Alaska Sales Tax Calculator

The Alaska Sales Tax Calculator helps you quickly determine the sales tax on a purchase in any city or borough in Alaska. You can calculate sales tax by adding it to a pre-tax amount or removing it from a total amount.

Alaska Sales Tax Calculator

Calculate sales tax for all cities and boroughs in Alaska with accurate local rates

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Total Amount

$100.00
Amount including sales tax

Tax Amount

$0.00
Amount of sales tax

Pre-Tax Amount

$100.00
Amount before sales tax

Total Tax Rate

0.00%
Local tax rate (no state tax)
Formulas
Example
Tax Rates
Tax Exemptions
Adding Tax: Total = Amount × (1 + Tax Rate)
Removing Tax: Pre-Tax = Amount ÷ (1 + Tax Rate)

The Alaska Sales Tax Calculator helps you quickly determine the sales tax on a purchase in any city or borough in Alaska. You can calculate sales tax by adding it to a pre-tax amount or removing it from a total amount.

When adding sales tax:

  • Tax Amount = Pre-Tax Amount × Tax Rate
  • Total Amount = Pre-Tax Amount + Tax Amount

When removing sales tax:

  • Pre-Tax Amount = Total Amount ÷ (1 + Tax Rate)
  • Tax Amount = Total Amount – Pre-Tax Amount

Alaska has no state sales tax (0.00%), but many municipalities impose local sales taxes that vary by city and borough. This calculator uses the local tax rates for accurate calculations.

Adding Sales Tax Example

Let’s say you want to calculate sales tax on a $100 product in Juneau with a local tax rate of 7.00%:

Pre-Tax Amount = $100
Tax Rate = 7.00% or 0.07

Calculate the tax amount:

Tax Amount = $100 × 0.07 = $7.00

Calculate the total amount:

Total Amount = $100 + $7.00 = $107.00

Removing Sales Tax Example

Now, let’s say you have a total amount of $107.00 and want to calculate the pre-tax amount and tax in Juneau:

Total Amount = $107.00
Tax Rate = 7.00% or 0.07

Calculate the pre-tax amount:

Pre-Tax Amount = $107.00 ÷ (1 + 0.07) = $107.00 ÷ 1.07 = $100.00

Calculate the tax amount:

Tax Amount = $107.00 – $100.00 = $7.00

No Local Tax Example

In Anchorage, there is no local sales tax. Let’s calculate tax on a $100 product:

Pre-Tax Amount = $100
Tax Rate = 0.00% or 0.00

Calculate the tax amount:

Tax Amount = $100 × 0.00 = $0.00

Calculate the total amount:

Total Amount = $100 + $0.00 = $100.00

Alaska Sales Tax Rates

Alaska has no state sales tax (0.00%), but many municipalities impose local sales taxes. The total tax rate varies significantly across the state, from 0.00% in areas with no local tax to 7.00% in some cities.

State Rate

0.00%
No state sales tax

Average Local Rate

1.76%
Average local tax rate

Maximum Local Rate

7.00%
Highest local tax rate

Combined Range

0.00-7.00%
Total tax range

Major Alaska Cities and Their Tax Rates

City State Tax Local Tax Total Tax
Anchorage 0.00% 0.00% 0.00%
Juneau 0.00% 7.00% 7.00%
Fairbanks 0.00% 0.00% 0.00%
Sitka 0.00% 6.00% 6.00%
Ketchikan 0.00% 1.00% 1.00%
Wasilla 0.00% 2.00% 2.00%
Palmer 0.00% 2.00% 2.00%
Homer 0.00% 5.00% 5.00%
Kodiak 0.00% 1.00% 1.00%
Kenai 0.00% 1.00% 1.00%
Soldotna 0.00% 1.00% 1.00%
Valdez 0.00% 1.00% 1.00%
Seward 0.00% 1.00% 1.00%
Barrow 0.00% 4.00% 4.00%
Bethel 0.00% 1.00% 1.00%
Nome 0.00% 1.00% 1.00%
Kotzebue 0.00% 1.00% 1.00%
Unalaska 0.00% 1.00% 1.00%
Petersburg 0.00% 1.00% 1.00%
Wrangell 0.00% 1.00% 1.00%

Alaska Sales Tax Exemptions

Alaska provides several exemptions from sales tax for certain types of goods and services. Some common exemptions include:

  • Prescription Drugs: All prescription medications are exempt from sales tax
  • Food: Most food for human consumption is exempt, except for prepared food and beverages
  • Professional Services: Services provided by doctors, lawyers, and other professionals
  • Utilities: Residential electricity, natural gas, and water services
  • Religious and Charitable Organizations: Purchases by qualifying organizations
  • Government Agencies: Purchases by federal, state, and local governments

Alaska Tax Structure

Unlike most states, Alaska has no state sales tax and no state income tax. Instead, the state government is primarily funded by revenues from oil and gas production. Many municipalities in Alaska impose local sales taxes to fund local services and infrastructure.

Additionally, Alaska residents receive an annual Permanent Fund Dividend (PFD) from oil revenues, which partially offsets the impact of local taxes. The PFD amount varies each year but typically ranges from $1,000 to $2,000 per eligible resident.

Some municipalities also have special sales tax provisions for certain industries, such as fishing, tourism, and resource extraction, which may have different tax rates or exemptions.

Understanding Alaska Sales Tax

What is Alaska Sales Tax?

Alaska has no state sales tax, but many municipalities impose local sales taxes on the sale of goods and certain services. Local tax rates vary by city and borough, ranging from 0% to 7%.

Local Tax Variations

Local tax rates in Alaska can range from 0% to 7%, depending on the city or borough. Some areas have no local tax, while others have significant local taxes to fund municipal services.

Tax Collection

Sales tax in Alaska is collected by sellers at the point of sale and remitted to the local municipality. Sellers must register with the local government and obtain a sales tax permit before collecting tax.

Use Tax

Alaska has no statewide use tax, but some municipalities may impose use tax on items purchased outside the municipality for use within the municipality when sales tax has not been paid.

Business Registration

Businesses selling taxable goods or services in Alaska must register for a sales tax permit with each municipality where they do business. Registration requirements vary by municipality.

Filing Requirements

Sales tax returns in Alaska are filed with the local municipality, not the state. Filing frequency (monthly, quarterly, or annually) and due dates vary by municipality.

Alaska Sales Tax for Businesses

Nexus Requirements

Businesses must collect Alaska local sales tax if they have nexus in a particular municipality. Nexus can be established through physical presence, economic activity, or other connections. Each municipality has its own nexus rules.

Marketplace Facilitators

Some Alaska municipalities have enacted marketplace facilitator laws requiring online marketplaces to collect and remit sales tax on behalf of third-party sellers. Requirements vary by municipality.

Exemption Certificates

Businesses purchasing items for resale can provide exemption certificates to sellers to avoid paying sales tax. Each municipality may have its own exemption certificate form and requirements.

Shipping and Handling

In Alaska, shipping and handling charges are generally taxable if they are part of the sale of tangible personal property. Taxability may vary by municipality.

Penalties and Interest

Alaska municipalities impose penalties for late filing and late payment of sales tax. Penalty and interest rates vary by municipality, but typically include a percentage of the tax due plus interest.

Tax Calculation Services

Given the complexity of Alaska’s sales tax system with hundreds of different local tax rates and no centralized state administration, many businesses use automated tax calculation services to ensure accurate collection and remittance of sales tax.

Calculation Complete!