The sales tax rate in Newton, Kansas is 8.5%. That total combines a 6.5% Kansas state rate with a 2.0% Harvey County rate. Newton does not levy its own city sales tax on top of that, though a few commercial areas fall inside special districts that charge more, and groceries are taxed at a lower rate.
How the 8.5% Rate Is Built
Kansas imposes a 6.5% state sales tax on retail sales of tangible personal property and certain services.1Kansas Office of Revisor of Statutes. Kansas Code 79-3603 – Retailers Sales Tax Imposed Rate Harvey County adds a 2.0% local tax and redistributes a share of that revenue back to Newton and the other cities inside the county.2City of Newton, KS. Budget FAQ So Newton’s 8.5% has just two layers, state and county, rather than the three-layer stack you see in cities like Wichita or Topeka.
Groceries Are Taxed at 2.0%
Kansas eliminated the state portion of sales tax on food and food ingredients as of January 1, 2025. The 6.5% state rate no longer applies to grocery purchases, but the 2.0% Harvey County local tax still does.3Kansas Department of Revenue. Food Sales Tax Rate Reduction Groceries bought in Newton are taxed at 2.0%, not the full 8.5%.
The change was phased in over several years, and it’s a common assumption that food is now tax-free in Kansas. It isn’t. Local jurisdictions still collect their share on food, and Newton is one of them.
Where You’ll Pay More Than 8.5%
Certain commercial areas in Newton sit inside Community Improvement Districts, which can add up to another 2.0% on top of the standard rate. CID revenue funds infrastructure inside the district itself, things like parking lots, sidewalks, and building upgrades, rather than going into the city’s general fund. The Chisholm Trail Shopping Center is one of Newton’s main retail destinations, and CID designations are common in Kansas shopping centers of that type.
Because the additional rate varies by district, a receipt from one store can show a higher total than a receipt from a store a few blocks away. The Kansas Department of Revenue’s rate locator tool returns the precise combined rate for any specific address.4Kansas Department of Revenue. Kansas Sales and Use Tax Rate Locator
What Newton’s Rate Applies To
The 8.5% rate applies to retail sales of tangible personal property, which covers essentially all physical goods in a store: clothing, electronics, furniture, building materials, and the like.5Kansas Department of Revenue. Pub KS-1510 Sales Tax and Compensating Use Tax Online orders are taxed the same way. Kansas uses destination-based sourcing, so the rate is set by where the buyer receives the item.6Kansas Department of Revenue. Destination-Based Sourcing Rules for Sales and Compensating Use Tax Anything shipped to a Newton address is taxed at 8.5%, whether the seller is across town or across the country.
Services are taxable when they involve work on tangible property. A car repair bill in Newton is taxed on both parts and labor. Appliance repair, maintenance contracts, remodeling on commercial buildings, and demolition work are all in the tax base.7Kansas Department of Revenue. Pub KS-1525 Sales and Use Tax for Contractors Subcontractors and Repairmen Purely professional services, such as legal advice, accounting, and medical care, generally are not taxed.
Common Exemptions
Several categories of purchases are exempt under K.S.A. 79-3606:
- Prescription drugs dispensed under a prescription from a licensed practitioner are exempt. Over-the-counter drugs are not.8Kansas Office of Revisor of Statutes. Kansas Code 79-3606 – Exempt Sales
- Inventory bought for resale is exempt when the buyer gives the seller a completed Resale Exemption Certificate (Form ST-28A). Tools, equipment, and supplies the business uses itself remain taxable.9Kansas Department of Revenue. Resale Exemption Certificate
- Some nonprofits are exempt on direct purchases, but 501(c)(3) status alone does not qualify an organization. The entity must apply for and receive a Tax-Exempt Entity Exemption Certificate from the Kansas Department of Revenue. Many nonprofits, including alumni associations, clubs, and professional associations, do not qualify.
Sellers keep completed exemption certificates on file for at least three years from the date of sale. For an ongoing customer relationship with at least one sale every 12 months, a single certificate on file covers all future transactions without renewal.9Kansas Department of Revenue. Resale Exemption Certificate
Out-of-State Purchases and Use Tax
Kansas sales tax has a companion. When you buy from an out-of-state seller who doesn’t charge Kansas tax, you owe compensating use tax on the purchase. The state use tax rate is the same 6.5%, and Harvey County’s local use tax applies on top of it, calculated on the total cost including shipping and handling.10Kansas Department of Revenue. Consumers Compensating Use If you paid another state’s sales tax at a lower rate, you owe the difference to Kansas.
Individual consumers report use tax on Form CT-10U.10Kansas Department of Revenue. Consumers Compensating Use Most large online retailers already collect Kansas tax at checkout, so the obligation usually surfaces with smaller sellers, out-of-state catalogs, or private-party transactions.