The Ohio (OH) state sales tax rate is currently 5.75%. Depending on local municipalities, the total tax rate can be as high as 8.75%.

Other, local-level tax rates in the state of Ohio are quite complex compared against local-level tax rates in other states. Ohio sales tax may also be levied at the city/county/school/transportation and SPD (special purpose district) levels.

Ohio sales tax has numerous local taxing levels that must be monitored and maintained on a regular basis, it is complex and time consuming due to the volume of jurisdictions.

Ohio requires any person or business making retail sales of taxable tangible personal property or taxable services to obtain a vendor’s license and collect and remit sales tax.

As a Streamlined Sales Tax state, Ohio encourages out-of-state businesses without a sales tax obligation to register and collect sales tax.

How to Register

The state offers several different licenses, clearly explained here. Businesses are strongly encouraged to apply for a vendor account electronically through Ohio Business Gateway. The processing of paper applications may take up to six weeks.

Businesses selling into multiple states may register with the Streamlined Sales Tax Project.

How to File and Pay

All vendors are required to file sales tax returns electronically. Businesses are encouraged to pay through Ohio Business Gateway, the Department of Revenue’s TeleFile system, or through the department’s filing software. Both filing systems accept electronic checks, credit cards, and paper checks accompanied by a return. Click on these links for additional payment information and license and filing information.

  • Taxpayers whose annual liability during the previous calendar year exceeded $75,000 are required to file monthly returns and make accelerated and final payments by electronic funds transfer.
  • Taxpayers with less than $15,000 in quarterly tax liability may file quarterly.
  • Taxpayers with less than $1,200 in tax liability per six-month period may file two, semi-annual returns.

Deadlines

All sales tax returns are due by the 23rd of the month following the reporting period.

Avalara Sales and Use Tax Products for Ohio

AvaTax – AvaTax is a powerful, online sales tax compliance solution that provides all businesses with a level of sales tax automation that until now has been available only to Fortune 500 companies. AvaTax’s transaction-based service model and seamless integration into business applications gives you rapid access to all jurisdiction assignments and real-time sales tax calculations. Cutting-edge technologies and superior processing logic can manage even the most complicated tax issues, such as situs, nexus, tax tiers, tax holidays, exemptions, certificate management and product taxability rules.

TrustFile - Avalara TrustFile provides detailed sales tax reporting for online sellers. Allowing businesses to know exactly where, when and how much to file. Ecommerce business owners can use TrustFile to determine whether or not they are collecting the right amount of sales tax in each individual state, and then store a record of their sales tax history securely in the cloud for free.

Ohio Department of Taxation