CONSUMER’S USE TAX

If you purchase tangible property for use in Iowa from a business located outside of Iowa and the seller does not charge you Iowa sales tax on the purchase, you owe a 5% tax known as the consumer’s use tax on the price of the purchase. This includes items purchased from catalogs, magazines, television and radio vendors, and through the Internet.

Send a separate check payable to “Treasurer State of Iowa” with a note explaining that the check is for consumer’s use tax and listing the items purchased and prices. Keep copies for your records. Do not use the consumer's use tax return, which is for businesses that make these types of purchases.

For more information, see our Consumer's Use Tax publication.