Shoppers in These 5 States Pay No Sales Tax at All

In addition to being picturesque, these states let you keep more money in your wallet when you shop.

Father and son buying food
Updated Aug. 13, 2024
Fact checked

We receive compensation from the products and services mentioned in this story, but the opinions are the author's own. Compensation may impact where offers appear. We have not included all available products or offers. Learn more about how we make money and our editorial policies.

Nobody likes to pay more taxes than necessary. Fortunately, you can eliminate some money stress if you live in a state that does not charge sales tax.

Currently, there are five such states in the U.S. Here are the places where you can really stretch your shopping dollars.

If you’re over 50, take advantage of massive discounts and financial resources

Over 50? Join AARP today — because if you’re not a member you could be missing out on huge perks. When you start your membership today, you can get discounts on things like travel, meal deliveries, eyeglasses, prescriptions that aren’t covered by insurance and more.

How to become a member today:

  • Go here, select your free gift, and click “Join Today”
  • Create your account (important!) by answering a few simple questions
  • Start enjoying your discounts and perks!

Important: Start your membership by creating an account here and filling in all of the information (Do not skip this step!) Doing so will allow you to take up 25% off your AARP membership, making it just $12 per year with auto-renewal.

Become an AARP member now

Delaware

gnagel/Adobe legislative hall

In recent years, there has been a steady stream of new residents relocating to Delaware. Perhaps some of these folks are drawn to the state because they don’t have to pay sales tax.

And the savings don’t end there. Property taxes and housing prices are much more affordable in the state than in neighboring New Jersey and Maryland.

Not having to pay sales tax probably isn’t the main driving force for relocation. Instead, perhaps the state's long line of beaches along the Atlantic Ocean is drawing new residents. Still, not having to pay sales tax can be a great perk that helps you build wealth.

New Hampshire

Loud Canvas Media/Adobe downtown Rochester New Hampshire

New Hampshire is a beautiful state for a vacation, and you might save a little extra when you shop. The state has no sales tax.

However, it is important to note that New Hampshire property taxes are among the highest in the country. That can wipe out some of those sales-tax savings.

New Hampshire also offers a low crime rate, great year-round outdoor activities, no income taxes, and easy access to major cities such as Boston and New York.

Montana

Don/Adobe red brick buildings

There is no general use sales tax in Montana, although you will owe income tax.

Like most of the other states on this list, Montana is sprawling and beautiful. Housing is more affordable in Montana than in many other places, but some folks might feel a bit isolated here.

Bring a car if you move to Montana, as you won’t find the type of public transportation you would expect when living in a major metro.

Resolve $10,000 or more of your debt

Credit card debt is suffocating. It constantly weighs on your mind and controls every choice you make. You can end up emotionally and even physically drained from it. And even though you make regular payments, it feels like you can never make any progress because of the interest.

National Debt Relief could help you resolve your credit card debt with an affordable plan that works for you. Just tell them your situation, then find out your debt relief options.1

How to get National Debt Relief to help you resolve your debt: Sign up for a free debt assessment here. (Do not skip this step!) By signing up for a free assessment, National Debt Relief can assist you in settling your debt, but only if you schedule the assessment.

Try it

Oregon

jbentley09/Adobe sunset in downtown portland oregon

For the most part, you won’t pay sales tax in Oregon. However, if you want to register a car in Oregon that you bought in another state, you will owe sales tax.

Not only does Oregon generally not assess a sales tax, but there are many things to do in the state. There are plenty of trails and street lanes for bicyclists. Job opportunities typically abound, and the backdrop is stunning.

Plus, Portland and the surrounding area are a haven for the arts. As you get further from the city center, housing becomes more budget-friendly.

Alaska

Rocky Grimes/Adobe anchorage alaska skyline

Alaska is known as one of the most beautiful U.S. states. It’s also another place that does not charge sales tax on a statewide basis.

However, separate localities do have the right to add sales taxes to their services and goods. While many small towns rely on such taxes for funding, you will often find no sales tax in bigger cities.

Alaska has all of the beautiful backwoods scenery you have ever dreamed of, and many people here are happy to view wildlife as neighbors. Outdoor recreational opportunities and higher earning potential are additional reasons people flock to this northern state.

Bottom line

william87/Adobe Girls shopping and walking in city

Prices have soared in recent years, and that doesn’t make life any easier. But living in a state with no sales tax can help in your efforts to stop living from paycheck to paycheck.

If you are looking for a new home, perhaps one of these states that does not charge sales tax would be a good fit.

Lucrative, Flat-Rate Cash Rewards

5.0

Wells Fargo Active Cash® Card

Current Offer

$200 cash rewards bonus after spending $500 in purchases in the first 3 months

Annual Fee

$0

Rewards Rate

Earn unlimited 2% cash rewards on purchases

Benefits and Drawbacks
Card Details