomorrow to Vote on Sales Tax Hike, by Gerald Prante, September 19, 2005
- Chicago Voters Oppose Tax, Demand Spending, by Gerald Prante, September 14, 2005
- Higher Taxes = Lower Gas Prices?, by Gerald Prante, September 9, 2005
- Give Permanent Tax Relief, Not Temporary Breaks, by Gerald Prante, September 8, 2005
- New York Assemblymen Want Gas Tax Suspended, by Gerald Prante, August 31, 2005
- Nashville's Tax Break for Seniors Raises Questions of Fairness, Legality, by Gerald Prante, August 29, 2005
- Car Rebates Don't Translate to Tax Savings, by Curtis S. Dubay, August 26, 2005
- Don't Tax You, Don't Tax Me...Tax That Guy Behind the Tree, by Gerald Prante, August 25, 2005
- West Virginia Considers Abolishing Tax on Food, by Alicia Hansen, August 18, 2005
- More Tax Holidays? , by Curtis S. Dubay, August 18, 2005
- Federalism, State Tax Sovereignty, and its Guardians, by Chris Atkins, August 17, 2005
- New Hampshire's 365-Day Sales Tax Holiday, by Alicia Hansen, August 4, 2005
- More Porn Taxes: A Graphic Display of Taxation as Social Policy, by Curtis S. Dubay, August 3, 2005
- Should Visual Aid Devices Be Tax-Exempt?, by Alicia Hansen, August 1, 2005
- The Case Against Sales Tax Holidays, by Curtis S. Dubay, July 29, 2005
- Chicago Sales Tax Rate Increases, by Curtis S. Dubay, June 29, 2005
- No Tax a Bad Economic Situation?, by Curtis S. Dubay, May 23, 2005
- Taxes and the Underground Economy, by Andrew Chamberlain, May 16, 2005
- Why We Care About Taxes, by Andrew Chamberlain, May 9, 2005
- Do Companies Run from Taxes?, by Andrew Chamberlain, May 3, 2005
- Is Bad Tax Policy an Equilibrium?, by Andrew Chamberlain, April 29, 2005
- When Small is Beautiful, by Andrew Chamberlain, April 27, 2005
