State To Raise Sales Tax Soon

As of Jan. 1, Arkansas retailers will have to charge another half a penny for every dollar of goods and services sold. The state sales and use tax will increase from 4.625 percent to 5.125 percent.

The increase in the sales tax was part of Amendment 2 to the state constitution, which was approved by voters on Nov. 7. The amendment will also reduce property taxes statewide.

The Arkansas Department of Finance and Administration has begun sending more than 60,000 notices to businesses in the state, reminding them to adjust computers and cash registers for the new figures.

“It won’t affect us terribly to get it implemented,” said Mike Thurow, vice president of store systems for Harps Food Stores in Springdale. “You worry a bit about the customers’ reaction, but people usually understand that we’re an instrument of the state in this.”