Two Alabama Cities Marked With “Highest Sales Tax” Honor
- Sales Tax News
- Apr 13, 2012 | Susan McLain
The Tax Foundation has released their “Sales Tax Rates in Major U.S. Cities” report this week. The report focuses on “…major U.S. cities, defined as all U.S. Census-designated incorporated places with a population over 200,000.”
Birmingham and Montgomery, Alabama have been identified as the two national cities with the “…highest combined state and local sales tax rate.” The combined rates for each city are at 10 percent.
Each city “…has a local sales tax rate of 6 percent, with the state rate at 4 percent.” As noted in an al.com blog on the topic, the report does not take into account “…the differences in tax bases, such as the structure of sales taxes (what is taxable and non-taxable like food or clothing.)