Arkansas Bureau of Legislative Research. Click here to get more information. Do you have a comment or correction concerning this page? We read every comment! This will include all online businesses. Sales Tax Calculator | Arkansas is a member of the Streamlined Sales and Use Tax Agreement, which means that the Arkansas Department of Finance and Administration has taken significant steps to simplify Arkansas's sales tax rules and administration process. State Aviation Taxes. The maximum local tax rate allowed by Arkansas law is 5.5… There are a total of 266 local tax jurisdictions across the state, collecting an average local tax of 2.157… This new law requires out-of-state sellers who have agreements with Arkansas residents to collect Arkansas state and local sales and use tax. This page describes the taxability of manufacturing and machinery in Arkansas, including machinery, raw materials and utilities & fuel. Box 1272, Little Rock, AR 72203-1272 (501) 682-7104 For Office Use Application for Sales and Use Tax Permit Applicants must answer ALL of the requested information fields in order to receive a permit for business in Arkansas… It should be noted, however, that both cities and counties charge their own taxes, which will be added to the flat state tax, to create a compounded total percentage rate. Usage is subject to our Terms and Privacy Policy. Let us know in a single click. For best results, use complete and accurate address information when submitting your query. Other Facts You Should Know about Arkansas Sales Tax … If you're an online business, you can connect TaxJar directly to your shopping cart, and instantly calculate sales taxes in every state. You can lookup Arkansas city and county sales tax rates here. Arkansas has state sales tax of 6.5%, and allows local governments to collect a local option sales tax of up to 5.5%. ... Arizona Sales and Use Tax Get the info you need to set up … We value your feedback! Rankings by Average State + Local Sales Tax: Ranked 5th highest by combined state + local sales tax, Ranked 13th highest by per capita revenue from state + local sales taxes ($1,271 per capita), Ranked 5th highest by state sales tax rate, Ranked 15th highest by per capita revenue from the statewide sales tax ($960 per capita). Sales tax generally applies on the sale to the end user or ultimate consumer. This page describes the taxability of software and digital products in Arkansas… Arkansas has state sales tax of 6.5%, Arkansas Sales and Use Tax Revenue (1990-2019). Any business that sells goods or taxable services within the state of Arkansas to customers located in Arkansas is required to collect sales tax from that buyer. SalesTaxHandbook visitors qualify for a free month by signing up via our partner program here: These rankings show how the Arkansas sales tax compares to the other 49 states + DC. § 26-52-317. Use tax is a complementary or compensating tax to the sales tax and does not apply if the sales tax was charged. In Arkansas, specified services are taxable. While Arkansas' sales tax generally applies to most transactions, certain items have special treatment in many states when it comes to sales taxes. 10. If State A imposes a 3-percent sales tax, which you paid, you are not off the hook if State B has a 5-percent use tax. Sales and use tax in Arkansas is administered by the Arkansas Department of Finance and Administration (DFA). "Services" refers to the sale of labor or a non-tangible benefit. We value your feedback! You are still encouraged however, to use our online resources when possible. Sales Tax Calculator | A note on paying Arkansas sales and use tax: Arkansas taxpayers whose tax liability is more than $20,000 during the taxable period are required to pay via electronic funds transfer (EFT). All rights reserved. 9. Act 1142 also relates to sales tax … The second option, which provides for an increased refund of all sales and use … Arkansas Sales and Use Tax Last updated Nov 6, 2018; Save as PDF Table of contents No headers. Click on any city name for the applicable local sales tax rates. The use tax has a similar impact when you purchase an aircraft in a state that has a low sales tax rate. SalesTaxHandbook visitors qualify for a free month by signing up via our partner program here: download an Arkansas sales tax rate database. The state of Arkansas has a simple sales tax system. the page about Arkansas' sales tax on cars, These local additions may vary significantly depending on which jurisdiction you are in, Arkansas Department of Finance and Administration. Simplify Arkansas sales tax compliance! You can also download an Arkansas sales tax rate database. Do you have a comment or correction concerning this page? Since Arkansas sales and use taxes hit the bottom line profit, it is extremely important to educate not only the accounting and tax … The state with the highest sales tax is ranked 1st, and states with the same sales tax have a tie rank. Faulkner County farmers, community business leaders and all nine mayors in the central Arkansas county have joined forces to defeat a Quorum Court tax split proposal that would give the … Kansas Sales and Use Tax Rate Locator. agency #006.05 arkansas rules • gross receipts tax rules • compensating use tax rules arkansas department of finance and administration revised 12/2006 Counties marked with a in the list below have a county-level sales tax. Sales tax is generally added to the sales price and is charged to the purchaser. Sales tax applies to retail sales of certain tangible personal property and services. To learn more, see a full list of taxable and tax-exempt items in Arkansas. Sales and Use Tax The Arkansas sales tax is 6.5% of the gross receipts from the sales of tangible personal property and certain selected services. If you have quetions about the online permit application process, you can contact the Department of Finance and Administration via the sales tax … © 2020 SalesTaxHandbook. Download our Arkansas sales tax database! To learn more about what types of transactions are subject to the sales tax to begin with, see what purchases are taxable in Arkansas? If you're an online business, you can connect TaxJar directly to your shopping cart, and instantly calculate sales taxes in every state. The sales tax on purchases made within the City limits is collected by the State of Arkansas who, in turn, passes back earmarked amounts to local governments such as counties and cities. Are services subject to sales tax in Arkansas? Any seller which conducts business and has a major presence within the state must collect sales tax in Arkansas … SalesTaxHandbook is a free public resource site, and is not affiliated with the United States government or any Government agency, Sales Tax Handbooks By State | All rights reserved. Choose one of the following options: Lookup Tax … Usage is subject to our Terms and Privacy Policy. Sales Tax Rate – 6.5%; plus 0-5.5% local taxes Possible exemptions to sales tax and other non-sales related taxes – Automate your business's sales taxes! “Sale” includes the lease or rental of tangible … Arkansas is also adding Internet sales to the use tax. Sales tax … Combined with the state sales tax, the highest sales tax rate in Arkansas is 11.5% in the city of Gould. Click here to get more information. Need an updated list of Arkansas sales tax rates for your business? The state of Arkansas does not usually collect any sales taxes on the vast majority of services performed. A.C.A. Cities or towns marked with an have a local city-level sales tax, potentially in addition to additional local government sales taxes. Use Tax is defined as a tax on the storage, use, or consumption of a taxable item or service on which no sales tax has been paid. © 2020 SalesTaxHandbook. Washington County facilities will be requiring face coverings and health … The Arkansas (AR) state sales tax rate is currently 6.5%. It is also worth noting that Arkansas is considered to be a Streamlined Sales Tax State, which means that the state has simplified their sales tax reporting requirements to encourage out-of-state businesses to collect and remit sales tax from buyers in Arkansas. This includes Arkansas’s sales tax rate of 6.5%, Benton county’s sales tax rate of 1%, and Mary’s local district tax rate of 2%. Download our Arkansas sales tax database! There are provisions in Arkansas law that allow the payment of sales tax on motor … that sales tax rates are determined by the location of the buyer when the transaction is completed. Print Exemption Certificates. You can learn more by visiting the sales tax information website at www.dfa.arkansas.gov. An example of taxed services would be one which … These local additions may vary significantly depending on which jurisdiction you are in. You can lookup Arkansas city and county sales tax rates here. Any sales tax collected from customers belongs to the state of Arkansas, not … Description. This is our recommendation if you need an in-depth look into sales taxes. "Goods" refers to the sale of tangible personal property, which are generally taxable. Click here for a larger sales tax map, or here for a sales tax table. This includes Sales, Use, Aviation Sales and Use, Mixed Drink, Liquor Excise, Tourism, Short Term Rental Vehicle, Short Term Rental, Residential Moving, Beer Excise and City and County Local Option Sales and Use Taxes. The Arkansas Sales Tax is administered by the Arkansas Department of Finance and Administration. Select Washington County locations are open. Arkansas has a For information on the Oneida Nation Settlement Agreement, see Oneida Nation Settlement Agreement. While the Arkansas sales tax of 6.5% applies to most transactions, there are certain items that may be exempt from taxation. Arkansas Taxpayer Access Point (ATAP) Register a new business or file reports and pay Withholding Taxes, Sales and Use Tax, Motor Fuels Tax (except IFTA) Dyed Diesel Tax, and Natural Gas Severance Tax. Automate your business's sales taxes! Many states have special sales tax rates that apply to the purchase of certain types of goods, or fully exempt them from the sales tax altogether. Municipal governments in Arkansas are also allowed to collect a local-option sales tax that ranges from 0% to 5% across the state, with an average local tax of 2.157% (for a total of 8.657% when combined with the state sales tax). Changes to Monthly Report of State Sales and Use Tax Gross Collections and Gross Retail Sales (January 2002) Changes to Monthly Report of State Sales and Use Tax Gross Collections and Gross Retail Sales … Sales Tax is defined as a tax on the sale, transfer, or exchange of a taxable item or service. We provide sales tax rate databases for businesses who manage their own sales taxes, and can also connect you with firms that can completely automate the sales tax calculation and filing process. The state has a flat sales tax percentage rate that will not vary depending on location. If you are a business owner and need to learn more about things like getting a sales tax permit, filing a sales tax return, or making tax-exempt purchases for resale see the Arkansas Sales Tax Handbook's Table of Contents above. The Sales and Use Tax Section has created a text file which will help taxpayers to determine the local tax rate for locations within Arkansas. Depending on local municipalities, the total tax rate can be as high as 11.50%. In the map of Arkansas above, the 75 counties in Arkansas are colorized based on the maximum sales tax rate that occurs within that county. Municipal governments in Arkansas are also allowed to collect a local-option sales tax that ranges from 0% to 5% across the state, with an average local tax of 2.157% (for a total of 8.657% when combined with the state sales tax). To qualify for this refund, a taxpayer must hold a direct pay sales and use tax permit from the Arkansas Department of Finance and Administration (DFA). Arkansas has a statewide sales tax rate of 6.5%, which has been in place since 1935. This page provides an overview of the sales tax rates and laws in Arkansas. This site provides information on local taxing jurisdictions and tax rates for all addresses in the state of Kansas. higher-than-average sales tax, including Act 1001 affects Internet sales after October 24, 2011. We provide sales tax rate databases for businesses who manage their own sales taxes, and can also connect you with firms that can completely automate the sales tax calculation and filing process. Sales tax is a tax paid to a governing body (state or local) for the sale of … Print Exemption Certificates. This article applies to: Returns Central. Let us know in a single click. In-state Sales The state of Arkansas follows what is known as an … Need an updated list of Arkansas sales tax rates for your business? This page discusses various sales tax exemptions in Arkansas. You can easily acquire your Arkansas Sales & Use Tax Permit online using the Arkansas Taxpayer Access Point (ATAP) website. Sales and Use Tax Section P. O. There are a total of 266 local tax jurisdictions across the state, collecting an average local tax of 2.157%. While Arkansas' sales tax generally applies to most transactions, certain items have special treatment in many states when it comes to sales taxes. This means that, for orders placed via the internet/mail by a customer within Arkansas from a Arkansas vendor, the vendor must collect a sales tax rate applicable at the buyer's address (including any applicable local sales taxes). Our partner TaxJar can manage your sales tax calculations, returns and filing for you so you don't need to worry about mistakes or deadlines. Tax Rate (TXT) File | [10/19/2020] Note: This file format has changed so please check it before use within software. Sales and Use Tax Administers the interpretation, collection and enforcement of the Arkansas Sales and Use tax laws. and allows local governments to collect a local option sales tax of up to 5.5%. Phone numbers for the Sales Tax division of the Department of Finance and Administration are as follows: If you would like to learn more about how to manage your Arkansas sales taxes, we recommend the following books: This introductury book assists both current and aspiring small business owners with important tax planning issues, and covers a wide variety of small business tax topics. Simplify Arkansas sales tax compliance! This page … Arkansas is a destination-based sales tax state, which means arkansas sales and use tax educational service: Taxpayers need to understand the basics of Arkansas sales and use taxes or overpayments or underpayments may occur. Use tax applies if you buy tangible personal property and services outside the state and use it within New York State. Our partner TaxJar can manage your sales tax calculations, returns and filing for you so you don't need to worry about mistakes or deadlines. This book provides information and insights on how to comply with a multitude of sales and use tax laws and regulations. The maximum local tax rate allowed by Arkansas law is 5.5%. Here's how Arkansas taxes five types of commonly-exempted goods: For more details on what types of goods are specifically exempt from the Arkansas sales tax see Arkansas sales tax exemptions. Taxation of vehicle purchases in particular are discussed in the page about Arkansas' sales tax on cars. This can significantly increase the complication of filing your sales tax return, because different sales tax rates must be charged to different buyers based on their location. 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