Estimate only — not tax advice. For decisions specific to your situation, consult a qualified professional. See methodology and sources.
Minnesota Sales Tax
State + average local combined rate, category exemptions, and how it compares to neighbors.
State rate
6.88%
Average combined (state + local)
8.05%
Category exemptions
| Category | Rule | Detail |
|---|---|---|
| Groceries | Exempt | Unprepared food at grocery stores. |
| Clothing | Exempt | Everyday apparel and footwear. |
| Prescription drugs | Exempt | Prescribed medications dispensed by a licensed pharmacist. |
Example: $100 purchase
- State sales tax only: $6.88
- Combined (state + average local): $8.05
- Total with combined tax: $108.05
Major cities in Minnesota
| City | Combined rate | vs state avg |
|---|---|---|
| Minneapolis | 9.03% | +0.98% |
| Saint Paul | 8.88% | +0.83% |
| Rochester | 8.13% | +0.08% |
| Duluth | 8.88% | +0.82% |
| Bloomington | 9.03% | +0.98% |
Border shopping — vs neighboring states
For larger purchases, driving to a neighbor with lower combined rate can save real money.
| State | State rate | Avg combined | vs MN | Save on $1,000 |
|---|---|---|---|---|
| Minnesota (current) | 6.88% | 8.05% | — | — |
| Wisconsin | 5.00% | 5.43% | -2.62% | $26.20 |
| South Dakota | 4.20% | 6.41% | -1.64% | $16.40 |
| Iowa | 6.00% | 6.94% | -1.11% | $11.10 |
| North Dakota | 5.00% | 7.04% | -1.01% | $10.10 |
Common questions
- What is the sales tax rate in Minnesota?
- Minnesota levies a 6.88% state sales tax. With local taxes added, the statewide average combined rate is 8.05%. Actual rate at the register depends on your city and county.
- Does Minnesota tax groceries?
- Groceries are exempt from state sales tax in Minnesota. Hot or prepared food typically remains taxable.
- Does Minnesota have a sales tax holiday?
- Minnesota does not run an annual sales tax holiday. For tax-free shopping, consider neighboring states with holidays, or use online retailers based in no-sales-tax states (OR, MT, NH, DE) — though use tax may still apply on out-of-state purchases.
- Who collects sales tax in Minnesota?
- The Minnesota Department of Revenue collects state-level sales tax; counties and cities add local rates that are remitted through the same return. Out-of-state sellers shipping to Minnesota must collect if they exceed economic nexus thresholds (typically $100k in sales or 200 transactions).
Full data sources and formulas: /sources.
Estimate only — not tax advice. Local rates vary by city and county — your actual rate at the register may differ from the state average. Category-specific exemptions (groceries, prescription drugs, clothing) and tax holidays change by year; check the Minnesota DOR for current rules. All states →
Last reviewed: · Beforeview Editorial · editorial policy