Iowa sales tax rules
Quick answer
Iowa charges a 6% statewide sales tax, plus local county, city and district add-ons. What gets taxed matters as much as the rate: below is how Iowa treats each category that commonly changes a receipt total.
Direct answers
Each answer has its own page with the full rule and exceptions.
Is there sales tax on groceries in Iowa?
No. Groceries bought for home preparation are exempt from Iowa state sales tax. Prepared and restaurant food is still taxable.
Is clothing taxed in Iowa?
Yes. Clothing is fully taxable in Iowa at the combined state and local rate.
Is shipping taxable in Iowa?
It depends on how you invoice it. In Iowa, separately stated delivery is generally exempt, while bundled shipping-and-handling is taxable.
Do I have to charge sales tax for online sales in Iowa?
Only after you cross economic nexus. Once you exceed $100,000 in sales into Iowa over 12 months, you must register with the Iowa Department of Revenue and charge the buyer's destination rate.
Does Iowa have a tax-free weekend?
Yes. Iowa runs a sales tax holiday: Clothing and footwear holiday on the first Friday and Saturday of August, items under $100. Qualifying purchases skip the full combined rate, which runs 7% in covered Iowa metros.
Iowa rates by city
Combined state, county, city and district rates.