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Iowa Sales Tax Calculator

Free Iowa sales tax calculator for 2026. Calculate sales tax at 6% state + 0.94% average local = 6.94% combined rate. Includes reverse calculator and tax-exempt items. No sign-up required.

How Iowa Sales Tax Works

Iowa charges a 6% state sales tax rate. On top of that, local jurisdictions (counties, cities, special districts) add their own taxes, bringing the average combined rate to 6.94%. That means on a $1,000 purchase, you'd pay approximately $69.40 in sales tax for a total of $1069.40.
The Iowa state rate of 6% applies uniformly across the state, but local surtaxes vary significantly by location. The average local rate across IA is 0.94%, but some cities and counties charge more or less than this average. This calculator uses the average local rate, but you can override it with your specific city rate for a more accurate calculation.
Good news: Iowa exempts groceries, prescription drugs from state sales tax. However, clothing are still subject to sales tax in Iowa. These exemptions can make a real difference in your annual spending, especially on groceries which are a recurring expense for every household.
Need to work backwards? If you have a total receipt and need to find the original price before tax, use the reverse sales tax formula: divide the total by (1 + tax rate). For example, a $1069.40 total with 6.94% tax means the original price was $1,000 ($1069.40 ÷ 1.694). This is useful for expense reports and bookkeeping.
Since the 2018 South Dakota v. Wayfair Supreme Court decision, online retailers must collect Iowa sales tax on purchases shipped to IA residents. Most online purchases now include Iowa sales tax based on the buyer's location, including any applicable local taxes.

Iowa Sales Tax Key Rates (2026)

Iowa State Rate

6%

Iowa Avg Local Rate

0.94%

Iowa Combined Rate

6.94%

Tax on $1,000

$69.40

Total on $1,000

$1069.40

Iowa Sales Tax FAQ

What is the sales tax rate in Iowa?

The state sales tax rate in Iowa is 6%. With average local taxes, the combined rate is approximately 6.94%. Actual rates may vary by city and county within Iowa.

Why does the sales tax rate vary within Iowa?

Iowa allows local jurisdictions (counties, cities, and special districts) to add their own sales taxes on top of the 6% state rate. These local rates vary by location, which is why you might pay a different total rate in different cities within Iowa.

What items are exempt from sales tax in Iowa?

In Iowa, groceries, prescription drugs are exempt from state sales tax. However, clothing are still subject to sales tax. Exemptions may vary at the local level.

How do I calculate sales tax in Iowa?

Multiply the purchase price by the combined tax rate. For example, on a $100 purchase at the 6.94% combined rate in Iowa: $100 × 0.694 = $6.94 in tax. Total price: $106.94.

Does Iowa charge sales tax on online purchases?

Yes. Following the 2018 South Dakota v. Wayfair Supreme Court ruling, online retailers must collect Iowa sales tax on purchases shipped to Iowa residents. The rate is based on the buyer's location within Iowa.

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