Sales Tax APIThe same engine Zamp customers use.Although Connecticut offers a single sales tax system for most goods and services, some items are taxed at different rates.
This Connecticut sales tax guide will help you navigate the sales tax system, explore tax-exempt items, and tell you how to collect taxes in the state.
We’ll also introduce a trusted solution for easy sales tax management, ensuring compliance across the United States.
Connecticut Sales Tax Rate 2026
Connecticut’s state sales tax rate is 6.35% for most goods and services, and it does not levy any local sales taxes.
However, the sales tax rate can vary according to the products and services sold. For example, Connecticut levies a 1% sales tax on computer services and a 7.75% tax on jewelry costing more than $5,000.
Collecting Connecticut Sales Tax from Customers
Here’s what you need to know about collecting sales tax in Connecticut :
Do I Have to Collect Connecticut Sales Tax from Customers?
You should collect sales tax if you plan to engage in any of the following activities:
- Sale, rental, or lease of goods
- Sale of a taxable service
- Operating a hotel, motel, lodging house, or bed and breakfast establishment.
What Creates Sales Tax Nexus in Connecticut?
You have a sales tax nexus in Connecticut if you meet any of these conditions:
- Physical nexus: Businesses that own, rent, or lease offices, warehouses, or any personal property for business purposes.
- Employees: Businesses with an employee or independent contractor present in the state more than two days per year
- Economic nexus: Online sellers who collect and remit sales tax of $100,000 and 200 or more transactions.
Learn more about sales tax nexus and when you’re required to collect sales tax.
Do I Have to Collect Sales Tax from Connecticut Customers if I Sell on Amazon, Walmart, eBay, or Etsy?
No.
Connecticut has a marketplace facilitator law. This means that marketplaces like Etsy or Amazon should collect sales tax on behalf of third-party sellers whose sales exceed $250,000 or 200 transactions.
However, if you meet the state’s other sales tax nexus rules, you must collect sales tax on your other non-marketplace Connecticut sales.
Taxable Products in Connecticut
Sales tax may be different for different products. For instance, the sales tax rate is 7.35% on certain meals and beverages, such as readymade coffee, ice cream, and bottled juices. However, the rate for renting passenger motor vehicles for 30 consecutive days or less is 9.35%.
Here’s a comprehensive breakdown of the items subject to tax in Connecticut:
Are Groceries Taxable in Connecticut?
No, grocery items are generally sales tax-exempt.
Is Clothing Taxable in Connecticut?
Clothing sold under $100 is tax-exempt, but some items, such as umbrellas and shower caps, are subject to sales tax even if sold for less than $100.
Are Digital Products Taxable in Connecticut?
Yes, digital products transferred electronically are taxable in Connecticut.
Is Software-as-a-Service (SaaS) Taxable in Connecticut?
Canned or prewritten software and any related content that’s electronically accessed or transferred and sold to a business are subject to a 1% tax rate.
However, if the software comes with tangible personal property, such as a box or plastic container, even if it’s just for enabling access to the software, the sale is considered tangible personal property and is taxed at the standard 6.35% rate.
Are Services Taxable in Connecticut?
Yes, some services taxed in Connecticut are:
- Advertising and public relations
- Car wash services
- Dry cleaning services
- Interior design
It’s best to contact a sales tax professional to determine whether your services are taxable. You can book a free call with us here.
Tax-Exempt Items
Some items that enjoy sales tax exemption in Connecticut are:
- Items sold exclusively for use in agricultural production.
- Child car seats.
- Prescription medicines, syringes, and needles.
- Food products, including meals, sold through coin-operated vending machines.
- Commercial fishing vessels and machinery or equipment for use on the vessels.
How to Register for a Connecticut Sales Tax Permit
You can register for a sales tax permit online at the myconneCT website.
Learn how to register for a seller’s permit in every US state.
Do I Need a Connecticut Sales Tax License if I’m Only a Wholesaler?
Yes, wholesalers can apply for resale certificates for sale tax exemptions.
Do I Need a Connecticut Seller’s Permit if I Only Sell Temporarily in the State?
Yes, you should get a sales tax permit if you sell at a flea market, craft show, trade show, antique show, or fair in Connecticut — even if you sell for just one day.
How to Collect Sales Tax in Connecticut
Connecticut uses destination-based sales tax, which applies to both in-state and out-of-state businesses. So, if you’re selling to a customer in Connecticut from another state, you’ll need to charge sales tax based on the buyer’s shipping address.
Should You Collect Sales Tax on Shipping Charges in Connecticut?
Yes, shipping and delivery charges for taxable sales are usually taxed in Connecticut.
Look for your Connecticut city here and get its full sales tax breakdown.
How to File and Pay Sales Tax in Connecticut
You can file electronically through the myconneCT website.
Or, let Zamp handle your Connecticut sales tax filing and remittance so you won’t ever have to deal with a sales tax return!
Explore how you can file and pay sales tax in other US states.
