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Live Data: April 2026

Iowa City, IA Sales Tax Rate 2026

The combined sales tax rate in Iowa City, Iowa is 6.500%.

Combined Rate 6.500%
State6.000% City0.500%

Iowa City Sales Tax Breakdown

Jurisdiction Rate
Iowa State Sales Tax 6.000%
City / Municipal Tax 0.500%
Total Combined Rate 6.500%

Which County Is Iowa City In?

Iowa City falls within Johnson, Iowa. Johnson imposes a 0.500% county-level sales tax in addition to the Iowa state base rate.

Iowa City ZIP Codes

The following ZIP codes are mapped to Iowa City for sales tax purposes. All listed codes apply the 6.500% combined rate.

52240 52245 52246 52242

Business Nexus in Iowa

Economic Nexus Threshold

Selling into Iowa from out of state? Once you exceed $100,000 in annual sales or 200 transactions, you must register and collect Iowa sales tax.

FAQ: Iowa City Sales Tax

The combined sales tax rate in Iowa City, Iowa is 6.500% as of 2026.
Multiply your purchase price by 6.500% to find the tax owed. A $500 purchase would include $32.50 in sales tax.
Groceries are generally taxable in Iowa. Check the official Department of Revenue for specific exemptions.
Vehicle purchases in Iowa City are subject to the 6.500% combined rate, though some states apply different rules for vehicle sales. Verify with the Iowa Department of Revenue or DMV.
Register for a sales tax permit through the official Iowa Department of Revenue website. Registration is typically free and required before collecting any sales tax.

Sales Tax Calculator

Using 6.500% rate for Iowa City, IA

$
Tax Amount $0.00
Total with Tax $100.00

Rate applied: 6.500% combined

Official Tax Authority

Iowa Department of Revenue

Filing Deadline: Monthly returns due the last day of the following month. File via GovConnectIowa.

Visit Official Portal (515) 281-3114