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Alert Juneau Tax Division Office Mailing Address Update 

All mail sent to the Tax Division office in Juneau through the U.S. Postal Service must be addressed to P.O. Box 110420, Juneau, AK 99811. Beginning Oct. 1, the Post Office will not deliver mail to the division’s Willoughby Avenue address, and the mail will be returned to the sender. In those cases, tax returns and payments may miss their filing deadline. This change does not affect the Anchorage Tax Division office.

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Tire Fees
2017 Annual Report


Tire Fees Reports





AS 43.98.025

Description

Alaska imposes a tire fee on the retail sale of new tires for motor vehicles designed for use on a highway. An additional tire fee is imposed on the retail sale in Alaska of tires for motor vehicles designed for use on a highway with metal studs weighing more than 1.1 grams each (heavy studs). The additional tire fee also applies to the installation of heavy studs in new or used tires.

The Department of Revenue’s Tax Division collects tire fees primarily from retail businesses that sell new tires.

Rates

A $2.50 tire fee applies to each new tire, and an additional $5 fee applies to each studded tire or stud installation on a tire. Therefore, the total fee for new studded tires is $7.50 per tire.

Returns

Taxpayers are required to file returns and remit fees quarterly. The returns must be filed electronically through Revenue Online.

The returns and payment are due the last day of the calendar month following the last day of the calendar quarter of the sale or installation.

Taxpayers may retain 5% of the amount collected, limited to a maximum of $600 per quarter, to cover expenses associated with collecting and remitting fees.

Exemptions

The following tires and services are exempt if the purchaser provides the tire seller with a certificate of use:

  • Tires and services sold to federal, state, local and foreign government agencies for official use.

  • Tires for resale.

  • Tires designed for highway use to be used on a motor vehicle not designed for highway use.

The $2.50 tire fee does not apply to used tires and certain replacements of defective tires.

Disposition of Revenue

The division deposits all revenue from tire fees into the General Fund.

History

2003 – The Alaska Legislature enacted the tire fees effective Sept. 26, 2003.

2015 – The Legislature passed Senate Bill 33, which clarified the return filing date as the last day of the calendar month following the last day of the calendar quarter of the sale or installation. In addition, the 5% cap on the amount retained to cover expenses associated with collecting and remitting the fees was reduced from $900 a quarter to $600 a quarter. SB 33 became effective May 12, 2015.




Data with additional years.

  Collections Summary

Fiscal Year

2017 2016 2015 2014

   New Tires (Non-Studded)

$1,070,317 $1,089,696 $1,133,124 $993,281

   Studded Tires and Stud Installations

343,899 379,326 373,883 324,771

   Penalties, Interest and Refunds

7,004 360 8,798 3,477

   Total Tax

$1,421,219

$1,469,382

$1,515,805

$1,321,529


  Filing Information

Fiscal Year

2017 2016 2015 2014

   Number of Returns

294 338 297 273

   Number of Taxpayers

75 76 72 75





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