This blog was last updated on November 19, 2025
Ohio imposes a statewide sales and use tax rate of 5.75%, with local jurisdictions allowed to levy additional local sales taxes. Combined Ohio sales tax rates may vary by county or city. Understanding the current rate and how it applies to your business is essential for maintaining compliance with Ohio sales tax laws and regulations.
Learn more about managing compliance across states in the Sovos State-by-State Guide to Sales Tax.
What’s Taxable in Ohio
Ohio sales tax applies to the sale of tangible personal property and certain taxable services. Sellers offering taxable goods or services must collect and remit tax to the state.
Examples of taxable items and services include:
- Clothing
- Rental of tangible personal property
- Prewritten computer software
- Non-prescription medical items or drugs
- Automatic data processing, computer services, or electronic information services for business use
- Repair of tangible personal property
- Personal care services (manicures, tattoos, and tanning)
If you sell to customers online, it’s important to understand how Ohio sales tax for online purchases applies to your transactions.
Learn more about Ohio sales tax rules and thresholds in the Sovos blog on the Ohio Economic Nexus.
Sales Tax Nexus in Ohio
A seller must collect and remit Ohio sales tax if they meet the state’s nexus requirements—either physical or economic.
Ohio: Physical Nexus
Physical presence is established by having a business location, office, warehouse, vehicle, employee, or other representative operating within Ohio.
Ohio: Economic Nexus
Economic nexus applies to remote sellers making sales into Ohio. You create nexus if your business exceeds $100,000 in gross sales or 200 separate transactions within the state.
For more details, visit the Ohio Department of Taxation – Out-of-State Sellers page or review the Sovos State-by-State Guide.
Ohio Sales Tax Exemption
Certain products and services are exempt from Ohio sales tax. Understanding these exemptions can help businesses avoid overpayment and ensure compliance.
Exempt Products and Services
- Most services (unless specifically taxable)
- Food for human consumption off-premises
- Prescription drugs and qualifying medical equipment
- Property used directly in agriculture or manufacturing
- Select bullion and coins
- Children’s diapers, cribs, strollers, and booster seats
Entity or Use-Based Exemptions
Ohio also exempts transactions with specific organizations, including:
- Qualified nonprofit entities and 501(c)(3) organizations
- Churches
- Retailers purchasing for resale
- Government agencies
- Veteran’s organizations
How to Apply for an Ohio Sales Tax Exemption
To claim an Ohio sales tax exemption, entities must provide a valid exemption certificate (such as Form STEC B ) at the time of sale.
More information can be found at the Ohio Department of Taxation Forms Page.
Ohio Filing and Remittance Requirements
Businesses can file and remit Ohio sales and use tax using several methods:
- E-filing through the Sales and Use Tax Electronic Filing system
- Simplified Electronic Return (SER) for SST participants and affiliates
Taxpayers whose liability exceeds $75,000 in any calendar year are required to pay sales and use tax by electronic funds transfer (EFT) and to make accelerated payments for the second ensuing and each succeeding year. An accelerated payment must be equal to at least 75 percent of the anticipated tax liability for that month. For taxpayers required to make accelerated payments, the payment must be made by the 23rd day of the month for which the tax is due. Accelerated EFT Filers page.
Frequently Asked Questions
Is Ohio part of the Streamlined Sales Tax (SST) initiative?
Yes. Ohio participates in the Streamlined Sales Tax (SST) initiative to simplify and standardize multistate sales tax compliance. More information concerning SST may be found here.
Does Ohio have sales tax holidays?
Yes. Ohio offers an annual sales tax holiday, read here to learn what to expect. For this year’s Ohio sales tax holiday schedule, check tax.ohio.gov.
Are there special point-of-sale fees in Ohio?
Point-of-sale fees are fixed amount or rate-based assessments levied on certain products or services at the time of sale and paid by the final consumer at retail. For example, Ohio imposes the following point of sale fees:
- Firework Safety Fee
- Prepaid Wireless Fee
- Tire Fee
Does Ohio apply sales tax to shipping charges?
Generally, shipping is taxable when part of the total sales price.
Is Ohio origin- or destination-based for sourcing sales tax?
Ohio uses both origin and destination sourcing depending on the transaction type.
Can I use the Simplified Electronic Return (SER) if I’m not in the SST Model 1 program?
Yes. Ohio accepts Simplified Electronic Returns (SER) from any seller or tax provider that can transmit the return properly. You don’t need to be in the SST Model 1 program to use the SER—providers like Sovos can file on behalf of any client who opts into that method.
How do I register for an Ohio sales tax license?
Ohio businesses or individuals selling tangible personal property or certain services to Ohio consumers may need register to collect sales tax when meeting qualifying requirements. More information may be found here.
Further FAQ’s provided by the Ohio Department of Taxation may be found here.
Additional Resources
For more information on Ohio sales tax rules, exemptions, and filing requirements, visit:
Looking for an easier way to manage state sales tax rules and beyond? Learn how Sovos simplifies compliance.