The Lancaster, Ohio sales tax rate is 6.75%. That figure combines Ohio’s 5.75% statewide sales tax with a 1.00% local tax levied by Fairfield County.1Ohio Department of Taxation. Total State and Local Sales Tax Rates by County It applies to most retail purchases within city limits, whether you buy in person at a Lancaster store or order online for delivery to a Lancaster address. The seller collects the tax at checkout and sends it to the state.
How the 6.75% Rate Is Built
Ohio charges a 5.75% state sales tax on retail transactions.2Ohio Legislative Service Commission. Ohio Revised Code 5739.02 – Levy of Sales Tax Fairfield County commissioners have added 1.00% on top of that, which produces Lancaster’s combined 6.75% rate.1Ohio Department of Taxation. Total State and Local Sales Tax Rates by County Ohio counties can stack local taxes in small increments up to 3%, so the statewide maximum possible rate is 8.75%. Lancaster sits well below that ceiling.
One boundary issue is worth flagging. Small portions of Fairfield County that fall inside the Central Ohio Transit Authority (COTA) district carry a higher combined rate of 7.75% as of April 2025.3Ohio Department of Taxation. Sales and Use Tax Rate Change Effective April 1, 2025 The COTA surcharge affects only the pieces of Columbus and Reynoldsburg that extend into Fairfield County. Lancaster itself is outside that district, so 6.75% holds across the entire city.4Ohio Department of Taxation. County Rate Table by ZIP Code – June 2026
What You Pay Sales Tax On
The tax covers most purchases of physical goods at retail, from clothing and electronics to furniture and auto parts.5Ohio Legislative Service Commission. Ohio Revised Code 5739.01 – Sales Tax Definitions If you walked out of a Lancaster store with something you can hold, you almost certainly paid 6.75% on it.
Certain services are taxed too. Landscaping, private investigation, security work, and building maintenance are all taxable when provided commercially.5Ohio Legislative Service Commission. Ohio Revised Code 5739.01 – Sales Tax Definitions Gym and fitness-center memberships that give open access to the facility are also taxed, though fees for individual instructor-led classes or hourly court rentals are not.2Ohio Legislative Service Commission. Ohio Revised Code 5739.02 – Levy of Sales Tax That split catches people off guard: a monthly gym pass is taxable, but a drop-in yoga class is not.
What Is Exempt
Groceries are the biggest everyday exemption. Food you buy at a store and take home to prepare is not taxed in Ohio.2Ohio Legislative Service Commission. Ohio Revised Code 5739.02 – Levy of Sales Tax Prepared meals eaten on site, like restaurant food or hot deli counter items, remain taxable.
Prescription medications are exempt, along with insulin, diabetic testing supplies, hypodermic needles used for insulin injections, and medical oxygen purchased by hospitals or nursing facilities.2Ohio Legislative Service Commission. Ohio Revised Code 5739.02 – Levy of Sales Tax Prosthetic devices and durable medical equipment prescribed for home use are exempt too. Over-the-counter drugs that do not require a prescription are taxed at the full rate, so expect 6.75% at the pharmacy register unless the item is on a prescription.
Ohio also exempts goods used directly in agriculture and manufacturing, which matters for farming operations and industrial businesses around Fairfield County. Newspapers are another exempt category.
Online Orders and Use Tax
When you buy online from a retailer with a physical presence in Ohio, or one that meets the state’s economic nexus thresholds, the seller collects the 6.75% tax the same way a Lancaster storefront would. Out-of-state sellers must register and collect Ohio sales tax if they exceed $100,000 in Ohio sales or complete 200 or more separate Ohio transactions in the current or prior calendar year.6Ohio Department of Taxation. Sales and Use Tax
Marketplaces like Amazon, eBay, and Etsy handle this automatically under Ohio’s marketplace facilitator law. When you buy through one of those platforms, the marketplace collects the tax on the third-party seller’s behalf.
If you purchase from an out-of-state seller who does not collect Ohio sales tax, you personally owe a consumer use tax at the same 6.75% rate.6Ohio Department of Taxation. Sales and Use Tax This usually comes up with small out-of-state vendors or goods brought back from another state. You can register for a consumer’s use tax account through the Ohio Department of Taxation’s eServices portal and file either monthly or quarterly.
If You Run a Business in Lancaster
Businesses making retail sales of taxable goods or services in Lancaster collect 6.75% at the register and remit it to the Ohio Department of Taxation. Before doing so, you need an Ohio vendor’s license, with a separate license for each physical location where sales occur.7Ohio Department of Taxation. Register for a Vendors License or Sellers Use Tax Account You can apply through the Ohio Business Gateway or at the Fairfield County Auditor’s office. The license fee rose to $50 per location in April 2025 under HB 366.8Ohio Department of Taxation. Vendors License Fee Change Coming Soon