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General Information on the Collection and Filing of Sales Tax
Business Registration - A city business registration form is required of anyone engaging in business or has a rental in the
City and Borough of Sitka. A deposit of $100.00 is required for all taxi accounts and $50.00 for itinerant accounts.
For non-resident business or itinerant business, please see the section below “Itinerant Business. ”
Sales Tax Rates (subject to change) –All sales, rentals and services provided during the months of:
▪ October, November, December, January, February, and March are taxed at 5%.
▪ April, May, June, July, August, and September are taxed at 6%.
Itinerant Businesses –Itinerant businesses are all persons temporarily engaging in the sale of any goods and services.
Itinerant businesses are required to register and remit tax in full prior to leaving the City and Borough, or within 24 hours
after expiration of their license. There is a fee of $2.00 per day ($6.00 minimum) or $25.00 per year maximum. To apply for
an Itinerant License, see online for more information (SGC 6.05.010-120 & SCG 4.25.270.A4)
Long Term Residential and Commercial Rent - Residential Long-Term Rent paid for thirty (30) consecutive days or more, or
an entire calendar month is exempt from sales tax. Other long-term rentals, including commercial property, trailer space
and lot fees, rented for thirty (30) or more consecutive days or an entire calendar month by a single person or persons of a
room, set of rooms, structure or suite such as trailer spaces, is tax year-round at a rate of 5%.
Short Term Residential and Commercial Rent –Transient Room Tax (Bed Tax) is 6% year-round for short term rentals (less
than 30 consecutive days). This tax shall be in addition to the general sales tax of the municipality and is required to file
quarterly returns. See Sales Tax Rates above.
Filing a Return –Each person engaged in business or non-casual sales in the City and Borough of Sitka is subject to taxation
under Section 4.25.010 and shall file a return. Important Note: Returns must be filed even if there are no sales made in that
particular quarter. Returns are mailed or emailed to you prior to the filing deadline. If you do not receive a return by
quarter end dates (listed below), it is your responsibility to obtain one. Forms are available online at
www.cityofsitka.com/collectingandfilingsalestax or from the tax office, located at 100 Lincoln Street, 1 stFloor Finance. Tax
is charged on the first $12,000 of a single sale or billing unit.
Quarterly Return and Due Dates:
Q1 Ending March 31 st Due April 30 th
Q2 Ending June 30 th Due July 31 st
Q3 Ending September 30 th Due October 31 st
Q4 Ending December 31 st Due January 31 st
***Late fees, penalties, and interest are charged on all late returns. Returns become delinquent one month
following the end of the quarter. Seethe section “Late Fees, Penalties, and Interest ” for more information. ***
➢ Discounts for Quarterly Filers - Monthly tax payments are encouraged and are available for all businesses that meet
the following guidelines. A 3% discount (up to $100.00) will be available when a business files their quarterly returns,
and only for those business whose accounts are current and make on-time consecutive monthly payments by the
15 thof each month. Quarterly returns are still required to be filed (showing revenue for all three months). If your
business made no sales, a quarterly return is still required.
➢ Yearly –The yearly sales tax return is due January 31 stor each year, for the prior year’s revenue.
To qualify for a Yearly Filing Returns
o Business must be current on their sales tax filings,
o File on-time quarterly returns, for a calendar year,
o The total amount collected and remitted to the City and Borough of Sitka is two hundred dollars ($200.00) or less. SGC
4.25.270.A3
o Applicant must request this option by filling out a Yearly Filer Request Form.
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