Iowa Sales Tax Rate Table

Iowa statewide sales tax rate: 6.00%. Local governments in Iowa may add their own sales tax on top of the state rate, so the total rate you charge depends on the address of the sale. Combined state and local rates average about 6.94%. Iowa’s sales tax is administered by the Iowa Department of Revenue.

Rates reviewed August 2026. State rates reflect statutory rates in effect as of July 1, 2026. Local rates change frequently — always confirm the rate for the exact delivery address before you file.

Iowa Sales Tax Rates at a Glance

Iowa sales tax rate summary — reviewed August 2026
Statewide sales tax rate6.00%
Local sales taxesYes — up to 1.00% additional
Average local rate0.94%
Average combined rate6.94%
Administered byIowa Department of Revenue
Registration documentIowa sales and use tax permit
Rate data reviewedAugust 2026

How Local Sales Tax Works in Iowa

Iowa’s local option sales tax is capped at 1%, and most of the state has adopted it, so the practical combined rate across Iowa is 7% almost everywhere. The tax is adopted jurisdiction by jurisdiction, which means a small number of areas remain at the 6% state rate only.

Which Iowa Rate Should You Charge?

Iowa is destination-sourced and a full Streamlined Sales and Use Tax Agreement member, so the local option tax follows the address where the buyer receives the goods.

What Iowa Taxes — and What It Doesn’t

Groceries for home consumption and prescription drugs are exempt. Iowa taxes an unusually long list of enumerated services, so service businesses should check the enumerated list rather than assuming they are outside the tax.

Look Up an Exact Iowa Sales Tax Rate

Publishing a fixed list of every Iowa city and county rate would be out of date within weeks, so we do not reproduce one here. The Department of Revenue publishes a list of jurisdictions that have adopted the local option sales tax and the dates it takes effect. Open the official Iowa Department of Revenue website at revenue.iowa.gov and use its rate lookup for the exact delivery address.

Registering to Collect Sales Tax in Iowa

Before you can legally charge Iowa sales tax you need to be registered with the Iowa Department of Revenue and hold a Iowa sales and use tax permit. Our sales tax application service files the paperwork for you. See the Iowa sales tax application page for what Iowa asks for.

Ready to register in Iowa? Apply for your Iowa sales tax permit online – it only takes a few minutes.

Start your application »

Iowa Sales Tax Rate FAQs

What is the sales tax rate in Iowa?

The Iowa statewide rate is 6.00%. With local taxes added, the total rate at a given address is typically higher — the average combined rate is about 6.94% and local add-ons can reach 1.00%.

Do I need a permit before I collect sales tax in Iowa?

Yes. Collecting sales tax without a valid Iowa sales and use tax permit is not permitted in Iowa. Register first, then start charging tax. You can apply for your Iowa sales tax permit here.

Do remote and online sellers have to collect Iowa sales tax?

Generally yes, once you cross Iowa’s economic nexus threshold or have a physical presence in the state. Marketplace facilitators such as Amazon and Etsy usually collect on their own sales, but sales through your own website normally remain your responsibility. See our sales tax registration overview for how nexus works.

How often do Iowa sales tax rates change?

The statewide rate changes rarely — local rates change far more often, frequently on 1 January, 1 April, 1 July or 1 October. Confirm the current rate with the Iowa Department of Revenue before filing a return.

Sales Tax Rates in Other States

Compare every state on our state sales and use tax rate hub, or check a neighbouring state:

Need to check a number you already have? Use our sales tax number verification page.

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