1. What is Ohio Sales Tax?

The Ohio sales tax is a consumption tax imposed by the state of Ohio on the sale of goods and some services. The 2025 state sales tax rate is 5.75%, with local jurisdictions potentially adding additional taxes.

2. How Does the Calculator Work?

The calculator uses the simple sales tax formula:

Where:

• \( Amount \) — Purchase amount before tax (USD)
• \( Rate \) — Sales tax rate (decimal)

Example: For a $100 purchase with 7.5% tax rate:
$100 × 0.075 = $7.50 tax

3. Importance of Sales Tax Calculation

Details: Accurate sales tax calculation is essential for businesses to collect proper taxes and for consumers to understand their total purchase costs.

4. Using the Calculator

Tips: Enter the purchase amount in USD and the tax rate as a decimal (e.g., 7.5% = 0.075). The calculator will compute both the tax amount and total amount.

5. Frequently Asked Questions (FAQ)

Q1: What is Ohio's 2025 state sales tax rate?
A: The base state rate is 5.75%. Local rates may add up to 2.25% more.

Q2: Are all items taxable in Ohio?
A: No, groceries, prescription drugs, and some other items are exempt from sales tax.

Q3: How often do sales tax rates change?
A: State rates change infrequently, but local rates may change more often.

Q4: Should businesses use this for filing taxes?
A: No, businesses should use official tax tables for filing as rounding rules may differ.

Q5: Why use decimal format for the rate?
A: Decimal format (0.075) is mathematically simpler than percentage format (7.5%) for calculations.