Connecticut's sales tax rate and what it covers

Connecticut charges a 6.35% sales tax on most goods and services you buy in the state. This is a single, statewide rate — it does not vary by town or county. The tax applies at the point of sale: when you buy something at a store, online from a Connecticut seller, or from a service provider in Connecticut, the tax is added to your bill.

Not everything is taxed at the same rate. Connecticut has a second tier of 1% tax that applies only to clothing and footwear under $50 per item. So if you buy a shirt for $30, you pay 1% tax on it, not 6.35%. If you buy the same shirt for $60, you pay 6.35%. This split rate has been in place since 2012.

Some items are not taxed at all. Groceries, prescription medications, and certain medical equipment are exempt. Prepared food — anything sold hot or meant to be eaten right away — is taxed at 6.35%, but cold takeout sandwiches and bakery items are not.

Key Takeaways

  • Connecticut's standard sales tax is 6.35% on most goods and services, with no local add-ons.
  • Clothing and footwear under $50 per item are taxed at only 1%, while items $50 and over are taxed at 6.35%.
  • Groceries, prescription drugs, and unprepared food are not subject to sales tax.
  • Online purchases from Connecticut sellers are subject to the same sales tax as in-store purchases.

What is taxed and what is not

The line between taxable and tax-free purchases is not always obvious. Groceries — items you buy at a supermarket to cook at home — are not taxed. This includes bread, milk, vegetables, meat, and canned goods. But if you buy a rotisserie chicken already cooked, or a prepared salad from the deli counter, that is taxed at 6.35%.

Prescription medications are not taxed, but over-the-counter drugs and vitamins are. Medical equipment like crutches, wheelchairs, and glucose monitors are exempt. Dental work and medical services are not subject to sales tax, but cosmetic procedures are.

Services are generally taxed. Haircuts, car repairs, plumbing, and pest control all carry the 6.35% tax. Laundry and dry cleaning are taxed. Gym memberships and personal training are taxed. Rental of tangible goods — like renting a car or a power tool — is taxed, but rental of real estate (apartments, houses) is not.

How the clothing tax tier works in practice

The $50 threshold for clothing is per item, not per transaction. If you buy five shirts at $12 each, each one is taxed at 1% because each individual shirt is under $50. If you buy one coat for $120, that coat is taxed at 6.35%. If you buy a coat for $49.99 and a pair of shoes for $30, the coat is taxed at 1% and the shoes are taxed at 1%.

The threshold applies to the price before tax. If a shirt is marked $49.99, it is taxed at 1% even though the final price with tax will be higher. Footwear follows the same rule — a pair of shoes marked at $49.99 gets the 1% rate.

This rule applies only to clothing and footwear. Accessories like belts, hats, and scarves are taxed at 6.35% regardless of price. Underwear and socks are considered clothing and follow the $50 rule.

Online purchases and out-of-state sellers

If you buy from a Connecticut-based online seller, you pay Connecticut sales tax. The tax applies whether you pick up the item in a store, have it shipped to your home, or download it. Connecticut sellers are required to collect and remit the tax.

If you buy from an out-of-state seller — a company with no physical location or employees in Connecticut — the rules depend on the seller's size and sales volume. Large retailers like Amazon, Walmart, and Target collect Connecticut sales tax on orders shipped to Connecticut addresses, even though they are based elsewhere. Smaller out-of-state sellers may not collect the tax, though Connecticut residents are technically responsible for paying "use tax" on those purchases when they file their state income tax return. In practice, most people do not report these purchases.

Who collects and where the money goes

The business selling you the item collects the sales tax and sends it to the Connecticut Department of Revenue Services. The tax does not go to your town or city — it is a state revenue source. Connecticut uses sales tax revenue to fund state operations, schools, and infrastructure.

Businesses are required to register with the Department of Revenue Services and file sales tax returns, usually monthly or quarterly depending on their volume. If a business fails to collect or remit sales tax, the state can pursue the business for back taxes and penalties.

Frequently Asked Questions

Do I pay sales tax on groceries?

No. Groceries — food you buy to prepare and eat at home — are not taxed. This includes produce, meat, dairy, bread, and canned goods. Hot or prepared food, like rotisserie chicken or deli salads, is taxed at 6.35%.

What counts as clothing under the $50 rule?

Clothing and footwear under $50 per item are taxed at 1%. This includes shirts, pants, dresses, shoes, and socks. Accessories like belts, hats, and gloves are taxed at 6.35% regardless of price. The threshold is the price before tax.

Do I owe sales tax on items I buy from out-of-state websites?

Large online retailers collect Connecticut sales tax on shipments to Connecticut. Smaller sellers may not. Connecticut residents are technically liable for "use tax" on untaxed purchases, but this is rarely enforced for individual shoppers and is reported on state income tax returns, not at checkout.

Is sales tax added to the price shown in the store?

Yes. The price on the shelf or tag does not include sales tax. The tax is calculated and added at checkout. A $10 item costs $10.635 after tax (6.35%), though stores typically round to the nearest cent.

Are haircuts and services taxed?

Yes. Services like haircuts, car repairs, plumbing, dry cleaning, and personal training are all subject to the 6.35% sales tax. Medical and dental services are not taxed, but cosmetic procedures are.