Alaska, one of only five states without a state-level sales and use tax, has introduced H.B. 4005. If passed, the new law will create a state-level sales and use tax collection requirement that will become effective July 1, 2022.
Upon passage, the following will apply:
- Alaska will join the Streamlined Sales and Use Tax Agreement.
- The sale or lease of tangible personal property or services within Alaska will be assessed a 2% state sales tax based on the sales price of the transaction.
- Persons using tangible personal property or services acquired outside of the state, in a transaction that would have been subject to tax if it was purchased within Alaska, will be assessed a 2% state use tax based on the sales price of the transaction.
- Tangible personal property that was acquired by a purchaser for a use that was exempt under AS 43.44.060, but later converted to a use that is subject to sales tax, will be assessed a 2% state use tax.
Stay tuned for further updates!