Questions & Answers

What is the use tax rate?

The general use tax rate for purchases is 6.35%.

However, the following items are subject to a 7.75% use tax rate:

• most motor vehicles exceeding $50,000;
• each piece of jewelry exceeding $5,000;
• each piece of clothing or pair of footwear exceeding $1,000;
• a handbag, luggage, umbrella, wallet, or watch exceeding $1,000.

Computer and data processing services are subject to a 1% use tax rate.

Boats, motors for boats, and trailers to transport boats are subject to a 2.99% use tax rate.