What tax do you pay in Alaska?
Tax year 2026
Alaska has no state income tax at all. Your salary is not taxed by the state. On top of that, shops charge 1.82% in sales tax once state and local are added together.
Alaska imposes no state individual income tax on wage income. Combined state and local sales tax reaches 1.82% at the representative rate. ⚠️ Both figures are computed rather than quoted, and every input below carries its source and as-of date.
Income tax on $75,000
0%
rank 43 of 51
Combined sales tax
1.82%
rank 47 of 51
Alaska does not charge a state income tax at all.
Alaska levies no state income tax for 2026.
Taxable income basis: the state's own definition of taxable income (ownBase).
Sales tax
Alaska has no statewide sales tax. Towns and boroughs set their own instead. So what you pay is decided where you are standing, not by the state. It runs from 0% in Anchorage (Municipality of Anchorage) up to 5% in Juneau (City and Borough of Juneau). Some places charge nothing at all.
No statewide sales tax is levied for 2026. Sales tax in Alaska is wholly a municipal matter — boroughs and cities set and collect their own rates, and a substantial share of the state's area levies none — so a single statewide figure would describe a tax that does not exist rather than summarise one that does. Combined local rates run about 0% (Anchorage (Municipality of Anchorage)) to about 5% (Juneau (City and Borough of Juneau)).
| Category | Treatment |
|---|---|
| Groceries | Exempt (0% of the combined rate) |
| Prescription drugs | Exempt (0% of the combined rate) |
| Clothing | Full rate (100% of the combined rate) |
Property tax
Property tax in Alaska sits in the middle of the pack. The effective rate is 1.11% of a home's value — rank 16 nationally.
Alaska carries an effective property tax rate of about 1.11% of market value, ranking 16 nationally — mid-distribution, against an unweighted mean across the fifty-one jurisdictions of about 0.94%.
A typical home here is worth $352,900.00, and the typical yearly bill is $3,901.00. Put the same $440,600.00 house here and it would cost $4,870.39 a year to hold. That is money you pay every year you own it, not once.
Median owner-occupied home value is $352,900 with a median annual real estate tax of $3,901. Applying this state's effective rate to the site's reference price of $440,600 gives $4,870 a year — the two figures answer different questions, since the median bill blends the rate with local price levels while the reference bill isolates the jurisdiction. This is an effective rate, tax paid divided by market value, and not a nominal millage against an assessed value; the two are different quantities. A statewide ratio of medians also describes no particular address, so an individual county or property can sit well away from it.
US Census Bureau ACS 5-Year Estimates, tables B25103 (Median Real Estate Taxes Paid) and B25077 (Median Value, owner-occupied). ACS 5-year estimates covering 2020–2024, so the as-of date (2024-12-31) is the end of the estimation window rather than a measurement date. Last verified 2026-08-29.
Other costs to know about
Every phone line in Alaska carries a $2.00 monthly charge for emergency services. It is a flat amount per line, so it costs a family with several phones more than the rate on the bill suggests.
State emergency-services surcharge: $2.00 per line per month, levied as a fixed charge rather than as a share of the bill.
Counties may levy their own emergency-services charge on top, and wireless bills carry further federal and state surcharges.
Alaska charges no state income tax at all — one of only 9 states nationwide that don't; the others are Florida, Nevada, New Hampshire, South Dakota, Tennessee, Texas, Washington, and Wyoming. The combined state and local sales tax rate in Statewide average is 1.82%, among the lowest combined sales tax rates in the country (47th of 51) — on a $40,000 car purchase, that's about $730 in sales tax alone, on top of whatever income tax was already paid to earn the money in the first place. With no income tax, Alaska leans more heavily on sales tax to fund state government than most states do — worth knowing if you're comparing the true cost of living here against a state that does the opposite. Every purchase priced out on this site for Alaska uses these same verified, cited, Alaska-specific figures for both layers — never a national average quietly standing in for the real number.
What lands in your account
A $75,000 salary
| Take-home, year | $61,593 |
|---|---|
| Tax, year | $13,408 |
| Share of pay taxed | 17.88% |
This is an average rate across all your pay — not the rate on your next dollar.
Where the money goes
A $75,000 salary
- Federal income tax$7,670
- Social Security and Medicare$5,738
- Yours$61,593
| Federal income tax10.23% | $7,670 |
|---|---|
| Social Security and Medicare7.65% | $5,738 |
| Yours82.12% | $61,593 |
How this state ranks, at this income
A $75,000 salary
| Take-home in Alaska | $61,593 |
|---|---|
| Rank once local prices are leveledBEA price parity | 30th of 51 |
| Most take-home at this income | South Dakota · $61,593 |
| Best once prices are leveled | South Dakota |
State income tax only — no city or county income tax is applied to any state here.
Property tax on a home here
A $75,000 salary
| State effective rate | 1.11% |
|---|---|
| Median home in this state | $352,900 |
| Median tax actually paid | $3,901 |
| Rate rank, highest first | 16th of 51 |
| Pay needed to cover it | $5,545 |
A statewide average effective rate. Your town, county and school district set the real bill.
Explore more about pay, taxes and comparisons in Alaska
What changed in Alaska
A $75,000 salary
No tax law changes recorded for this state in this period.
Alaska against Texas
A $75,000 salary
| Measure | Alaska | Texas |
|---|---|---|
| Take-home pay | $61,593 | $61,593 |
| Worth after local prices | $60,554 | $63,383 |
| Share of pay taxed | 17.88% | 17.88% |
| State sales tax | 0% | 6.25% |
| Groceries exempt here | Yes | Yes |
| Clothing exempt at $100 | No | No |
| Property tax rate | 1.11% | 1.49% |
| Price level | 101.7 | 97.2 |
| Housing prices | 96.6 | 97.4 |
| Fuel tax | 8¢ | 20¢ |
| Tobacco tax | $2.00 | $1.41 |
City income tax excluded. Sales-tax row: state-only. Exemptions: Alaska, Statewide average; Texas, Harris County (Houston). Clothing: one $100 item; higher prices can change tax.
What you would need there
A $75,000 salary
| To match take-home only | $75,000 |
|---|---|
| You could take a cut of | −$3,908 |
| Prices in Texas | 97 vs 102 |
State taxes and state price levels only. No city tax, and no housing market.
Every state, at your income
A $75,000 salary
| Best to worst | $6,012 |
|---|---|
| Behind the best | $0 |
| Best at this income | South Dakota |
State income tax only. Each dot is one state's take-home on this salary.
The three taxes you meet
A $75,000 salary
- Income tax17.88%
- Sales tax$0
- Property tax$3,316
| Income tax paid | 17.88% |
|---|---|
| Sales tax, on that spending | $0 |
| Property tax, on that home | $3,316 |
Three different bases, so never summed. Assumes 30% of take-home spent taxably, on a $300,000 home.
Property tax, against the country
A $75,000 salary
| Lowest in the country | 0.27% |
|---|---|
| Highest | 2.11% |
A statewide average effective rate. Your town and school district set the real bill.
When you start earning for yourself
A $75,000 salary
- To income tax · 66 days
- Yours · 299 days
| Share of pay taxed | 17.88% |
|---|
Your income tax, restated as time. Not the national figure, which counts every other tax too.
Price something out in Alaska
Adjust assumptions
to cover an air conditioner
$509 invested upfront, assuming 7% a year. Includes your starting money and its growth. An illustration, not a forecast; investment growth is separate from the purchase cost above.
- Income tax (federal, FICA, state)30%$215
- Sales tax1%$9
- Air conditioner69%$500
- Income tax (federal, FICA, state)
- Sales tax
- Air conditioner
Data for nerds — sources, confidence and assumptions
Data for nerdssources, confidence, assumptions
Where each number comes from
| Component | Amount | Confidence |
|---|---|---|
| Item price | $500.00 | Your figureHigh confidence. You supplied this, so it is exact by definition. |
| Sales tax | $9.10 | JurisdictionalMedium confidence. The right jurisdiction, but special districts within it can vary — bounded, and we know the range. |
| Income tax to earn it | $214.57 | StatutoryHigh confidence. This number is the law — federal, FICA and state tax rates are published rates, so the only real risk is staleness. |
Jurisdiction applied
- State:
AK - Sales tax county:
Statewide average - Local income tax: none selected
Assumptions
- We use the normal sales tax rate.
- The electricity to run it is left out. Over the life of the unit that usually costs more than the unit did.
- Sales tax applies at the standard rate.
- Electricity to run it is excluded and typically exceeds the purchase price over the unit's life.
Sources
Your position in the tax system
29.65% on the next dollarEvery extra dollar you earn is taxed at your marginal rate, not your average one — which is why a purchase costs more to fund than a paycheck stub suggests.
Marginal rates are read in gross-income terms: below the standard deduction an extra dollar of pay adds nothing to taxable income, so the true rate there is 0%, not the lowest bracket's. Excludes pre-tax deductions (401(k), HSA), which would lower all three.
Same purchase, different state
AK is #2 of 51The purchase inputs and income stay the same. Your row uses your calculator settings; other states use example counties and omit local income tax. Spread across all 51: $173, from New Hampshire to California.
- $711
- Alaskayou$724
- $884
Choose a state name to compare against somewhere else.
Where every dollar goes
30% never reaches youThe $723.67 you must earn, followed to where it lands. Select a band to isolate it.
- Federal income tax$159.21
- FICA (Social Security + Medicare)$55.36
- Air conditioner$500.00
- Sales tax$9.10
Each tax layer is the extra tax this purchase causes — that layer's tax at your income subtracted from its tax at your income plus the gross-up — so bracket boundaries the purchase straddles are handled correctly rather than smoothed over with an average rate.
Is a raise actually a raise?
you keep 70%A raise arrives on top of everything you already earn, so it is taxed at your marginal rate — not the average rate on your whole salary.
Federal, FICA, state and any local income tax — no pre-tax deductions, benefit changes, or payroll withholding quirks, all of which move the real figure. Moving into a higher bracket never taxes the income below the threshold: only the dollars above it pay the higher rate.
Deep dives for Alaska
- Car payment or lease in Alaska
- Clothing in Alaska
- Coffee habit in Alaska
- Grocery delivery in Alaska
- Haircut in Alaska
- Home purchase in Alaska
- Hotel stay in Alaska
- Phone plan in Alaska
- Prescription refill in Alaska
- Rent in Alaska
- Rental car in Alaska
- Restaurant dinner in Alaska
- Used car from a private seller in Alaska
- Wedding in Alaska
- Weekly groceries in Alaska
Every purchase we model
Browse all 91 purchase categories
Questions people ask
If there is no income tax here, where does the money come from?
From the other three. Sales tax, property tax and excise carry what an income tax would have carried, so the money is collected when you spend and when you own rather than when you earn. Property alone runs at about 1.11% of a home's value here.
Do I still have to file a state tax return here?
Generally no state return for wages: Alaska has nothing to report to. Your federal return is unchanged, and income earned in another state may still need filing in that state.
Why is the sales tax I pay higher than the state rate?
Because the state rate is only the first layer. Counties, cities and special districts add their own on top, so the about 0% on the statute becomes about 1.82% at the register — and it changes street by street.
My property tax is a rate on a value nobody asked me about. Where does that value come from?
From an assessor, on a schedule the county sets. Your bill is that value times about 1.11%, which sits above the about 0.94% national mean — and a reassessment alone can raise it.
How do states without an income tax fund themselves?
States without a personal income tax substitute consumption and property bases. Alaska levies no income tax; its statewide effective property tax rate is about 1.11% against a national mean of about 0.94%, with sales and excise carrying the remainder of general revenue.
What state filing obligation remains without a personal income tax?
Alaska imposes no personal income tax on wages, so no resident wage return is required. Federal obligations are unaffected. Non-resident liability in other states is determined by those states' sourcing rules, and business or entity-level filings may still apply.
What composes a combined sales tax rate?
The combined rate is the sum of the state levy and every local levy sourced to the point of sale. In Alaska the state component is about 0% and the representative combined rate is about 1.82%; county, municipal and special-district add-ons vary within the state, so a single statewide figure is an approximation.
How is the assessed value underlying a property tax bill determined?
Liability is assessed value × the applicable millage. Assessment methodology, cycle and any ratio or cap are set by the taxing jurisdiction, not by transaction price. Alaska's statewide effective rate is about 1.11% against a national mean of about 0.94%, so reassessment has a larger absolute effect here than the rate comparison alone suggests.