Calculate the exact sales tax for any purchase in Minnesota. Get instant breakdowns of state, county, and city taxes. Updated with current 2026 rates.
MN Base State Rate: 6.875% (up to 8.875% combined)
Anoka
Total Amount
$106.88
$100.00 + $6.88 tax
Minnesota has a 6.875% state sales tax
Some local taxes
Clothing and groceries are exempt
Minnesota has a 6.875% state rate with some local additions. Combined rates up to 8.875%.
Minnesota imposes a 6.875% state sales tax on most retail transactions. Local taxes from counties, cities, and transit districts can add up to 2%, bringing the maximum combined rate to 8.875%. The average local addition across the state is approximately 0.6%, as many areas have no local sales tax at all.
Local taxes in Minnesota are primarily concentrated in the Twin Cities metropolitan area, where transit district taxes apply, and in certain cities that have voter-approved local sales taxes for specific purposes (arenas, infrastructure, etc.).
| Area | State Rate | Local Rate | Combined Rate |
|---|---|---|---|
| Minneapolis (Hennepin Co.) | 6.875% | 1.0% | 7.875% |
| St. Paul (Ramsey Co.) | 6.875% | 1.0% | 7.875% |
| Bloomington (Hennepin Co.) | 6.875% | 0.5% | 7.375% |
| Duluth (St. Louis Co.) | 6.875% | 1.5% | 8.375% |
| Rochester (Olmsted Co.) | 6.875% | 0.5% | 7.375% |
| Eagan (Dakota Co.) | 6.875% | 0% | 6.875% |
Minnesota provides two of the most consumer-friendly exemptions in the country: both groceries and clothing are fully exempt from sales tax. Prescription drugs and non-prescription drugs are also exempt. These exemptions significantly reduce the effective tax burden on Minnesota residents.
| Category | Taxable? | Notes |
|---|---|---|
| Groceries (unprepared food) | Exempt | All food for home consumption |
| Clothing and footwear | Exempt | All clothing exempt (no price cap) |
| Prepared food / restaurants | Yes — 6.875%+ | Meals taxable at full rate plus local |
| Prescription drugs | Exempt | All prescription medications |
| Over-the-counter medicine | Exempt | Non-prescription drugs also exempt |
| Digital goods | Yes | Downloaded software, music, books are taxable |
| Motor vehicles | Yes — 6.5% | Special rate of 6.5% (slightly lower than general rate) |
Minnesota's clothing exemption has no price cap — unlike Massachusetts ($175 limit) or Connecticut ($50 limit), Minnesota exempts all clothing regardless of price. This includes everyday items and luxury apparel alike. However, sports and protective equipment, costume masks, and fur clothing accessories over $100 are taxable.
The Minnesota Department of Revenue administers all state and local sales taxes through a single return. Businesses register for a Sales and Use Tax ID through the e-Services portal. Filing frequency: monthly (annual liability over $1,200), quarterly ($500–$1,200), or annually (under $500).
Minnesota adopted economic nexus effective October 1, 2019, requiring remote sellers with more than $100,000 in sales or 200 transactions to Minnesota customers to collect and remit tax. Only 10 or more retail sales into Minnesota are required to trigger the 200-transaction threshold.
| Filing Detail | Requirement |
|---|---|
| Economic nexus threshold | $100,000 in sales or 200 transactions |
| Marketplace facilitator rule | Yes — effective October 1, 2019 |
| Filing frequency | Monthly, Quarterly, or Annual |
| State agency | Minnesota Department of Revenue |
| Late filing penalty | 5% of tax due plus interest |
| Sourcing method | Destination-based |
Minnesota is a member of the Streamlined Sales Tax (SST) agreement. The centralized filing system covers both state and local taxes on a single return, simplifying compliance. The main challenge for sellers is correctly identifying the clothing and food exemptions and distinguishing exempt items from taxable prepared food.
This calculator uses current sales tax rates based on official sources:
Official Minnesota tax authority
Tax rates are updated regularly but may change. Always verify current rates with local tax authorities for official transactions.