Arkansas Gas Sales Contract
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FAQ
Examples of items subject to Use Tax include records, CD's, books, furniture, jewelry, clothing, food, hunting and fishing gear, etc. These are only a few examples; all tangible personal property purchased out of state is subject to the Use Tax.
Only vehicles that were purchased at a cost of 4,000 dollars or less are exempt from sales tax.
How much is the sales tax on a car in Arkansas? All car sales in the state include a tax rate of 6.5 percent. Still, your overall tax cost will depend on the county and municipal taxes, which might add another 5% to your overall tax cost.
Calculating your vehicle sales tax in Arkansas is pretty straightforward. Use your city's overall sales tax rate as a starting point for your calculation. For instance, the sales tax rate in Arkansas is 6.5%; add this sales tax fee to the vehicle value before incentives and after trade-in credits.
Tax-exempt customers Some customers are exempt from paying sales tax under Arkansas law. Examples include government agencies, some nonprofit organizations, and merchants purchasing goods for resale. Sellers are required to collect a valid exemption or resale certificate from buyers to validate each exempt transaction.
The state Use Tax rate is the same as the Sales Tax rate, 6.500%. In addition, you are required to remit the city and/or county tax where the items are first delivered in Arkansas. A list of tax rates for cities and counties may be obtained from the Sales Tax and Use Tax Section or downloaded from our website.
Here's how to calculate the sales tax on an item or service: Know the retail price and the sales tax percentage. Divide the sales tax percentage by 100 to get a decimal. Multiply the retail price by the decimal to calculate the sales tax amount.
