Arkansas local sales tax rate changes and annexations in April, 2026

Arkansas sellers have already adjusted to local tax updates that took effect January 1, 2026 — but more changes are coming. The Arkansas DFA has issued a new Notice of Tax Change effective April 1, 2026, introducing additional rate changes and annexation updates that could impact how and where you collect sales tax.

Key points

• Effective date for the changes in this notice: April 1, 2026.
• Includes both rate changes and annexation or de-annexation updates.
• DFA notes timing rules for services that span the effective date (rate increases apply starting with the first billing period on or after the effective date, rate decreases apply to bills rendered on or after the effective date).

What’s changing

The notice covers the following “Rate Changes / Annexations”

Who this affects

• Sellers shipping taxable goods into Arkansas addresses in the jurisdictions listed above
• Businesses with recurring billing that could span the April 1, 2026 effective date
• Anyone whose tax engine uses address-level jurisdiction mapping (annexations and de-annexations)

If you use TaxCloud: TaxCloud applies Arkansas sales tax at the destination address level, including annexation and de-annexation updates and rate changes effective April 1, 2026, so sellers do not need to maintain local jurisdiction logic manually.

Next steps for sellers

• Update your effective-date logic: these changes start April 1, 2026.
• Review any recurring invoices or service periods that cross April 1, 2026 and confirm your billing rules follow DFA’s timing guidance.
• Validate affected ship-to locations (annexations and de-annexations can change the local rate that applies even when the customer’s city name looks the same).