Key takeaways
- Most changes were local: parish, county, city or district rates rather than state rates.
- Not all changes were increases: Lake County, Ohio cut its rate from 7.25% to 7.00%, and Mer Rouge, Louisiana reduced its rate.
- More states published updates: Arkansas, California, Colorado, Georgia, Illinois, Kansas, Missouri, New Mexico and Wyoming also listed changes on their tax authority websites.
In short: On July 1, 2024, sales tax rates changed in several US states, including Louisiana, Minnesota, North Dakota, Ohio, Oklahoma, Texas, Washington and West Virginia. Most changes were local increases. Lake County, Ohio, cut its rate from 7.25% to 7.00%. Sellers with nexus in these places needed to update the rates they charge.
Several US states have changed their sales tax rates. These changes take effect on July 1, 2024, and affect both consumers and businesses. Here's an overview of the recent changes:
Louisiana
Louisiana is making major changes across several parishes:
- Iberia Parish: Sales tax rates will rise by 0.25% across all 10 jurisdictions. In the rural areas of Iberia Parish, the increase will be larger, at 0.75%.
- Pointe Coupee, Richland, and West Baton Rouge Parishes: Each of these parishes will see a 0.25% increase in its district sales tax rate.
- Morehouse Parish: The town of Bonita will see a 0.5% increase in its sales and use tax rate. In Mer Rouge, the rate will fall by 2%.
- Rapides Parish: The Town of Cheneyville will see a large increase of 1.25% in its sales and use tax rate.
Minnesota
In Minnesota, Beltrami County will introduce a 0.625% sales and use tax starting July 1, 2024.
North Dakota
North Dakota will see changes in two cities:
- Mapleton: The city sales, use, and gross receipts tax will increase by 0.5%.
- Rolla: The tax rate will go up by 1%.
Ohio
Lake County, Ohio, will cut its sales and use tax rate from 7.25% to 7.00%. Residents and businesses there will benefit from the reduction.
Oklahoma
Several municipalities in Oklahoma are changing their sales and use tax rates:
- Canton: A 1% increase.
- Inola: A 1.5% increase.
- Perkins: A 0.5% increase.
- Wynnewood: A 0.5% increase.
- Kiowa County: A 1.5% increase.
Texas
In Texas, the Aurora Municipal Development District will add a new 0.5% local sales and use tax. Texas will also set up several combined areas to manage local sales and use tax where jurisdictions overlap.
Washington
Washington state will see a small 0.1% (one-tenth of a percent) increase in sales and use tax. It applies in Mason County, Pacific County, and the City of Snoqualmie.
West Virginia
In West Virginia, the municipalities of Richwood and Westover will add a new 1% local sales and use tax. It comes on top of the existing 6% state tax.
Other states
For details about the changes in the following states, visit their official websites:
- Arkansas: You can find details of local sales and use tax rate changes in Arkansas in the Arkansas DFA local tax changes list.
- California: The approved district sales and use tax changes in California are in the CDTFA sales and use tax rates table.
- Colorado: Changes to state, city, municipal, and district sales and use tax rates in Colorado are listed on the Colorado sales tax rate changes page.
- Georgia: County tax rate changes are listed on the Georgia DOR quarterly rate changes page.
- Illinois: Several jurisdictions in Illinois have changed their local sales tax rates. You can find details in the Illinois tax bulletins.
- Kansas: Kansas will see slight changes in its sales and use tax rates. For more details, visit the Kansas Department of Revenue rate changes page.
- Missouri: City, county, and district sales and use tax changes in Missouri are listed in the Missouri DOR July 2024 rate letter (PDF).
- New Mexico: Details of municipal or county rate changes in New Mexico are in the New Mexico rate schedule (PDF).
- Wyoming: Sales and use tax rate changes in several Wyoming counties are listed in the Wyoming rate change notice.
What do these rate changes mean for online sellers?
These rate changes matter to any seller that collects sales tax in the affected states. That includes remote sellers that have passed a state's economic nexus threshold, not just businesses with a physical presence.
- Update rates by location: Most changes were local, so the rate depends on the exact parish, county, city or district. A single statewide rate will often be wrong.
- Watch the effective date: The new rates applied from July 1, 2024. Sales before that date kept the old rates.
- Expect more changes: Several states, such as Georgia and Missouri, publish local rate changes every quarter. Review their notices before each quarter starts.
- Check overlapping areas: Texas set up combined areas where local jurisdictions overlap, so check the rate for the exact location.
To see which states you may need to collect in, read our guide to economic nexus by state.
How Taxually handles this
Taxually’s LumaTax runs a nexus analysis on your sales, helps you register in the states where you must collect, and prepares and files multi-state sales tax returns, including Canadian GST/HST. LumaTax is currently available to enterprises and accounting firms. For the full workflow, read how to automate US sales tax filing in every state.
Related guides
Frequently asked questions
When did these sales tax changes take effect?
The changes covered in this article took effect on July 1, 2024.
Which states changed sales tax rates in July 2024?
This article covers changes in Louisiana, Minnesota, North Dakota, Ohio, Oklahoma, Texas, Washington and West Virginia, with links to official updates for Arkansas, California, Colorado, Georgia, Illinois, Kansas, Missouri, New Mexico and Wyoming.
Did any rates go down?
Yes. Lake County, Ohio reduced its sales and use tax rate from 7.25% to 7.00%, and Mer Rouge in Morehouse Parish, Louisiana lowered its rate.
What should online sellers do when local rates change?
Update the rates in your checkout or tax software for every jurisdiction where you collect sales tax, and check the official tax authority notices for the exact effective dates.
Do these local rate changes apply to remote sellers?
Yes, if you collect sales tax in the state. Remote sellers that pass a state's economic nexus threshold must apply the rate the state requires for each sale. This is often the local rate at the delivery address.
Which new local sales taxes started on July 1, 2024?
Beltrami County, Minnesota, added a 0.625% tax, and the Aurora Municipal Development District, Texas, added a 0.5% tax. Richwood and Westover, West Virginia, each added a 1% local tax.
Which Louisiana parishes changed sales tax rates in July 2024?
Iberia, Pointe Coupee, Richland and West Baton Rouge parishes raised rates, along with Bonita in Morehouse Parish and Cheneyville in Rapides Parish. Mer Rouge lowered its rate by 2%.
