City of Ketchikan changes to different seasonal sales tax rates

The Ketchikan City Council on Aug. 18 voted to adopt a seasonal sales tax rate structure. The current 4% rate within the city limits will increase to 5.5% from April 1 through Sept. 30, and will drop to 3% from Oct. 1 through March 31 each year.

The change will take effect April 1, 2023.

The city sales tax rate currently is 4% year-round, and is added to the Ketchikan Gateway Borough tax rate of 2.5% on each sale.

According to a memo written by City Finance Director Michelle Johansen, the annual increase in revenue expected with the changes is about $1.95 million, due to heavier spending durin...