Iowa Sales Tax
Iowa's 6% state rate is commonly supplemented by a 1% local option sales tax adopted by many cities. The combined rate of 7% applies in most populated Iowa areas. Groceries are exempt statewide.
Iowa combined rates by city
Combined rates vary across Iowa. Reference cities on this page include: Des Moines (7%), Cedar Rapids (7%), Davenport (7%), Sioux City (7%), Iowa City (7%), Waterloo (7%). ZIP codes and special districts can differ — use the official lookup linked above for address-level filing.
Common exemptions in Iowa
Common exemptions include: Groceries and unprepared food; Prescription drugs; Medical equipment; Agricultural items. Restaurant meals, prepared food, and many services are often taxable even when groceries are exempt.
Online sellers and economic nexus
Out-of-state sellers that exceed $100,000 in sales OR 200 transactions in Iowa in Iowa generally must register and collect tax on taxable sales delivered into the state. Marketplace facilitators often remit tax on behalf of third-party sellers.
How to use this calculator
Pick a city from the list or type the combined percentage from your IA tax lookup. Enter a pre-tax amount to add sales tax, or use reverse mode to split tax from a receipt total. Businesses should validate address-level rates in certified tax software before filing returns.