Alaska

The facts on Alaska’s Tax Climate

Alaska's Individual Income Tax System
Alaska levies no individual income tax, joining six other states with the same policy: Florida, Nevada, South Dakota, Texas, Washington, and Wyoming.
50-State Table of Individual Income Tax Rates
50-State Table of State Individual Income Tax Collections
50-State Table of State and Local Individual Income Tax Collections Per Capita

Alaska's Corporate Income Tax System
Alaska's corporate income tax system consists of 10 brackets with a top rate of 9.4%. The top rate ranks 4th highest among states levying a corporate income tax. Alaska's state and local corporate income tax collections per person were $856 in 2013 which ranked 1st highest nationally.
50-State Table of Corporate Income Tax Rates
50-State Table of State and Local Corporate Income Tax Collections Per Capita
50-State Table of State Corporate Income Tax Collections Per Capita

Alaska Sales and Excise Taxes
Alaska levies a 0% general sales or use tax on consumers, which is below the national median of 5.95%. The average local sales tax rate is an additional 1.8%. Alaska's state and local governments collect $294 per person in general sales taxes and $450 per person in excise taxes, for a combined figure of $744, which ranks 46th highest nationally. Alaska's gasoline tax stands at 12.25 cents per gallon, 50th highest nationally, while its cigarette tax stands at $2.00, 11th highest nationally.
50-State Table of State and Local General and Selective Sales Tax Collections Per Capita

Alaska Property Tax Collections Relatively High
Alaska's state and local governments collected approximately $1,913 per person in property taxes in 2013, which ranks 10th nationally.
State and local property tax collections per capita by state

Tax Freedom Day Arrives on April 10th in Alaska

Tax Freedom Day is the day when Americans have finally earned enough money to pay off their total tax bill for the year. In 2016, Alaska taxpayers have to work until April 10th (7th earliest nationally) to pay their total tax bill.

Alaska's State and Local Tax Burden Ranks 50th

Alaska's 2012 tax burden of 6.5% ranks 50th highest in the nation, and is below the national average of 9.9%. Alaska's taxpayers pay $3,229 per capita in state and local taxes.

Other States' State/Local Tax Burdens
Map of U.S. Showing all State's Burdens and Ranks
Historical Chart Comparing All States' State/Local Tax Burdens from 1977 to 2009

Alaska's 2016 Business Tax Climate Index Ranks 3rd

Alaska ranks 3rd on the Tax Foundation's State Business Tax Climate Index. The Index compares the states in five areas of taxation that impact business: corporate taxes (30th), individual income taxes (1st), sales taxes (5th), unemployment insurance taxes (21st), and taxes on property (21st), including residential and commercial property.
State Business Tax Climate Index (full study)

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