Sales Tax Statistics
Last updated: 2026-10-28 · 12 sourced statistics
Sales tax raises close to a third of US state tax revenue and is the tax most likely to appear as a line on a small business invoice. The Census Bureau's annual survey shows that state governments collected $475.2 billion in general sales and gross receipts taxes in 2025, 30.9% of all state tax collections. The quarterly survey adds the latest state and local trend. Rate figures come from the Tax Foundation's 2026 rate report, and the legal background comes from the Supreme Court's opinion in South Dakota v. Wayfair. Each figure below names its source, its year and what it covers.
Key takeaways
- State governments collected $475.2 billion in general sales and gross receipts taxes in 2025, 30.9% of their $1.536 trillion in total tax collections (Census).
- State and local sales tax revenue was $171.2 billion in the second quarter of 2026, 4.0% more than a year earlier (Census, preliminary).
- 45 states levy a state-level sales tax and 38 states allow local sales taxes (Tax Foundation, rates as of January 1, 2026).
- Rates vary widely: California has the highest state rate at 7.25%, Louisiana the highest average combined rate at 10.11%, and the population-weighted national average combined rate is 7.53% (Tax Foundation).
- Since South Dakota v. Wayfair (decided June 21, 2018), states can require sellers with no physical presence to collect sales tax; the dissent noted that over 10,000 jurisdictions levy sales taxes.
At a glance.
Every figure on this page in one table, each linked to its named source. Scroll down for the full context behind each number.
| Figure | What it measures | Source | Year |
|---|---|---|---|
| $475.2B | US state governments collected $475.2 billion in general sales and gross receipts taxes in fiscal year 2025, up from $465.4 billion in 2024. | US Census Bureau, Annual Survey of State Government Tax Collections 2025 (series USSALESTAX on FRED, Federal Reserve Bank of St. Louis) | 2025 |
| 30.9% | General sales and gross receipts taxes made up 30.9% of the $1.536 trillion in total tax collected by state governments in fiscal year 2025 (our calculation from the two Census totals). | US Census Bureau, Annual Survey of State Government Tax Collections 2025 (series USTOTLTAX and USSALESTAX on FRED) | 2025 |
| $171.2B | State and local governments collected $171.2 billion in sales taxes in the second quarter of 2026 (not seasonally adjusted), 4.0% more than in the second quarter of 2025. | US Census Bureau, Quarterly Summary of State and Local Tax Revenue, Q2 2026, Table 1 | 2026 |
| +4.0% | In the first half of 2026, state and local sales tax revenue totalled $319.7 billion, up 4.0% from $307.5 billion in the first half of 2025 (not seasonally adjusted). | US Census Bureau, Quarterly Summary of State and Local Tax Revenue, Q2 2026, Table 1 | 2026 |
| 45 states | 45 states levy a state-level sales tax. Alaska, Delaware, Montana, New Hampshire and Oregon do not (think tank analysis, rates as of January 1, 2026). | Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026) | 2026 |
| 38 states | 38 states allow local sales taxes, including Alaska, which has no statewide sales tax (think tank analysis, as of January 1, 2026). | Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026) | 2026 |
| 7.25% | California has the highest state-level sales tax rate, at 7.25%, before local taxes (as of January 1, 2026). | Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026) | 2026 |
| 10.11% | Louisiana has the highest average combined state and local sales tax rate at 10.11%, followed by Tennessee (9.61%), Washington (9.51%), Arkansas (9.46%) and Alabama (9.46%). | Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026) | 2026 |
| 7.53% | The population-weighted average combined state and local sales tax rate across the US is 7.53% (as of January 1, 2026). | Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026) | 2026 |
| $100,000 | South Dakota v. Wayfair, decided June 21, 2018, upheld a law requiring sellers with no physical presence to collect sales tax if they delivered more than $100,000 of goods or services into South Dakota, or made 200 or more separate transactions there, in a year. | Supreme Court of the United States, South Dakota v. Wayfair, Inc., No. 17-494 (2018) | 2018 |
| $8B to $33B | Before Wayfair, the physical presence rule was estimated to cost states between $8 billion and $33 billion a year in uncollected sales tax, according to estimates the Court cited. | Supreme Court of the United States, South Dakota v. Wayfair, Inc., No. 17-494 (2018), opinion of the Court | 2018 |
| 10,000+ | Over 10,000 US jurisdictions levy sales taxes, each with its own rates and rules on exempt goods and services, as noted in the Wayfair dissent. | Supreme Court of the United States, South Dakota v. Wayfair, Inc., No. 17-494 (2018), Roberts, C.J., dissenting | 2018 |
The statistics
US state governments collected $475.2 billion in general sales and gross receipts taxes in fiscal year 2025, up from $465.4 billion in 2024.
General sales and gross receipts taxes made up 30.9% of the $1.536 trillion in total tax collected by state governments in fiscal year 2025 (our calculation from the two Census totals).
State and local governments collected $171.2 billion in sales taxes in the second quarter of 2026 (not seasonally adjusted), 4.0% more than in the second quarter of 2025.
Source:US Census Bureau, Quarterly Summary of State and Local Tax Revenue, Q2 2026, Table 12026
In the first half of 2026, state and local sales tax revenue totalled $319.7 billion, up 4.0% from $307.5 billion in the first half of 2025 (not seasonally adjusted).
Source:US Census Bureau, Quarterly Summary of State and Local Tax Revenue, Q2 2026, Table 12026
45 states levy a state-level sales tax. Alaska, Delaware, Montana, New Hampshire and Oregon do not (think tank analysis, rates as of January 1, 2026).
Source:Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026)2026
38 states allow local sales taxes, including Alaska, which has no statewide sales tax (think tank analysis, as of January 1, 2026).
Source:Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026)2026
California has the highest state-level sales tax rate, at 7.25%, before local taxes (as of January 1, 2026).
Source:Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026)2026
Louisiana has the highest average combined state and local sales tax rate at 10.11%, followed by Tennessee (9.61%), Washington (9.51%), Arkansas (9.46%) and Alabama (9.46%).
Source:Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026)2026
The population-weighted average combined state and local sales tax rate across the US is 7.53% (as of January 1, 2026).
Source:Tax Foundation, "State and Local Sales Tax Rates, 2026" (January 20, 2026)2026
South Dakota v. Wayfair, decided June 21, 2018, upheld a law requiring sellers with no physical presence to collect sales tax if they delivered more than $100,000 of goods or services into South Dakota, or made 200 or more separate transactions there, in a year.
Source:Supreme Court of the United States, South Dakota v. Wayfair, Inc., No. 17-494 (2018)2018
Before Wayfair, the physical presence rule was estimated to cost states between $8 billion and $33 billion a year in uncollected sales tax, according to estimates the Court cited.
Over 10,000 US jurisdictions levy sales taxes, each with its own rates and rules on exempt goods and services, as noted in the Wayfair dissent.
When these numbers don't apply
Aggregate statistics hide a lot. Read these caveats before quoting a figure as if it describes your specific situation.
- Census fiscal-year data follow each state's own fiscal year, which for most states ends on June 30, so the 2025 totals are not calendar-year figures.
- The second quarter 2026 Census figures are preliminary: the response rate for the sales tax line was 77% when they were released, and the Census Bureau revises earlier quarters as more governments report.
- The Census quarterly series covers state and local governments together; the annual series covers state governments only. Do not add or compare them directly.
- Rate counts, the highest rates and the national average come from the Tax Foundation, a think tank, as of January 1, 2026. Its average combined rates weight local rates by population, so an individual address can be higher or lower. Use the state's own rate lookup for an actual invoice.
- The revenue-loss range in the Wayfair opinion is an estimate the Court cited from briefs and a government report in 2018, not a measured figure, and predates the economic nexus laws that followed.
- These are statistics, not tax advice. Whether you must collect sales tax depends on where you have nexus and what you sell; check with the state's revenue department or an adviser.
How we compiled this data
Reviewed on 2026-10-28. Every figure was read at its source that day. Annual state collections come from the US Census Bureau's 2025 Annual Survey of State Government Tax Collections (tables dated April 2026), read through the Federal Reserve Bank of St. Louis FRED series USSALESTAX and USTOTLTAX, which republish the Census figures (last updated April 15, 2026); the 30.9% share is our division of the two. Quarterly figures come from Table 1 of the Census Quarterly Summary of State and Local Tax Revenue for Q2 2026, released September 10, 2026. Rate counts and averages come from the Tax Foundation's "State and Local Sales Tax Rates, 2026" (January 20, 2026), labelled as a think tank source. Legal figures come from the Supreme Court's slip opinion, read through its Internet Archive copy. We removed the previous version's figures that linked only to homepages (the Federation of Tax Administrators and the Census QTAX program page), a Chicago 10.25% combined rate not shown on the cited page, a claim that all states enforce economic nexus 'most commonly at $100,000' (several large states use $500,000), and an unsourced 'all states' marketplace facilitator claim.
We hand-collected each figure from its original publisher rather than recycling secondary round-ups, cross-checked the headline numbers against the source documents in 2026-10-28, and link every statistic to the report it came from so you can verify it yourself. Where a publisher issues annual updates, we cite the report edition and flag the year inline.
Frequently asked questions
How much sales tax do US states collect?
State governments collected $475.2 billion in general sales and gross receipts taxes in fiscal year 2025, according to the Census Bureau, which was 30.9% of their total tax collections of $1.536 trillion. Adding local governments, sales tax revenue was $171.2 billion in the second quarter of 2026 alone.
How many states have a sales tax?
45 states levy a state-level sales tax, according to the Tax Foundation's 2026 rate report. Alaska, Delaware, Montana, New Hampshire and Oregon do not, although Alaska allows local sales taxes. In total, 38 states allow local sales taxes.
Which state has the highest sales tax?
California has the highest state-level rate at 7.25%. Once average local taxes are added, Louisiana has the highest combined rate at 10.11%, followed by Tennessee at 9.61% (Tax Foundation, rates as of January 1, 2026).
What did the Wayfair decision change for small sellers?
Before June 21, 2018, a state could only require a seller with a physical presence there to collect its sales tax. Wayfair allowed states to use sales into the state instead. South Dakota's law used $100,000 of sales or 200 transactions a year, but each state sets its own threshold; several large states use $500,000. The sales tax nexus guide linked below compares them.
Should I use the average combined rate on my invoice?
No. The 7.53% national average and the state averages are population-weighted summaries. The rate you charge depends on the exact location rules of the state you are selling into, and more than 10,000 jurisdictions levy sales taxes. Use the state revenue department's rate lookup for each address.
Put these figures to use
- Taxes hub: State-by-state sales tax invoicing pages and guides to VAT and GST.
- Invoice tax compliance by country: What US sales tax, VAT and GST invoices must show, country by country.
- Sales tax nexus guide: Physical and economic nexus after Wayfair, with official thresholds for four states and a worked example.
- California sales tax invoicing: How sales tax works on invoices in the state with the highest state-level rate.
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