Ohio's statewide sales tax is 5.75 percent

Ohio charges a base sales tax of 5.75 percent on most retail purchases. However, the total tax you pay depends on where you buy the item, because counties and some cities add their own local sales taxes on top of the state rate. Your actual tax rate can range from 5.75 percent to as high as 8.5 percent depending on your location within the state.

The state collects this tax at the point of sale — when you pay for an item at a store, online retailer, or service provider. The retailer holds the money and sends it to Ohio's Department of Taxation. Local governments receive their portion of what you pay.

Key Takeaways

  • Ohio's state sales tax rate is 5.75 percent, but your total rate includes county and city taxes that vary by location.
  • Some items are exempt from sales tax in Ohio, including most groceries, prescription medications, and medical equipment.
  • The total sales tax you pay can range from 5.75 percent to 8.5 percent depending on which county and city you are in.
  • Online purchases are subject to Ohio sales tax if the seller has a physical presence or meets certain sales thresholds in the state.

How local taxes add to the state rate

Every Ohio county adds a sales tax on top of the 5.75 percent state rate. County rates range from 0.5 percent to 2.25 percent. Some cities within those counties add an additional local sales tax, usually between 0.5 percent and 1.5 percent.

For example, if you live in Franklin County (Columbus), the county adds 1.5 percent. If you shop in Columbus itself, the city adds another 1.5 percent, bringing your total to 8.75 percent. In contrast, a purchase in a rural area of a county with a lower rate might total only 6.25 percent.

You can find your exact local rate by entering your address on the Ohio Department of Taxation website or by calling your county auditor's office. The rate applies to the location where you make the purchase, not where you live.

What is and is not taxed in Ohio

Not everything you buy is subject to sales tax in Ohio. Groceries and food for home consumption are exempt — this includes bread, milk, vegetables, and meat from a grocery store. However, prepared food, restaurant meals, and food from a deli counter are taxed.

Prescription medications are not taxed, but over-the-counter drugs and vitamins are. Medical equipment such as wheelchairs, crutches, and diabetic supplies are exempt when purchased for personal use. Clothing and shoes are taxed in Ohio, with no exemption for children's clothing.

Services are generally not subject to sales tax in Ohio, though there are exceptions. Labor and installation charges are usually not taxed, but some services bundled with products may be. If you are unsure whether a specific item or service is taxed, ask the retailer or contact the Ohio Department of Taxation.

Sales tax on online and out-of-state purchases

If you order from an online retailer, Ohio sales tax applies if the seller has a warehouse, office, or other physical presence in Ohio, or if they meet Ohio's sales threshold. As of 2024, most large online retailers collect and remit Ohio sales tax on orders shipped to Ohio addresses.

If a retailer does not collect Ohio sales tax at checkout, you may owe use tax on that purchase. Use tax is a parallel tax that applies to items bought outside Ohio but used within the state. Most people do not pay use tax voluntarily, but Ohio can pursue it for large purchases or business transactions.

When you order from a retailer outside the United States, Ohio sales tax does not apply, but you may owe federal import duties or state use tax depending on the item and its value.

How sales tax is calculated and collected

Sales tax is calculated on the total purchase price before any discounts or coupons are applied. If you buy an item for $100 and use a $10 coupon, the tax is calculated on $90. Some retailers round the tax to the nearest cent, which means the final amount you pay may differ slightly from the exact calculation.

The retailer is responsible for collecting the tax and remitting it to Ohio's Department of Taxation. Businesses file sales tax returns monthly or quarterly depending on their sales volume. The state then distributes the local portion to counties and cities.

You do not file a separate form to pay sales tax — it is included in your receipt total. The breakdown of state, county, and city portions may or may not appear on your receipt depending on the retailer's system.

Special situations and exemptions

Resale certificates allow businesses to buy items without paying sales tax if they plan to resell them. A business must provide a resale certificate to the retailer. This prevents double taxation — tax is paid only when the final customer buys the item.

Nonprofit organizations may be exempt from sales tax on certain purchases if they have a valid exemption certificate from Ohio. The exemption is limited and does not apply to all items or all purchases.

Manufacturing equipment used directly in production may may have access to for exemption or reduced tax rates under Ohio's industrial equipment exemption. Businesses must register with the Department of Taxation to claim this exemption.

Frequently Asked Questions

What is the sales tax rate in my city?

Your rate depends on your county plus any city tax where you make the purchase. Enter your address on the Ohio Department of Taxation website, or call your county auditor's office. Rates range from 5.75 percent to 8.5 percent statewide.

Do I pay sales tax on groceries?

No. Food for home consumption — bread, milk, vegetables, meat, and canned goods from a grocery store — is exempt. Prepared foods, restaurant meals, and items from a deli counter are taxed.

Is clothing taxed in Ohio?

Yes. Clothing and shoes are subject to sales tax in Ohio, including children's clothing. There is no exemption based on the age of the wearer or the type of garment.

Do I owe tax on items I buy online from out of state?

If the retailer has a physical presence in Ohio or meets sales thresholds, they collect Ohio tax at checkout. If they do not, you may owe use tax, though most individuals do not pay it voluntarily.

Are prescription medications taxed?

No. Prescription medications are exempt from sales tax. Over-the-counter drugs, vitamins, and supplements are taxed.