The 5 US States With No Sales Tax (2026 Guide)
2026-07-06 · ReelAddress
Most US states add 4–10% sales tax to every purchase at checkout. Five states don't: Oregon, Delaware, Montana, New Hampshire and Alaska — often remembered by the acronym NOMAD. If an online order ships to an address in one of these states, the retailer charges no state sales tax at all.
The five states compared
| State | State sales tax | Notes for shoppers |
|---|---|---|
| Oregon (OR) | 0% | Most popular for forwarding; Portland has many warehouses |
| Delaware (DE) | 0% | East-coast favorite; close to NY/NJ distribution hubs |
| Montana (MT) | 0% | Some resort towns levy small local taxes |
| New Hampshire (NH) | 0% | No tax on goods; popular with New England shoppers |
| Alaska (AK) | 0% state | Localities may add up to ~7%; shipping costs more |
Why package forwarders love these states
International shoppers can't always ship directly from US stores. The standard workaround is a package-forwarding service: you get a US warehouse address, ship your order there, and the service forwards it overseas. If that warehouse is in Oregon or Delaware, every order is automatically sales-tax-free — on a $1,000 laptop that saves roughly $60–100 compared to shipping to California or New York.
What a tax-free address looks like
A valid Oregon address follows the standard USPS format — for example 1234 Riverside Dr, Portland, OR 97209. The critical part is internal consistency: the ZIP code must genuinely belong to the city and state, or checkout validation will reject it. Our US tax-free state address generator produces addresses whose city, state, ZIP and phone area code all match, which makes it useful for testing checkout flows and understanding the format.
Common questions
Is shipping to a tax-free state legal? Yes — sales tax is charged based on the delivery address, and choosing where your goods are delivered is entirely lawful. (Your home country may still charge import duties on forwarded parcels.)
Which state should I pick? Oregon and Delaware have the deepest forwarding-warehouse ecosystems and standard shipping rates. Alaska is rarely worth it because of freight costs.
Can I just enter a random Oregon address at checkout? For real purchases, no — you need a deliverable address from a forwarding service. Generated addresses are for testing, development and format reference.