The Nevada sales tax structure reflects the state’s unique economic landscape, with significant variations between tourist destinations and rural areas. While the Silver State imposes a baseline state sales tax rate, combined state and local rates differ across counties.
For Nevada businesses operating in hospitality, retail, or services across different counties, managing these sales tax obligations adds another layer of complexity to operations, especially during peak tourist seasons when transaction volumes surge. Let’s take a closer look.
How much is sales tax in Nevada?
Nevada sales tax is a combination of the state rate, county rate, and any additional local rates imposed by cities or special districts. The statewide base rate is 6.85%, but the total sales tax you collect will vary depending on your location. For example, in Clark County (Las Vegas), the total combined rate is 8.375%, in Washoe County (Reno) it’s 8.265%, and in Carson City it’s 8.375%.
It’s important for businesses to always verify the current sales tax rates with the Nevada Department of Taxation, as local rates and special district taxes can change, and the final rate you charge is always your responsibility.
What is sales tax in Nevada?
Sales tax in Nevada is required to be collected from the purchase of all tangible, physical products and some services sold to a consumer.
How to calculate Nevada sales tax?
Calculating sales tax in Nevada starts with knowing the total rate for your location. The statewide base rate is 6.85%, but each county can add its own local surtax, making the total rate anywhere between 6.85% and 8.375%, depending on where the sale occurs.
To calculate the total amount due, multiply the taxable sale amount by your local sales tax rate. For example, if your business operates in Clark County, where the total rate is 8.375%, and you sell a product for $100, you’d collect $8.38 in sales tax for a total of $108.38.
Use our sales tax calculator
To make it easier, use our sales tax calculator to quickly determine the right amount to charge and ensure you’re collecting the correct tax for your business location.
Are all goods and services subject to sales tax in Nevada?
In Nevada, most tangible goods sold at retail are subject to sales tax, but not all items are taxable. Essential items, like most groceries and prescription medications, are exempt. Certain services are also exempt, including professional services such as legal or accounting work, as well as personal care services. However, some services that are closely tied to the sale of tangible goods, such as car repairs or furniture assembly, may be subject to tax.
Because Nevada has a mix of taxable and non-taxable goods and services, it’s important for businesses to review the Nevada Department of Taxation’s guidance to ensure they’re charging tax correctly.
Does Nevada charge sales tax on food?
In Nevada, most foods meant for home consumption, like groceries, produce, and pantry staples, are exempt from sales tax. However, prepared foods served in restaurants, cafes, and similar establishments are taxable. That means if you operate a restaurant, you’re required to charge sales tax on all dine-in, takeout, or delivered meals.
If your business has multiple locations across different counties, the sales tax rate may vary by location. Each county can add its own local rate, so it’s important to ensure you’re charging the correct amount at each restaurant.
Let DAVO by Avalara handle it for you
DAVO automatically sets aside the sales tax you collect daily and files and pays it for you when due, on time, every time, garantizado,. It’s the easiest way for busy restaurant owners to stay compliant and avoid costly mistakes.
Does Nevada charge sales tax on services?
In general, Nevada does not charge sales tax on most services. However, if your service includes providing or installing tangible goods, like equipment, furniture, or construction materials, those goods are taxable even if they’re part of a larger service.
Transportation, shipping, and postage charges are also not taxable in Nevada as long as they’re listed separately on the invoice. If they’re combined with the sale price of taxable goods or not itemized, the entire amount could become taxable.
Because sales tax laws can vary depending on how your business structures its services, it’s always best to review your invoices carefully to ensure taxable and non-taxable items are clearly separated.
Who pays sales tax in Nevada?
Consumers pay sales tax in Nevada. Merchants do not pay sales tax out of their own pockets. It’s commonly referred to as a pass-through tax.
What are businesses responsible for?
In Nevada, businesses that sell taxable goods or certain taxable services are responsible for collecting and remitting sales tax to the Nevada Department of Taxation. This means you must collect the correct amount of tax at the time of sale and report it accurately when filing your sales tax return.
You’re also responsible for maintaining detailed records of all sales, returns, and exemptions. This includes keeping copies of exemption certificates for any tax-exempt sales you make. Without proper documentation, your business could be held liable for the unpaid tax.
Even if your business doesn’t owe any sales tax for a given filing period, you’re still required to submit a return. Consistent, on-time filing helps you avoid penalties and interest charges.
While this process can be time-consuming and easy to overlook, DAVO takes the burden off your shoulders. It automatically sets aside the exact sales tax you collect daily, files it, and pays it to the state when it’s due. With DAVO, Nevada business owners can focus on growing their business while knowing their sales tax obligations are handled accurately and stress-free.
How to get a sales tax permit in Nevada?
Before you can start collecting sales tax in Nevada, you’ll need to obtain a Sales and Use Tax Permit from the Nevada Department of Taxation. You can register online through the My Nevada Tax website or by mail by sending the required documents to the Department of Taxation at 3850 Arrowhead Dr., Carson City, NV 89706. You’ll need to have a Federal Identification Number and a Business License (NRS 372.220) before you can register.
When applying, be prepared to provide details about your business structure, ownership information, and the type of products or services you’ll be selling. Nevada also requires a one-time business registration fee of $15. If you plan to open additional locations, you’ll need a separate permit for each one.
Once your application is approved, you’ll receive your sales tax permit, allowing you to collect and remit sales tax on taxable transactions. If you registered online, your permits will be issued and can be printed immediately as long as all fees have been paid. If you applied by mail, it can take several weeks to receive your permit or even longer if payment is delayed. Be sure to display your permit at your place of business; it’s required by state law.
When is Nevada sales tax due?
In Nevada, how often you file and pay sales tax depends on the total amount of sales your business generates.
If your sales exceed $10,000 per month, you’re required to file and pay monthly. Businesses with sales under $10,000 per month file quarterly, while those with less than $1,500 in total annual sales may qualify to file annually.
All sales tax returns and payments are due on or before the last day of the month following the end of the reporting period. For example, if you’re a monthly filer, your January sales tax return and payment are due by the end of February.
Nevada requires that all sales tax returns be filed, even if no tax is due for the reporting period. Filing on time also keeps your business in good standing and helps you avoid penalties and interest for late submissions. For businesses that file and pay early or on time, Nevada offers a 0.25% discount on the total tax due. To learn which states offer discounts for timely filings, see our guide on sales tax vendor compensation by state.
Make your sales tax less taxing with DAVO.
How to file Nevada sales tax?
Nevada gives business owners three ways to file their sales tax returns: online, by mail, or in person. Filing through the Nevada Tax Center is the most efficient and recommended method, offering faster processing and fewer errors.
How to pay sales tax in Nevada?
Nevada offers several ways for businesses to pay their sales tax. The Nevada Department of Taxation’s Online Tax Center makes it easy to pay electronically, which is also required for businesses that owe $10,000 or more in a reporting period.
If your total payment is less than $10,000, you can also choose to pay by mail or in person at a District Office. Mailed payments should be sent with your return and made by check or money order, payable to the Nevada Department of Taxation. For more details on payment options, visit the Payments page on the State of Nevada Department of Taxation website.
Where does the sales tax go in Nevada?
In Nevada, sales and use tax revenue is shared between the state and local governments via a distribution process managed by the Nevada Department of Taxation. A significant portion supports statewide programs, while a meaningful share is allocated to counties, cities, and special districts to fund community services like law enforcement, public infrastructure, transit, and libraries.
How to manage tax-exempt sales in Nevada?
Not every sale in Nevada is subject to sales tax. Certain organizations and transactions qualify for tax-exempt status, but it’s the seller’s responsibility to confirm that a customer is eligible and to keep proper documentation.
In Nevada, nonprofit organizations with 501(c)(3) status generally qualify for sales tax exemption, along with government agencies. Some goods are also exempt from sales tax, such as prescription medications and certain medical equipment.
To validate a tax-exempt sale, the buyer must provide an exemption certificate or a resale certificate issued by the Nevada Department of Taxation. You should retain this certificate in your records to support your exemption claim in case of an audit.
What is the Nevada sales tax penalty?
Failing to file or pay your sales tax on time in Nevada can result in costly penalties and interest. If your return or payment is late, the Nevada Department of Taxation may assess a penalty of up to 10% of the unpaid tax, and interest will begin to accrue starting at 2% if the payment is more than 10 days late, gradually increasing to 10% if the payment is more than 30 days late.
If you miss multiple deadlines or fail to file altogether, further enforcement actions may be taken. This includes the potential suspension of your sales tax permit or collection efforts against your business.
However, Nevada recognizes that unexpected circumstances can sometimes prevent a business from paying or filing on time. If you have a valid reason, you can request a waiver of penalties by submitting a written explanation to the Department of Taxation. Approval isn’t guaranteed, but the state will review your situation and may waive the penalties if the cause is considered reasonable.
How DAVO can help manage your Nevada sales tax
Ever miss a Nevada state sales tax deadline? Or struggle with fluctuating seasonal business volumes and tax calculations? Do you worry about setting aside enough for your Nevada sales tax obligations or question the efficiency of your current tax management system?
If so, DAVO is the perfect solution for your Silver State business. From casinos and restaurants in Las Vegas to shops in Reno and service providers in Carson City, it’s specifically crafted with Nevada’s business owners in mind. DAVO will help handle your sales tax responsibilities.
DAVO brings automation to the Nevada sales tax process—from daily collection during both peak and off-seasons to accurate documentation and timely payments. It works in perfect harmony with your existing POS system, eliminating manual intervention entirely. And because DAVO ensures your Nevada sales taxes will be filed and remitted on schedule, you gain both peace of mind and valuable time to focus on thriving.
Choose your POS system to get started.
Additional Nevada Sales and Use Tax Help:
Impuesto de Nevada Department of Taxation
(866) 962-3707
