Florida’s combined sales tax rate is mid-pack compared to other states

by | Aug 12, 2024



The Washington, D.C.-based Tax Foundation ranked Florida as the 24th highest combined state/local sales tax rate at 7 percent. The state sales tax is 6 percent and the average county levy is 1.02 percent. Groceries and prescription medicines are exempt from sales tax.

The Sunshine State is one of 38 states that allows local sales taxes, and 45 out of the state’s 67 counties add one, with the lowest being Citrus County with a combined rate of 6.5 percent. The maximum local surcharge is 1.5 percent.

According to data from the Florida Department of Revenue, sales tax revenues added up to $35.8 billion of the state’s $47.33 billion in total collections, or 75.6 percent.

Florida has lower sales tax rates than its neighboring states. Alabama is fifth highest with a combined rate of 7.06 percent. Georgia (19th) has a rate of 7.38 percent.

Regionally, only Mississippi (7.06 percent combined rate, 22nd) and South Carolina (7.5 percent for 19th) are lower than Florida’s rate.

Nationally, Louisiana was highest with a combined rate of 9.56 percent, followed by Tennessee a tick behind at 9.55 percent. Washington was fourth (9.38 percent), and rounding out the top five was Alabama (9.29 percent).

Alaska has the lowest combined sales, as cities levy an average of 1.82 percent, but the state doesn’t charge sales tax. Five states ā€“ Alaska, Delaware, Montana, New Hampshire, and Oregon ā€“ don’t collect sales taxes.

The Tax Foundation says sales taxes are responsible for 32 percent of state tax receipts and 13 percent of local tax collections, adding up to 24 percent of combined revenue.

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