Wisconsin — Sales & Use Tax

## Sales tax imposition

Wisconsin imposes a 5% sales tax on retailers for the privilege of selling, licensing, leasing, or renting tangible personal property at retail in the state.

Source: Wis. Stat. § 77.52(1)(a)

The sales tax also applies at the 5% rate to the retail sale, license, lease, or rental of:

• Coins and stamps sold as collectors' items above face value
• Certain leased property affixed to real property (if the lessor retains the right to remove it upon breach or termination of the lease)
• Specified digital goods and additional digital goods

Source: Wis. Stat. § 77.52(1)(b), (c), (d)

Wisconsin also imposes sales tax at the 5% rate on certain taxable services sold, licensed, performed, or furnished at retail, including admissions to amusement or entertainment events; furnishing rooms or lodging; certain telecommunications services; landscaping and lawn maintenance services; laundry and dry cleaning; and other enumerated services.

Source: Wis. Stat. § 77.52(2)

## Use tax imposition

Wisconsin imposes a complementary 5% use tax on the storage, use, or other consumption in Wisconsin of tangible personal property, items and goods under Wis. Stat. § 77.52(1)(b), (c), or (d), and taxable services if no Wisconsin sales or use tax has been previously paid.

Source: Wisconsin DOR Publication 201, Wisconsin Sales and Use Tax Information

## Local taxes

As of 2024, 70 of Wisconsin's 72 counties impose a 0.5% county sales and use tax. Only Winnebago and Waukesha counties do not impose this tax.

Milwaukee County: Effective January 1, 2024, Milwaukee County increased its county sales and use tax rate to 0.9%. City of Milwaukee: The City of Milwaukee imposes a separate 2% city sales and use tax on sales and taxable uses in city limits, also effective January 1, 2024. Combined rate in City of Milwaukee: The total combined sales and use tax rate in the City of Milwaukee is 7.9% (5% state + 0.9% Milwaukee County + 2% City of Milwaukee).

Source: Wisconsin DOR County and City Sales and Use Taxes FAQ, Wisconsin DOR Fact Sheet 2414, Milwaukee Sales and Use Taxes

Among all counties, only Winnebago and Waukesha do not impose any county sales and use tax. A current list and map of county and city taxes in effect is maintained on the DOR website.

## Premier Resort Area Taxes (PRAT)

As of July 1, 2026, the following municipalities impose a local premier resort area tax (PRAT) of either 0.5% or 1.25% on sales by qualifying businesses:

• Wisconsin Dells (1.25%)
• Lake Delton (1.25%)
• Rhinelander (0.5%)
• Sturgeon Bay (0.5%) — effective July 1, 2026
• Minocqua (0.5%) — effective July 1, 2026

This tax applies only to sales by businesses primarily classified under designated NAICS codes. The DOR's FAQ and Fact Sheet 2500 provide a complete list of qualifying businesses and the applicable rates. For official rate confirmation by municipality, consult DOR FAQ and Fact Sheet 2500.

Source: Wisconsin DOR FAQ on Premier Resort Area Taxes, Wisconsin DOR Fact Sheet 2500, Wisconsin DOR Tax Bulletin 233

## Measure of tax

The sales tax is measured by the "sales price" from retail sales. The use tax is measured by the "purchase price" of the property or service.

Source: Wisconsin DOR Publication 207, Sales and Use Tax Information for Contractors, p. 4

All sales of tangible personal property and items, property, or goods at retail in Wisconsin are presumed subject to tax unless an exemption applies.

Source: Wis. Stat. § 77.52(1b)

Wisconsin requires out-of-state retailers to register and collect sales or use tax if their annual gross sales into Wisconsin exceed $100,000 in the previous or current calendar year. A retailer exceeding $100,000 in the previous calendar year must collect tax for the entire current calendar year; a retailer exceeding $100,000 for the first time in the current calendar year must register and collect tax for the remainder of that year. "Gross sales" includes both taxable and nontaxable sales, and includes sales made by the retailer on behalf of other persons and sales made by another person on the retailer's behalf. Wisconsin eliminated its separate 200-transaction threshold effective February 20, 2021.

Source: Wis. Stat. § 77.51(13gm)

Wisconsin requires marketplace providers to collect and remit sales or use tax on sales they facilitate on behalf of marketplace sellers. A marketplace provider is any person who facilitates a retail sale by listing or advertising for sale tangible personal property or specified taxable services and who, directly or indirectly through agreements with third parties, processes the payment from the purchaser. The marketplace provider is liable for tax on the entire sales price charged to the purchaser, including any amount the provider charges for facilitating the sale.

Source: Wis. Stat. § 77.52(3m)(a), Wis. Stat. § 77.51(7i))

Wisconsin requires every person making retail sales, leases, or rentals of tangible personal property or furnishing taxable services at retail in Wisconsin to obtain a seller's permit for each place of operation, unless the seller is exempt from taxation. Out-of-state retailers engaged in business in Wisconsin and not required to hold a seller's permit must obtain a use tax registration certificate.

Source: Wis. Admin. Code Tax 11.002(2)(a), (b)

Wisconsin exempts purchases for resale from sales and use tax when the seller obtains proper documentation from the purchaser. The resale exemption is foundational to Wisconsin's sales tax structure: Wisconsin law presumes all sales of tangible personal property and taxable services are subject to sales tax unless the seller can prove otherwise. For resale transactions, the burden of proving a sale is not taxable at retail rests on the seller unless the seller obtains a compliant exemption certificate from the purchaser.

## Certificate requirement and timing

A seller is relieved of liability for sales or use tax if the seller obtains from the purchaser, prior to the date of the sale or within 90 days after the date of the sale, a fully completed exemption certificate indicating that the property or service is purchased for resale or is otherwise exempt from Wisconsin sales and use tax. The 90-day window is a safe harbor: if the seller did not obtain a certificate at the time of sale, the seller may still be relieved of liability by obtaining one within 90 days. If the seller fails to obtain a certificate within 90 days, the seller may still avoid liability if, within 120 days after the Wisconsin Department of Revenue requests substantiation, the seller either obtains a fully completed exemption certificate in good faith or provides other proof that the transaction was not subject to tax.

Source: Wis. Stat. § 77.52(13)), Wis. Admin. Code Tax 11.14(3)(a)

## Effect of obtaining a resale certificate

Obtaining a resale exemption certificate—or capturing and maintaining the required data elements as an alternative—relieves the seller from both the duty to collect the sales tax and liability for the use tax on that transaction. If a purchaser gives a resale certificate and then uses the purchased property, item, good, or service in a manner other than holding it for sale, lease, or rental in the regular course of business (other than retention, demonstration, or display while holding for resale), the purchaser becomes liable for use tax measured by the purchase price, not the seller.

Source: Wis. Admin. Code Tax 11.14(6)(a)

## Acceptable forms of exemption certificates

Wisconsin accepts three types of exemption certificates for resale and other exempt transactions:

• Form S-211, Wisconsin Sales and Use Tax Exemption Certificate (multipurpose form usable for any Wisconsin sales and use tax exemption, including resale)
• Form S-211E, Electronic Wisconsin Sales and Use Tax Exemption Certificate
• Form S-211-SST (or SSTGB Form F0003), Streamlined Sales and Use Tax Exemption Certificate (multistate forms; purchasers should use caution as these contain exemptions applicable only in other states)

Wisconsin law does not require use of a department-designed form; sellers may accept other documentation or data capture methods, provided the seller captures and maintains the required data elements described in Wis. Admin. Code Tax 11.14(4)(a).

Source: Wis. Admin. Code Tax 11.14(2)(a)

## Purchaser liability for misuse

If a purchaser provides an exemption certificate claiming the purchase is for resale (or another exempt use) and subsequently uses the property, item, good, or service in a taxable manner, the purchaser is liable for the applicable sales or use tax. A purchaser who gives a resale certificate for property or services that the purchaser knows at the time of purchase will not be resold in the regular course of business—for the purpose of evading payment of the tax—is guilty of a misdemeanor under Wisconsin law.

Source: Wis. Admin. Code Tax 11.14(2)(c), Wis. Stat. § 77.52(16))

Wisconsin assigns each seller a filing frequency—annual, quarterly, monthly, or early monthly—based on the seller's sales and use tax liability during the prior measurement period. The Department of Revenue reviews filing frequencies each year by the end of November and notifies affected sellers of changes effective January 1 of the following year (or the start of a seller's fiscal year if different from the calendar year).

## Default filing frequency: quarterly

Unless the department notifies a seller of a different frequency, the baseline filing period is quarterly. A seller who registers through the Streamlined Sales Tax governing board's central registration system and makes a taxable sale sourced to Wisconsin must file a return by the last day of the month following the end of the calendar quarter in which the sale occurred, and continue to file quarterly returns thereafter unless the department notifies the seller in writing of a different frequency.

Source: Wis. Stat. § 77.58(2)(d)

## Annual filing

A seller who held a regular seller's permit and whose sales and use tax liability during the previous calendar or fiscal year did not exceed $600 will be notified by the department that it must file only one sales and use tax return for the following year. The seller may elect to continue filing quarterly by contacting the department. Annual returns and payments are due by the last day of the month following the close of the seller's calendar or fiscal year.

Source: Wis. Admin. Code Tax 11.93(1), (2)

## Monthly and early monthly filing

The department may require returns and payments for periods other than quarterly if it deems such a schedule necessary to ensure payment to or facilitate collection by the state. The department may also permit non-quarterly filing frequencies if satisfied that revenues will be adequately safeguarded.

For sellers assigned monthly filing frequency, returns and payments are due by the last day of the month next succeeding the end of the reporting period. For sellers assigned early monthly filing frequency—typically higher-volume sellers—the department may require by written notice that returns and payments are due by the 20th day of the month next succeeding the end of the reporting period.

Source: Wis. Stat. § 77.58(5)

## Annual frequency review and notification

The department conducts an annual review of sales and use tax filing frequencies by the end of November each year. Letters are mailed to sellers whose frequency will change, with the change taking effect for periods beginning January 1 of the following year. Sellers with a fiscal year end date other than December 31 are notified before the start of their fiscal year, and the change becomes effective the first day of the new fiscal year.

Source: Wisconsin DOR Annual Filing Frequency Scan

## Due date adjustments

If a filing due date falls on a weekend or legal holiday, the due date is extended to the business day immediately following the weekend or legal holiday.

Source: Wisconsin DOR Sales and Use Tax FAQs

Wisconsin’s sales tax is destination-based, not origin-based

For sales and use tax purposes, Wisconsin applies a destination-based sourcing system. This means that in most cases, tax is imposed based on the location where the purchaser receives the tangible personal property, item, good, or taxable service. The retailer must charge the applicable state and local tax rates for the jurisdiction to which the item is delivered or where first use occurs by the purchaser.

Statutory sourcing hierarchy

Wisconsin's sourcing hierarchy for interstate and intrastate sales is established by statute:

• If the purchaser receives the product at the seller’s place of business, the sale is sourced to that location.
• If not received at the seller’s business (e.g., shipped or delivered), the sale is sourced to the location where the purchaser receives the product or makes first use.
• For services and certain digital goods, similar destination-based rules apply under Wis. Stat. § 77.522(1)(b).

Special rules exist for direct mail, telecommunications, and other explicitly designated categories, all set forth in Wis. Stat. § 77.522(1).

Local tax rate determination

County and city sales/use taxes are imposed based on the delivery or first-use location, not the seller’s address. For example:

• If a retailer in Dane County sells and ships taxable goods to a customer in Milwaukee County (or the City of Milwaukee), the combined rate applicable in Milwaukee jurisdiction applies.
• Milwaukee County and City have unique rates as of 2024 (see Tax Base and Rate section, above).
• Sellers are responsible for using the purchaser’s address to determine the local tax rate. The Wisconsin DOR provides a Sales Tax Rate Lookup tool and maintains a full list of current rates.

Special cases

• In-person pickup: If a customer picks up goods at the seller’s business, tax is sourced to that location.
• Delivery to customer by seller or common carrier: Tax is sourced to the delivery address.
• Remote sales (telephone, Internet, catalog): Again, taxed at the rate for the delivery destination.

For comprehensive examples and full rate lookup, consult Wisconsin DOR Publication 201 and the DOR’s tax rate FAQ.

Source: Wis. Stat. § 77.522(1), Wisconsin DOR Publication 201, p. 14-16, WI DOR Local Sales Tax Rates FAQ

Wisconsin imposes both penalties and monthly interest charges for late filing or late payment of sales and use tax returns. The rules are codified in Wis. Stat. § 77.60 and apply to all filed periods, unless the statute specifies otherwise.

Late Filing Fee

• A flat fee of $20 is imposed on any delinquent sales and use tax return. This fee is waived if the failure to file was due to the filer's death or if the Department of Revenue failed to issue a permit within 30 days.

Interest on Unpaid Taxes

• Interest accrues on unpaid sales and use tax at a rate of 1.5% per month (18% annually) until the tax is paid in full. This interest is calculated on the unpaid tax, not compounded, and is assessed monthly (or for each partial month).

Penalty for Late or Non-Filing

• If a return is not filed by its due date, a penalty of 5% of the tax due is assessed for the first month (or fraction thereof), plus an additional 5% for each subsequent month (or fraction thereof), up to a maximum of 25% of the unpaid tax per return.
• If a false or fraudulent return is filed, or if a return is intentionally not filed, a penalty equal to 50% of the tax owed may be imposed instead of the 5%-per-month penalty.

Order of Application of Payments

• For non-delinquent amounts owed, payments are applied first to penalties, then to interest, then to tax principal, as provided in Wis. Stat. § 77.60(1m).

Notes

• All penalty and interest figures are directly established by statute and have not been scheduled for change as of this writing.
• The order-of-payment rule applies only when there is no tax delinquency.
• The controlling statute does not use the term "compound interest"; interest is calculated as a flat monthly rate.

Source: Wis. Stat. § 77.60

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Wisconsin law establishes a variety of exemptions from state sales and use tax on particular products and services. This section addresses the most commonly claimed exemptions—including treatment of groceries, clothing, and manufacturing machinery—and identifies any particular dollar thresholds or limitations associated with them as of 2026.

Groceries (food for home consumption): Most food and food ingredients intended for home consumption are exempt from Wisconsin sales and use tax. However, there are notable exceptions: prepared foods (such as restaurant meals and hot ready-to-eat items), soft drinks, and alcoholic beverages remain taxable. The exemption covers groceries typically purchased at supermarkets for preparation and consumption off-premises. Prepared food definitions and boundaries are set by statute and further clarified in regulations.

• See Wis. Stat. § 77.54(20n), and detailed guidance in Wisconsin Admin. Code Tax 11.51.
• No dollar limit or threshold applies: groceries are either taxable or exempt based on type, not price.

Clothing: Wisconsin does not provide a general exemption for clothing. All sales of clothing—regardless of type, intended wearer, or sales price—are taxable unless the clothing qualifies under a different exemption (e.g., resale or as protective equipment for manufacturers). There are no annual tax holidays for clothing in Wisconsin as of 2026.

• See Wis. Stat. § 77.52(1), Publication 201.

Manufacturing machinery and equipment: Machinery and specific equipment used exclusively and directly in manufacturing tangible personal property for sale are exempt, including repair parts and safety attachments. To qualify, the machinery must be used more than 50% of the time in manufacturing; use for storage, distribution, or non-manufacturing purposes may render the purchase taxable. Exempt items include process machinery, pollution control equipment, and certain accessories.

• See Wis. Stat. § 77.54(6)(a), Wisconsin Admin. Code Tax 11.40, and DOR Publication 203.
• There is no dollar threshold: qualification turns on use, not purchase amount.

Other notable exemptions:

• Medical supplies and prescription drugs (Wis. Stat. § 77.54(14))
• Sales for resale (with exemption certificate, see previous section)
• Certain agricultural machinery and products (Wis. Stat. § 77.54(3), (3m))
• Occasional sales by non-regular sellers under $2,000/year (Wis. Stat. § 77.54(7), DOR FAQ)

Limitations and documentation: To claim an exemption, purchasers must typically furnish an exemption certificate to the seller; sellers are required to maintain these certificates for potential audit. There are no price-based limitations (other than for occasional sellers); the exemptions are categorical, not threshold-based, for the products/services covered above.

Source: Wisconsin Stat. § 77.54, Wis. Admin. Code Tax 11.51, Wisconsin DOR Publication 201, Wisconsin DOR Publication 203

Wisconsin’s statewide sales and use tax rates have changed only a handful of times since introduction, and local rate changes now represent the most significant ongoing developments for historic and refund work.

Initial selective sales tax (1962–1969): Wisconsin first enacted a selective retail sales and use tax effective October 1, 1962, at a statewide rate of 3%.

General sales tax adoption (1969–1982): On September 1, 1969, Wisconsin adopted a full general sales and use tax regime at a rate of 4%. This rate applied to all retail sales of tangible personal property (with various specific exemptions), and remained in place through April 30, 1982.

Current statewide rate (May 1, 1982–present): The Legislature increased the statewide rate to 5% effective May 1, 1982. This has remained the base state rate through 2024, with no statutory changes to the statewide rate as of mid-2024.

Material local rate changes since 2024:

• Milwaukee County increased its county sales and use tax from 0.5% to 0.9% effective January 1, 2024. Wisconsin DOR
• City of Milwaukee adopted a new 2% city sales and use tax effective January 1, 2024. Wisconsin DOR
• Manitowoc County will impose a 0.5% local sales and use tax starting January 1, 2025. Wisconsin DOR Tax Bulletin 223
• Racine County will impose a 0.5% local sales/use tax effective April 1, 2025. Wisconsin DOR announcement
• Premier Resort Area Tax (PRAT): Sturgeon Bay and the Town of Minocqua are scheduled to begin imposing a 0.5% PRAT July 1, 2026. Wisconsin DOR publication 2500
• Door and Bayfield Counties both scheduled local rate increases to 6% effective February 1, 2026, per DOR and public notices. Wisconsin DOR
• Combined maximum tax rate in Milwaukee city limits rises to 7.9% (5% state + 0.9% county + 2% city) from January 1, 2024.

Summary table (statewide only): | Period | Statewide Rate | |-------------------------------|---------------| | Oct. 1, 1962 – Aug. 31, 1969 | 3% (selective)| | Sept. 1, 1969 – Apr. 30, 1982 | 4% (general) | | May 1, 1982 – present | 5% |

Note: Local rate and special district changes may alter the combined rate at the point of sale; practitioners should use the DOR’s Sales Tax Rate Lookup Tool for address-level rates.

Sources: Wisconsin DOR County and City Sales and Use Taxes FAQ, Wisconsin DOR Publication 2500, Wisconsin DOR Tax Bulletin 223

Wisconsin authorizes several layers of local sales and use taxes on top of the statewide 5% rate, including county, city, and premier resort area taxes. The correct combined rate for any transaction depends on which local taxes are active at the delivery address.

County sales and use taxes

• As of 2024, 70 out of 72 counties impose a 0.5% local sales and use tax; only Winnebago and Waukesha do not. The Wisconsin Department of Revenue (DOR) administers, collects, and publishes an official map of counties imposing the tax.
• Milwaukee County: The county rate increased to 0.9% effective January 1, 2024.

City of Milwaukee sales and use tax

• The City of Milwaukee imposes a 2% city sales and use tax (effective January 1, 2024) in addition to the state and county rates for a combined maximum of 7.9%. As of July 2024, Milwaukee remains the state’s only city imposing a DOR-administered sales and use tax.

Premier Resort Area Tax (PRAT)

• Certain municipalities impose a PRAT, at 0.5% or 1.25%, on qualifying sales. The principal PRAT jurisdictions are Wisconsin Dells (1.25%), Lake Delton (1.25%), and Rhinelander (0.5%).
• Material change for 2026: Effective July 1, 2026, the City of Sturgeon Bay and the Town of Minocqua will also begin imposing the 0.5% PRAT. This change reflects the most recent DOR publications and is not yet in effect prior to that date.
• The DOR provides an updated list of qualifying municipalities, effective dates, applicable rates, and eligible business NAICS codes.

Combined rate lookup and administration

• The Wisconsin DOR offers an address-level Sales Tax Rate Lookup Tool that provides real-time combined state, county, city, and premier resort area rates. Legal and compliance users should always confirm current rates by checking this DOR tool or the latest published lists.

Special and expired district taxes

• No temporary stadium or special district DOR-administered sales/use taxes remain in effect as of July 2024. Local lodging/room taxes are separate and not part of the DOR sales/use tax regime.

Authoritative sources:

• DOR’s County and City Sales and Use Taxes FAQ and Map shows all counties/cities, current rates, and legal adoption/effective dates.
• DOR’s Premier Resort Area Tax FAQ and publication list confirm PRAT jurisdiction changes, including the Sturgeon Bay and Minocqua additions effective July 1, 2026.

For legal compliance, practitioners should confirm the correct rate using the current DOR lookup tool and official FAQ, since local adoption and rates may change by legislative action.

Source: Wisconsin DOR Sales Tax Rate Lookup Tool, Wisconsin DOR County and City Sales and Use Taxes FAQ, Wisconsin DOR Premier Resort Tax FAQ, Wisconsin DOR Premier Resort Tax Publication