The sales tax rate in Grimes, Iowa, and how it breaks down.

What makes up the 7 percent in Grimes?

Six points go to the state and one point is the Grimes local option sales tax. That holds on both sides of the county line.

The state's 6 percent goes to Iowa's general fund. The 1 percent local option is collected by the state with sales tax and paid back to local governments each month, per the Iowa Department of Revenue. It applies to almost everything the state sales tax covers.

Is the sales tax different on the Polk and Dallas County sides of Grimes?

No. The Department of Revenue's tax-rate map lists the 1 percent Grimes local option on both sides: the Dallas County part (start date April 1, 2004) and the Polk County part (start date Jan. 1, 2020). Either way you pay 7 percent. Just west of city limits, unincorporated Dallas County also carries a 1 percent local option, so the total there is 7 percent too. A business setting up point of sale should still confirm its exact address with the state, since rates follow jurisdiction lines, not ZIP codes.

What is the hotel tax in Grimes?

Twelve percent on the room. Iowa charges a 5 percent state hotel and motel tax, and Grimes adds a 7 percent local hotel and motel tax, the most the state allows. The 1 percent local option sales tax does not apply to rooms. On a $150 night that is $18 in tax (our math). Add-ons like room service or alcohol are taxed at the regular sales tax rate instead.

What is and is not taxed?

• Groceries: most food for home is exempt, including meat, eggs, milk, bread, produce, frozen food and most snacks like chips and pretzels. Purchases with SNAP are exempt.
• Taxed at 7 percent: candy and gum, soda and other sweetened drinks, alcohol, pet food, vitamins, and prepared food (anything the seller heats, combines into one item, or sells with utensils). Restaurant meals count as prepared food.
• Services: exempt unless state law taxes them. Iowa taxes about 75 services, so check the state's list for yours.
• Cars and trucks: no sales tax. Instead you pay a fee for new registration of $10 plus 5 percent of the price, including on private sales.
• Sales tax holiday: qualifying clothing and footwear are exempt on the first Friday and Saturday in August.

Did anything change in 2026?

Not for Grimes shoppers. The Department of Revenue's tax and fee list shows no 2026 change to the 6 percent state rate, the 1 percent local option, or hotel rates, and its July 1, 2026 local option update adds new taxes in Johnson County but nothing for Grimes, Polk or Dallas. For the other big local tax, see our Grimes property tax guide for which county bills you and how to check your assessment.

Common questions

What is the sales tax rate in Grimes, Iowa?

The sales tax rate in Grimes is 7 percent, made up of the 6 percent Iowa state sales tax and a 1 percent local option sales tax. It is 7 percent on both the Polk County and Dallas County sides of town.

Is food taxed in Grimes, Iowa?

Most groceries are exempt from Iowa sales tax, including meat, milk, bread, produce and most snack foods. Candy, soft drinks and other sweetened beverages, alcohol, and prepared food such as restaurant meals or food heated by the seller are taxed at 7 percent.

What is the hotel tax in Grimes?

A hotel room in Grimes carries 12 percent in tax: the 5 percent Iowa state hotel and motel tax plus the 7 percent Grimes local hotel and motel tax. The 1 percent local option sales tax does not apply to room rentals.

Did the Grimes sales tax rate change in 2026?

No. The Iowa Department of Revenue lists no 2026 change to the 6 percent state rate, the 1 percent local option rate, or the hotel and motel rates, and its July 1, 2026 local option update lists no change for Grimes, Polk County or Dallas County.