Georgia’s state sales tax rate is 4.00%, but the state gives counties and cities broad authority to add their own taxes on top of the base rate. Once those local layers are included, the average combined sales tax rate is 7.44% at the point of sale.

Below, we’ll discuss how the Georgia sales tax rate works, which product categories are taxable, and when businesses need to start charging tax.

Highlights

• Georgia’s base sales tax rate is 4.00%, but combined rates are higher once county and municipal taxes are included.

• Certain categories of goods and services are exempt from the state rate but could still be subject to local sales taxes.

• A business has to collect Georgia sales tax once it exceeds the economic nexus threshold in sales or transactions in the state.

What is the Georgia sales tax rate?

Georgia’s state sales tax rate is 4.00%, but counties and cities have substantial authority to levy their own taxes on top of the state rate. Local rates in Georgia vary by county and by city. Each jurisdiction decides through voter referenda and legislative action what it levies and when.

The result is a combined rate that ranges from roughly 6.00% in some rural counties to 9.00% in higher-tax urban jurisdictions. Georgia caps the total at 9.00% in most circumstances, which prevents further compounding regardless of how many local taxes a jurisdiction has adopted.

How does Georgia’s sales tax rate work?

Georgia’s base sales tax rate is 4.00%, with additional local sales tax added on top, depending on where the transaction takes place or where the customer resides. Keeping track of current rates is an ongoing challenge: you can use Stripe’s sales tax calculator to simplify the calculations.

These are the common kinds of local sales taxes:

• Local Option Sales Tax (LOST): A general-purpose 1.00% tax that most Georgia counties have adopted.

• Special Purpose Local Option Sales Tax (SPLOST): A voter-approved 1.00% tax tied to a specific capital project with a defined end date.

• Education SPLOST (E-SPLOST): The same mechanism as SPLOST, but dedicated specifically to school system funding.

• Transportation SPLOST (T-SPLOST): A tax that was authorized in 2015 to fund transportation infrastructure projects.

• Metropolitan Atlanta Rapid Transit Authority (MARTA) tax: A 1.00% sales tax in Fulton and DeKalb Counties that funds Atlanta’s transit system.

What are Georgia’s sales tax rates by city?

The table below shows the minimum combined sales tax rate for major Georgia cities in 2026, reflecting the state sales tax rate plus applicable county and municipal taxes. Some areas within a city boundary could carry higher rates depending on special districts.

What are Georgia’s sales tax rates by county?

Georgia’s sales tax rates vary by county. The table below reflects the minimum combined rate for some of the most populated counties’ unincorporated areas; cities within a county could have higher combined sales tax rates.

What products and services are subject to Georgia sales tax?

Georgia taxes tangible personal property by default. This includes most retail categories, but there are several sales tax exemptions you should know about:

• Unprepared groceries: Food intended for home preparation is exempt from the state rate. Local taxes still apply in some municipalities.

• Prescription drugs and medical equipment: These are exempt at the state level.

• Agricultural inputs: Seeds, fertilizers, and equipment used in commercial farming are exempt.

• Manufacturing machinery: Equipment used directly in a manufacturing process qualifies for a partial exemption.

Georgia treats downloaded digital goods (e.g., music, software) as tangible personal property in most cases. But software-as-a-service (SaaS) is more complicated. Prewritten software delivered electronically is generally taxable; custom software often isn’t.

Most services aren’t subject to Georgia sales tax. Certain installation services and some telecommunications services are exceptions, but the default rule is that services are exempt unless Georgia law explicitly includes them.

If any component of a transaction involves a tangible medium, that can make the whole thing taxable. Consult a tax adviser or the Georgia Department of Revenue to ensure you get your tax categories right.

When is a business required to collect GA sales tax?

A business with a physical presence in Georgia (e.g., storefront, warehouse, inventory) must register and collect sales tax on taxable sales from its first sale. A remote business becomes liable to collect Georgia sales tax once it has more than $100,000 in gross revenue from sales into Georgia or 200 or more separate transactions in the state within the current or previous calendar year. Exceeding this threshold creates sales tax nexus.

Once you reach either threshold, you must begin collecting both state and applicable local sales taxes based on the delivery location of the goods. You need to register for a Georgia sales tax permit with the Department of Revenue, update your checkout or invoicing systems to apply the correct tax rates, start collecting tax on all taxable sales shipped to Georgia, and file and remit sales tax returns on the required schedule (typically monthly, quarterly, or annually, depending on volume).

How Stripe Tax can help

Stripe Tax reduces the complexity of tax compliance so you can focus on growing your business. Stripe Tax helps you monitor your obligations and alerts you when you exceed a sales tax registration threshold based on your Stripe transactions. In addition, it automatically calculates and collects sales tax, value-added tax (VAT), and goods and services tax (GST) on both physical and digital goods and services—in all US states and in more than 100 countries.

Start collecting taxes globally by adding a single line of code to your existing integration, clicking a button in the Dashboard, or using our powerful application programming interface (API).

Stripe Tax can help you:

• Understand where to register and collect taxes: See where you need to collect taxes based on your Stripe transactions. After you register, switch on tax collection in a new state or country in seconds. You can start collecting taxes by adding one line of code to your existing Stripe integration or add tax collection with the click of a button in the Stripe Dashboard.

• Register to pay tax: Let Stripe manage your global tax registrations and benefit from a simplified process that prefills application details—saving you time and simplifying compliance with local regulations.

• Automatically collect tax: Stripe Tax calculates and collects the right amount of tax owed, no matter what or where you sell. It supports hundreds of products and services and is up-to-date on tax rules and rate changes.

• Simplify filing: Stripe Tax seamlessly integrates with filing partners, so your global filings are accurate and timely. Let our partners manage your filings so you can focus on growing your business.

Learn more about Stripe Tax, or get started today.