If I purchase a taxable item or service in a city that is located in a county that imposes a county sales tax, do I pay the state tax, city tax, AND county tax, too?
No, the county tax is only imposed on taxable sales within the boundaries of the county, but outside the city boundaries of any city that imposes a city sales tax. Sales made in a city that is located in a county that has a county sales tax will be subject to the state rate and the city rate only. Sales made within a county that imposes a county sales tax, but outside any city limits of a city that imposes a city sales tax, will be subject to the state rate and the county rate only. For example, a taxable purchase made in Dakota City (which does not impose a local option sales tax) is subject to the state sales tax rate of 5.5%, plus the county sales tax rate of 0.5%, for a total sales tax rate of 6.0%. A taxable purchase made in South Sioux City (one of the two cities within Dakota County imposing a local option sales tax) is subject to the state sales tax rate of 5.5%, plus the city sales tax rate for South Sioux City of 1.5%, for a total sales tax rate of 7.0%. No county sales tax i
Related Questions
- If I purchase a taxable item or service in a city that is located in a county that imposes a county sales tax, do I pay the state tax, city tax, AND county tax, too?
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