What is the sales tax rate in Iowa?

The Iowa state sales tax rate is 6.000%. Most local jurisdictions also impose a 1% local option sales tax, making the typical combined rate 7%.

Does Iowa have local sales tax?

Yes, Iowa allows local jurisdictions to impose a 1% local option sales tax. Most areas in Iowa have adopted this additional tax, so the combined rate is typically 7% (6% state + 1% local).

Are groceries taxed in Iowa?

No, most grocery items are exempt from sales tax in Iowa. Unprepared food intended for home consumption is generally tax-exempt. However, prepared foods, candy, soda, and alcoholic beverages are typically taxable.

Do I pay sales tax on used cars in Iowa?

Yes, Iowa charges sales tax on motor vehicle purchases, whether new or used. The tax is calculated at 5% for most vehicles (not the standard 6.000% rate) and must be paid when you register the vehicle.

When did Iowa last change its sales tax rate?

Iowa last changed its sales tax rate on July 1, 2008, when it increased from 5% to 6.000%. The rate has remained at 6% since then.

Do I pay Iowa sales tax on online purchases?

Yes, most online purchases delivered to Iowa addresses are subject to Iowa sales tax. Major online retailers typically collect this tax at checkout. The combined rate usually includes both the 6% state tax and the 1% local option tax.

Sales Tax Calculator

Iowa Sales Tax
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Q: What is Iowa's sales tax holiday?

Iowa offers an annual sales tax holiday on the first Friday and Saturday in August. During this weekend, clothing and footwear priced under $100 per item are exempt from sales tax. This is a great time for back-to-school shopping.

Q: Is clothing taxed in Iowa?

Yes, clothing is generally taxable in Iowa year-round. However, during the annual sales tax holiday on the first Friday and Saturday in August, clothing and footwear priced under $100 per item are exempt from sales tax.

Calculate Iowa sales tax instantly for any city. Enter any amount to see the exact tax and total.

State Rate

6.000%

Select City

Amount before tax

About Iowa Sales Tax

State rate: 6.000%

Local rate in Polk County: 1.000%

Combined rate in Des Moines: 7.000%

State Rate

6.000%

Local Tax

Up to 1%

Typical Rate

7.00%

Dubuque County

7.000%

Standard Rate

58,987

City	County	Standard Rate	Special District	Population
Des Moines	Polk	7.000%	Standard Rate	213,096
Cedar Rapids	Linn	7.000%	Standard Rate	137,904
Davenport	Scott	7.000%	Standard Rate	100,938
Sioux City	Woodbury	7.000%	Standard Rate	86,875
Ankeny	Polk	6.000%	Standard Rate	76,727
West Des Moines	Polk (primary)	7.000%	Standard Rate	73,664
Ames	Story	7.000%	Standard Rate	69,026
Waterloo	Black Hawk	7.000%	Standard Rate	67,477
Council Bluffs	Pottawattamie	7.000%	Standard Rate	62,665
Dubuque	Dubuque	7.000%	Standard Rate	58,987
Urbandale	Polk (primary)	7.000%	Standard Rate	47,759
Marion	Linn	7.000%	Standard Rate	42,542
Cedar Falls	Black Hawk	7.000%	Standard Rate	41,417
Bettendorf	Scott	7.000%	Standard Rate	40,281
Marshalltown	Marshall	7.000%	Standard Rate	27,886
Mason City	Cerro Gordo	7.000%	Standard Rate	26,948
Ottumwa	Wapello	7.000%	Standard Rate	25,648
Johnston	Polk	7.000%	Standard Rate	25,022
Fort Dodge	Webster	7.000%	Standard Rate	24,886
Clinton	Clinton	7.000%	Standard Rate	24,118
Coralville	Johnson	6.000%	Standard Rate	23,959
Burlington	Des Moines Co.	7.000%	Standard Rate	23,637
Muscatine	Muscatine	7.000%	Standard Rate	23,298
Altoona	Polk	7.000%	Standard Rate	22,598
North Liberty	Johnson	6.000%	Standard Rate	21,904
Clive	Polk/Dallas	7.000%	Standard Rate	19,508
Grimes	Polk/Dallas	7.000%	Standard Rate	17,266
Indianola	Warren	7.000%	Standard Rate	16,297
Iowa City	Johnson	6.000%	Standard Rate	7,671
Waukee	Dallas	7.000%	Standard Rate	3,442

Note: Most Iowa cities charge 7% total (6% state + 1% local option). Some jurisdictions may not have the local option tax.

How to Calculate Sales Tax in Iowa

Sales Tax Calculation

Iowa

Example: Television Purchase in Des Moines

Determine the purchase price

Purchase price (before tax) $500.00

Multiply by the tax rate

$500.00 × 7% (0.07)

Sales tax $35.00

Add to the original price

$500.00 + $35.00

TOTAL AMOUNT DUE $535.00

Thank you for your purchase

Reverse Calculation

Know the total? Divide by 1.07 to find the pre-tax price. Example: $107.00 ÷ 1.07 = $100.00

What's Taxed?

Taxable: Electronics, furniture, clothing

Exempt: Groceries, prescriptions

Special Iowa Sales Tax Rules

Sales Tax Holiday

Iowa offers an annual sales tax holiday on the first Friday and Saturday in August. During this weekend, clothing and footwear priced under $100 per item are exempt from sales tax.

How it works: If you purchase a pair of shoes for $85 during the tax-free weekend in August, you pay $85 (no tax). If you buy shoes for $120, you pay the full 7% sales tax on the $120.

Per item limit: Each individual item of clothing or footwear must be priced under $100 to qualify. The exemption doesn't apply to accessories, jewelry, or athletic equipment.

Tax-Exempt Items

Iowa exempts several categories from sales tax

•
Food & Groceries: Unprepared food items sold for home consumption
•
Prescription Drugs: Medications prescribed by licensed healthcare providers
•
Manufacturing Equipment: Machinery and equipment used in manufacturing
•
Agricultural Products: Seeds, feed, and certain farm equipment
•
Newspapers & Magazines: Periodicals sold by subscription

How Iowa Compares to Neighboring States

Here's how Iowa's sales tax stacks up against nearby states

6.000%

Wisconsin

5.00%

+ up to 1.75%
local tax

Minnesota

6.875%

+ up to 2%
local tax

Iowa

6.000%

+ 1% local option (typical)

#34 of 50 states

Illinois

6.25%

+ up to 4.75%
local tax

Missouri

4.225%

+ up to 5.875%
local tax

Iowa's combined rate of 7% is simpler and more predictable than Illinois, which can reach as high as 11% in Chicago.

Got Questions?

Frequently Asked Questions

Iowa Sales Tax Rate History

Iowa's sales tax was first enacted in 1934. Here's the complete history:

Effective Date	Rate	Change	Notes
July 1, 2008	6.0%	▲ +1.0%	Current rate
July 1, 1992	5.0%	▲ +1.0%	Increased from 4%
March 1, 1983	4.0%	▲ +1.0%	Increased from 3%
October 1, 1967	3.0%	▲ +1.0%	Increased from 2%
July 1, 1957	2.0%	▼ -0.5%	Temporary reduction
July 1, 1955	2.5%	▲ +0.5%	Temporary increase
1934	2.0%	—	Original rate (property tax relief)

Related Calculators & Resources

Calculator

Reverse Sales Tax

Find original price from total

State Calculator

Wisconsin

Calculate WI sales tax

State Calculator

Illinois

Calculate IL sales tax

State Calculator

Missouri

Calculate MO sales tax

State Calculator

Minnesota

Calculate MN sales tax

Resources

Official IA Tax Info

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Disclaimer: This calculator provides estimates based on current Iowa sales tax rates as of January 2025. Tax rates are subject to change by state legislation. For official tax rates and specific guidance on your situation, please consult the Iowa Department of Revenue or a qualified tax professional.

Not Legal or Tax Advice: The information provided on this page is for informational purposes only and should not be construed as legal or tax advice. Always verify current rates before making large purchases or business decisions.

Sources: Iowa Department of Revenue, Iowa Code Chapter 423 (Sales and Use Tax)

Last updated: October 10, 2025