Iowa Reverse Sales Tax Calculator

Iowa has a 6% state sales tax, and many cities and counties add a 1% local option sales tax, bringing the combined rate to 7% in most urban areas. The statewide average sits at 6.94%. Des Moines, Cedar Rapids, Davenport, and Sioux City all run at 7%. Rural areas with no local addition stay at 6%.

Iowa exempts unprepared groceries from sales tax entirely, so grocery receipts will show zero or very low tax. For retail purchases, the calculator defaults to Iowa's 6.94% average. Set it to 7% for Des Moines and most other cities, or 6% for areas without a local option tax.

Iowa average combined rate

Current Iowa Sales Tax Rates

ComponentRate
State rate6.00%
Average local rate0.94%
Average combined rate6.94%
Location Combined Rate
Des Moines7.00%
Cedar Rapids7.00%
Davenport7.00%
Sioux City7.00%

What's Taxable in Iowa

Iowa exempts unprepared groceries from sales tax — most food purchased at grocery stores is tax-free. Prepared food (restaurant meals, hot deli items) is taxed at the full combined rate. Prescription drugs are also exempt.

Worked Example

Purchase in Des Moines totaling $53.50 at 7.00%.

$53.50 ÷ 1.0700 = $50.00 (pre-tax price)

$53.50 − $50.00 = $3.50 (tax amount)

That's $3.50 in sales tax on a $50.00 purchase before tax. The main calculator handles this automatically — enter the total and rate and the breakdown appears instantly.

Frequently Asked Questions