Consumers expect to pay sales taxes wherever they shop. But they catch a break in five states that do not charge sales taxes.
The Bankrate Daily
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While Alaska doesn’t collect a state sales tax, it does allow local jurisdictions to enact their own sales taxes. The Last Frontier does charge so-called “sin taxes” for alcohol, marijuana and tobacco products. And visitors will pay vehicle rental and cruise ship fees.
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Consumers don’t pay sales tax at the state or local level on goods or services, but the First State levies a gross receipts tax on businesses, and that likely affects the pricing of goods and services.
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The Treasure State does not collect a statewide sales, use or transaction tax, but communities that cater to recreational visitors can assess resort taxes that apply to lodging, restaurants, nightclubs and ski facilities.
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Although the Granite State doesn’t collect a sales tax on consumer products or services, it does collect a tax on restaurant meals and lodgings, as well as on car rentals.
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The Beaver State is fine with not collecting sales tax. But it won’t let Oregon residents claim sales tax paid to other states as a way to reduce their state income taxes.