| County | State Rate | County Rate | Combined Rate | Major City |
|---|---|---|---|---|
| Adair County | 0.06 | 0.01 | 0.07 | Greenfield |
| Adams County | 0.06 | 0.01 | 0.07 | Corning |
| Allamakee County | 0.06 | 0.01 | 0.07 | Waukon |
| Appanoose County | 0.06 | 0.01 | 0.07 | Centerville |
| Audubon County | 0.06 | 0.01 | 0.07 | Audubon |
| Benton County | 0.06 | 0.01 | 0.07 | Vinton |
| Black Hawk County | 0.06 | 0.01 | 0.07 | Waterloo |
| Boone County | 0.06 | 0.01 | 0.07 | Boone |
| Bremer County | 0.06 | 0.01 | 0.07 | Waverly |
| Buchanan County | 0.06 | 0.01 | 0.07 | Independence |
| Buena Vista County | 0.06 | 0.01 | 0.07 | Storm Lake |
| Butler County | 0.06 | 0.01 | 0.07 | Allison |
| Caldwell County | 0.06 | 0.01 | 0.07 | Toledo |
| Carroll County | 0.06 | 0.01 | 0.07 | Carroll |
The Iowa sales tax rate in 2026 is 6%. However, this rate can vary depending on the county and local jurisdiction. The combined state and local sales tax rate in Iowa ranges from 6% to 7%. Iowa has a relatively low sales tax rate compared to other states, with some counties having a lower rate due to local exemptions or reduced rates.
Iowa’s sales tax system is unique in that it has a statewide rate of 6%, with some counties adding an additional 1% local option sales tax. This means that the total sales tax rate in Iowa can range from 6% to 7%, depending on the location of the purchase.
In Iowa, certain items such as groceries, clothing, and prescription medications are exempt from sales tax. This means that when purchasing these items, the sales tax rate would be 0%, regardless of the location.
The Iowa Department of Revenue is responsible for collecting and administering sales tax in Iowa. The state uses a destination-based sales tax system, meaning that the sales tax rate is determined by the location of the buyer, not the seller.
In Iowa, businesses are required to collect sales tax on taxable sales and remit the tax to the state. The economic nexus threshold in Iowa is $100,000, meaning that out-of-state businesses with annual sales exceeding this amount must collect and remit sales tax to the state.