Taxation in Ohio
Sales of food and beverages for consumption are taxable unless sold to-go as cold food like ice cream. Bakery items are exempt from sales tax. Goods subject to sales tax in Ohio include furniture, appliances, and vehicles. Groceries, medicine, and gasoline are exempt. Manufacturers using property in manufacturing are sales tax exempt in Ohio.
Tax Policies and Exemptions
States define retail sales and taxable items differently. Most states exempt wholesale sales for resale from sales tax. Purchases of gift cards are not subject to sales tax in all states.
Retirement and Taxation in Ohio
Ohio is moderately tax-friendly for retirees as Social Security is exempt from state income tax. Columbus, Cincinnati, Cleveland, and Dayton ranked as good cities to retire in Ohio.
Tax Rates and Exceptions in Ohio
Ohio’s 2024 income tax ranges from 2.77% to 3.99%. Delaware County sales tax rate is 1.5%, with a maximum of 7.5% including state and city taxes.
Additional Information
Seat time requirements and alcohol training are not mandated in Ohio but ServSafe training is recommended. Sales of parts for service contracts are sales tax exempt. Taxable services include physical property.
What food items are taxed in Ohio?
- Bakery items and cup of coffee for takeout are exempt from sales tax but sweetened beverages are taxable.
What isn’t taxed in Ohio?
- Bakery items are sales tax exempt in Ohio. Goods like furniture, vehicles and appliances are taxable. Groceries, medicine, and gasoline are exempt. Manufacturers are exempt. Seat time and alcohol training are not mandated. ServSafe training is recommended.