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Sales and use taxes

Taxable goods

What goods are subject to sales and use tax in your state (at both state and local level)?

There is no state sales and use tax in Alaska. Municipalities have broad authority to levy taxes on sales, rent, and services provided within the municipality.

State rate

What is the state sales tax rate?

There is no state sales tax in Alaska.

Local rates

What is the range of local sales tax rates levied in your state?

Local sales tax rates vary. There are no limits on the rate of levy for sales or use taxes for cities and boroughs (ie, counties). Not all cities and boroughs levy a sales tax. The highest combined (city and borough) sales tax rate is 7.5%.


What goods are exempt from sales and use tax?

Exemptions vary by local ordinance. Only a few statutory limitations regarding local sales taxes apply, including as follows:

  • Certain space facilities are exempt from local sales taxes.
  • Alcohol is not taxable unless other items are similarly taxed.
  • Construction contracts awarded to a contractor or subcontractor by a state agency are exempt from local sales taxes.

Other exemptions may be granted by ordinance.


Are any services taxed?

Services are sometimes taxed at the local level.

Filing requirements

What filing requirements and procedures apply?

Filing requirements and procedures vary depending on the municipality.

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