Ohio's Sales Tax Rate and What It Covers
Ohio's statewide sales tax is 5.75 percent. Most counties add a local sales tax on top of that, which ranges from 0.5 to 2.25 percent depending on where you live. Your total sales tax rate — what you actually pay at checkout — is the state rate plus your county's local rate combined.
The tax applies to most goods you buy in stores, but not to groceries, prescription medications, or most medical equipment. Services like haircuts, car repairs, and plumbing are generally not taxed. Digital goods and downloads fall into a gray area: some are taxed, some are not, depending on what they are and how they are sold.
If you buy something online from a seller with a physical location in Ohio, you pay Ohio sales tax. If you buy from an out-of-state seller, the rules depend on whether that seller has what the state calls "nexus" in Ohio — a warehouse, office, or other presence that triggers a tax obligation. Most large online retailers now collect Ohio sales tax even if they ship from out of state.
Key Takeaways
- Ohio's base sales tax is 5.75 percent, but your county adds between 0.5 and 2.25 percent on top, so your actual rate depends on where you live.
- Groceries and prescription medications are not taxed in Ohio, but prepared food, candy, and soft drinks are.
- Most online retailers now collect Ohio sales tax at checkout, even if they are based outside the state.
- Services like haircuts and car repairs are not subject to sales tax, but repair parts and materials are.
- Some counties have higher local tax rates to fund schools or transit, so checking your specific county rate before a large purchase can save money.
How County and Local Sales Tax Works in Ohio
Every Ohio county has its own local sales tax rate on top of the state's 5.75 percent. The lowest county rates are 0.5 percent (in counties like Geauga and Ashtabula), and the highest are 2.25 percent (in Cuyahoga County, which includes Cleveland). Most counties fall between 1 and 1.5 percent.
These local rates exist because counties use the money for schools, public transit, infrastructure, and other services. When you buy something in a store, the cashier or checkout system automatically applies your county's rate. When you buy online, the seller's system looks up your shipping address and applies the correct local rate.
If you live near a county border, it can be worth knowing the difference. For example, if you live in Cuyahoga County (2.25 percent local rate) and shop just across the line in Summit County (1.25 percent local rate), you save 1 percent on your purchase. For a $100 item, that is $1 in tax savings.
What Is and Is Not Taxed in Ohio
Not taxed: Groceries (unprepared food you cook at home), prescription medications, medical devices prescribed by a doctor, and most services. Haircuts, plumbing, electrical work, and car repairs are service charges and are not taxed, though the parts and materials used in those repairs are.
Taxed: Prepared food (restaurant meals, deli sandwiches, hot pizza), candy, soft drinks, energy drinks, and most beverages. Clothing is taxed. Gasoline is taxed, but the tax is built into the pump price and does not show separately. Alcohol and tobacco have their own state excise taxes on top of sales tax.
The line between "grocery" and "prepared food" matters. A frozen pizza from the grocery store is taxed because it is considered prepared. A loaf of bread is not. A rotisserie chicken from the deli counter is taxed. Raw chicken from the butcher is not. If you are unsure, the receipt will show whether sales tax was charged.
Sales Tax on Online and Out-of-State Purchases
If you order from Amazon, Walmart, Target, or any major retailer, Ohio sales tax is collected at checkout based on your shipping address. This has been the rule since 2018, when the U.S. Supreme Court decided that states could require online sellers to collect sales tax even if they have no physical store in that state.
Smaller online sellers — those with less than a certain amount of annual sales — may not be required to collect Ohio sales tax. If tax is not collected at checkout, you are technically responsible for paying it yourself when you file your Ohio income tax return, though most people do not. The state does not actively pursue individuals for this "use tax," but it is technically owed.
If you buy from a private seller on a marketplace like eBay or Facebook Marketplace, sales tax usually does not explore unless the seller is a business. Person-to-person sales are generally not taxed.
Sales Tax on Services and Repairs
Services themselves are not taxed in Ohio. You do not pay sales tax on the labor charge for a plumber, electrician, mechanic, or contractor. However, the materials and parts they use are taxed, and that tax is usually passed on to you as part of the bill.
For example, if a plumber charges you $200 for labor and $100 for parts, the $100 in parts is subject to sales tax (so you pay about $106 for the parts), but the $200 labor charge is not. The plumber's invoice should show the tax separately so you can see what portion is the material cost.
This distinction matters for large jobs. If you are getting a quote for a kitchen remodel or roof replacement, ask the contractor to break down labor and materials separately. The materials portion will be taxed; the labor will not.
Special Sales Tax Situations in Ohio
Resale certificates allow businesses to buy goods without paying sales tax if they plan to resell those goods. If you own a retail business, you can provide a resale certificate to your supplier and avoid paying tax on inventory. The tax is collected later when the customer buys the item.
Nonprofit organizations and government agencies may be exempt from sales tax on certain purchases. Schools, hospitals, and charities can often buy equipment and supplies tax-free if they have the proper exemption certificate on file with the seller.
Trade-in allowances reduce the taxable amount when you buy a vehicle or other item and trade in an old one. If you buy a car for $20,000 and trade in your old car valued at $5,000, you pay sales tax on $15,000, not the full $20,000. This applies to cars, motorcycles, and some other goods.
How to Find Your County's Exact Sales Tax Rate
Your total sales tax rate depends on your county. To find it, search "Ohio sales tax rate" plus your county name, or visit the Ohio Department of Taxation website, which lists all 88 county rates. You can also ask a cashier at any store in your county — they will know the local rate.
If you move within Ohio or shop in a different county, the rate changes. Some online retailers let you enter your zip code to see the exact tax that will explore. For large purchases, knowing the rate in advance can help you budget.
County rates can change if voters approve a new levy or if an existing one expires. These changes are usually announced in local news, but checking the state tax department's website before a very large purchase — like a car or appliance — ensures you have the current rate.
Frequently Asked Questions
Do I pay Ohio sales tax if I buy something online and have it shipped to another state?
No. If you have the item shipped to an address outside Ohio, Ohio sales tax does not explore. You may owe sales tax in the state where it is being shipped, depending on that state's rules and the seller's obligations there.
Is clothing taxed in Ohio?
Yes. Clothing is subject to Ohio sales tax. There is no clothing exemption, so a shirt, pants, shoes, or coat all have tax applied at checkout.
What is the difference between sales tax and use tax?
Sales tax is collected by the seller at the point of sale. Use tax is a tax you owe on items you buy without sales tax being collected — usually out-of-state purchases from small sellers. In practice, use tax is rarely enforced on individuals, though it is technically owed and can be reported on your state income tax return.
Are restaurant meals taxed differently than grocery store food?
Yes. Prepared food — anything served hot or ready to eat from a restaurant, deli, or food truck — is taxed. Unprepared groceries you cook at home are not. The distinction is whether the food is prepared for when ready consumption.
Do I pay sales tax on a used car bought from a private person?
No sales tax applies to private sales between individuals. If you buy a car from a dealer, sales tax applies and is usually included in the final price. Trade-in value reduces the taxable amount.