Sales Tax in Dakota City, Nebraska in 2025

The combined sales tax rate for Dakota City, Nebraska is 6.50%. Your total sales tax rate combines the Nebraska state tax (5.50%) and the Dakota City city sales tax (1.00%). There is no county sales tax or special tax in Dakota City.

We'll walk you through how the sales tax rate is determined for Dakota City and address some common questions you may have. We'll also cover how to collect, audit, and remit sales tax in Dakota City.

Plus, we’ll share the best solution that will ensure you are always compliant across the entire sales tax lifecycle.

Disclaimer: Our sales tax data is updated on a quarterly basis.

Dakota City Sales Tax Rate 2025

Dakota City is located in Dakota County in Nebraska, United States, and has a sales tax rate of 6.50%. This includes local and state sales tax rates.

Here is the breakdown of the Dakota City's sales tax:

This rate applies to the following zip codes in Dakota City:

How Does the Dakota City Sales Tax Compare to the Rest of Nebraska?

Dakota City’s 6.50% sales tax rate is 1.00% lower than the highest sales tax rate in Nebraska, which stands at 7.50% in cities like York.

It is 1.00% higher than the lowest sales tax rate in Nebraska, which stands at 5.50% in cities like Morse Bluff Village.

To give you a better idea, here’s a comparison of Dakota City sales tax rates with a few other cities in Nebraska:

You can also compare the sales tax rate of Dakota City against the Nebraska cities closest in population size:

• Geneva's sales tax rate is 7.50%
• Ord's sales tax rate is 7.00%

What Creates Sales Tax Nexus in Dakota City?

Dakota City has the same sales tax nexus rules as Nebraska. It doesn’t have any special sales tax nexus rules of its own.

Read More: Check out this detailed guide on Sales Tax in Nebraska.

If you meet any of these conditions, you’ll have sales tax nexus in Dakota City:

• Physical nexus: Businesses with an office, place of distribution, sales or sample room or place, warehouse, storage place, or other place of business in this state. 
• Employees: Companies with representatives, agents, salespersons, facilitators, or solicitors working in Nebraska under the retailer's or its subsidiary's authority to sell, deliver, or take orders for any property in the state.
• Economic nexus: Marketplace facilitators and remote sellers with over $100,000 in sales or more than 200 transactions in the state.

Learn more about sales tax nexus and when you’re required to collect sales tax.

What Products Are Exempt from Dakota City Sales Tax?

Dakota City doesn't have any special exemptions and follows the same sales tax rules as Nebraska.

The following items are exempt from sales tax in Dakota City:

• Medicine and medical equipment, like prosthetic devices. 
• Newspapers issued at least once a week. 
• Feminine hygiene products
• Food or food ingredients for human consumption. Prepared food and food sold through vending machines are taxable.

Who Needs a Sales Permit in Dakota City?

You’re required to collect sales tax from Dakota City customers on any taxable sales, leases, rentals, installations, applications, repairs, or maintenance of tangible personal property.

How to Collect Sales Tax in Dakota City

Nebraska is a destination-based sales tax sourcing state. The same applies to Dakota City.

This means that for any taxable retail sale to a customer in Nebraska, you must calculate and apply the sales tax rate based on the buyer’s shipping address.

Learn more about origin-based and destination-based sales tax sourcing here.

How to File and Pay Sales Tax in Dakota City

You can file Dakota City sales tax returns using the following methods:

• Automated: Let Zamp handle your Nebraska sales tax filing and remittance so you won’t have to deal with sales tax returns ever again.
• Online: You can file Form 10 online at the Nebraska Revenue Website.