Philadelphia, Pennsylvania Sales Tax 2026

The City of Philadelphia is located in Philadelphia County, Pennsylvania. Philadelphia sales tax rate is 8.00%.

The total sales tax rate in Philadelphia comprises the Pennsylvania state tax and the sales tax for Philadelphia County. The city does not impose an additional sales tax. The table below provides a breakdown of the sales tax rate by jurisdiction.

Combined Sales Tax Rate	8.00%
Pennsylvania	6.00%
Philadelphia County	2.00%
Philadelphia	0.00%
District / Special Tax	0.00%

Philadelphia Sales Tax Calculator

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The TaxHero sales tax calculator provides a combined sales tax rate based on a full address lookup. A complete address ensures precision since ZIP codes may cross different tax jurisdictions. Results are for reference and may need additional context for compliance. Contact us today for a demo and learn how TaxHero can support your business.

Who Needs to Collect Sales Tax in Philadelphia, Pennsylvania?+

Home to historic landmarks like Independence Hall and a thriving mix of healthcare, education, and tech industries, Philadelphia is a major business hub on the East Coast.

Businesses must collect Pennsylvania sales tax if they have a sales tax nexus and make taxable sales in the state. This requirement applies whether your business has a physical presence in Philadelphia (such as an office, store, or employees) or sells remotely to Pennsylvania customers after establishing economic nexus.

What Creates Sales Tax Nexus in Philadelphia, Pennsylvania?+

A sales tax nexus is created based on your business’s significant presence in a state. Two types of sales tax nexus determine your business’s presence in a state: physical nexus and economic nexus.

Physical Nexus+

A physical nexus is established by having a substantial physical presence or engaging in enough taxable sales activities within a state. Several factors determine a physical nexus in Pennsylvania.

Physical Location: This means having an office, a place for distribution, sales, or showcasing products, a warehouse or storage facility, or any other place where you conduct business.
Inventory in the State: This applies to situations where you store products within the state, whether it’s done via a third-party fulfillment center or 3PL (such as Amazon FBA) or an online marketplace.
Business Representatives: Having employees, independent contractors, agents, or other representatives operating within the state on your behalf.

Economic Nexus+

Economic nexus is established based on two common factors. First is your business’s total sales revenue, and second is the number of transactions you’ve had within the state. In Pennsylvania, the economic nexus threshold is:

$100,000 in gross revenue

To read a comprehensive list of all sales tax rules in Pennsylvania, you may visit the Pennsylvania Department of Revenue webpage.

What are Taxable and Non-Taxable Products in Philadelphia, Pennsylvania?+

Every state has different rules when it comes to the taxability of goods and services. In Philadelphia, Pennsylvania, there is a variety of goods that are subject to sales tax and a few that are exempt. Check the table below for reference:

PRODUCT	TAXABLE	EXEMPT
Tangible Products	Jewelry Furniture Cosmetics Electronics Home Goods Automobiles	Groceries Prescription Medications Clothing Textbooks Medical Devices Energy-efficient Appliances Agricultural Supplies
Services	Adjustment and collection services Lobbying services Disinfecting or pest control service Catering services Help supply services Credit reporting services Lawn care services Premium cable services Self-storage services	The majority of service-based transactions, such as professional services, advertising, and laundry and dry-cleaning services, are not subject to sales tax.
SaaS and Digital Products	SaaS and Digital Products are taxable in Pennsylvania.	n/a
Shipping and Handling	Shipping and Handling charges are taxable in Pennsylvania.	n/a

For in-depth guidance on taxabilities and exemptions on goods and services, read our Ultimate Business Guide to Sales Tax in Pennsylvania.

How to Get a Sales Tax Permit in Philadelphia, Pennsylvania?+

Once you’ve established a sales tax nexus in Philadelphia, Pennsylvania, your next step is making sure you stay compliant by registering your business for a sales tax permit, also known as a seller’s permit or a business license in other states.

To get a sales tax permit in Philadelphia, follow our step-by-step guide:

Step 1: Go to myPATH website and click Pennsylvania Online Business Tax Registration under the ‘Registration’ section
Step 2: Prepare the following necessary information and documents:
- Business Identification Information: Legal business name, physical address, mailing address
- Business Entity Structure (i.e., sole proprietorship, partnership, Subchapter S Corp., corporation, LLC, etc.)
- Federal Employer Identification Number (EIN or FEIN)
- Name, Address, and SSN of owners, partners, or officers
- Business Activity Details: Date & State of Incorporation, start date with the state of Pennsylvania (nexus start date), Estimated Monthly Sales Tax Liability in Pennsylvania,
- NAICS Code
Step 3: Follow the prompts to complete your registration.
Step 4: Complete the registration process until your account is fully set up.

After receiving your Pennsylvania sales tax permit, you must keep it displayed at all times in your business’s physical locations. Renewal is automatic every 5 years, provided there are no outstanding filing obligations or tax liabilities.

How Do You File and Remit Sales Tax in Philadelphia, Pennsylvania?+

After registering your business in Philadelphia, Pennsylvania, your next step is to file and remit sales tax returns on time. But before filing your sales tax returns, you must know the filing schedule assigned to you by the state.

To begin filing and remitting your sales tax returns in Pennsylvania, follow our step-by-step guide:

Step 1: Prepare your ecommerce sales tax data (e.g., Taxes Report from Shopify)
Step 2: Go to the Pennsylvania Department of Revenue – myPATH website and log in using your account credentials.
Step 3: Select the applicable options for your filing, then click Next to continue.
Step 4: Choose the correct filing period. After that, select “File Now.”
Step 5: Enter the Gross Sales and Net Taxable Sales amounts. The other fields will automatically calculate or populate based on your entries. Once done, click Next.
Step 6: Review all balances carefully to ensure accuracy, then click Next.
Step 7: Select the bank account to use for payment and set the payment date.
Step 8: Finally, click Submit to complete the process.
Step 9: Once your return submission and payment are finalized, keep a copy of the confirmation page for recordkeeping purposes.

NOTE: Late filings result in penalties and fees. Monthly filers can get the lower of $25 or 1% of the tax they collect. Quarterly filers can get up to $75 or 1% of their collected tax. And for those filing every six months, the limit is $150 or 1% of the tax collected. This caps the annual on-time submission discount at $300.

For more filing tips, you can read our comprehensive guide: How To File Pennsylvania Sales Tax Online.

Philadelphia Department of Finance Contact Information+

State: Commonwealth of Pennsylvania Department of Revenue

City: City of Philadelphia Department of Revenue

Contact: revenue@phila.gov, 215.686.6600

Popular ZIP codes in Philadelphia, Pennsylvania+

19102 19103 19104 19106 19107 19123 19130 19146 19147 19148

Frequently Asked Questions+

1. Does Philly charge sales tax?

Yes, Philadelphia imposes an 8.0% sales tax on most goods and taxable services. Also, the sales tax rate can be made up of these rates:

The Pennsylvania state sales tax rate 6.0%, and
Philadelphia County sales tax rate: 2.0%

2. How much is sales tax in Philadelphia, PA?

The total sales tax rate in Philadelphia, Pennsylvania, is 8.0%, which includes 6.0% state tax and 2.0% local tax.

3. Is Pennsylvania a tax-fee for clothing?

No, most clothing is exempt from sales tax in Pennsylvania, including Philadelphia, unless classified as formalwear, accessories, or sporting equipment.

Having Trouble Navigating Philadelphia, Pennsylvania Sales Tax?

Skip the hassle and let TaxHero manage your sales tax in Philadelphia, Pennsylvania.

From tracking your nexus, registering your business, and filing your sales tax returns, we do it all for you so you can keep focusing on growing your business.

Discover how TaxHero can support your business and ensure you stay compliant nationwide, book a free demo today!

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