February 1, 2026 Sales Tax Rate Changes

February 2026 Sales Tax Updates by State

There were no major statewide or local sales tax rate changes specific to February 2026. However, several states announced other notable sales and use tax developments.

• Arkansas: The state sales tax on groceries has been repealed, although groceries will remain subject to applicable local sales taxes.
• Illinois: The state sales tax on groceries will be eliminated. Counties and municipalities may replace it with a 1% local sales tax on groceries.
• Missouri: Machinery and equipment used to provide broadband services will be exempt from state and local sales and use taxes.
• Ohio: The state repealed several sales and use tax exemptions, including exemptions involving loaner vehicle rentals, food sold through refrigerated vending machines, advertising materials, electronically delivered information services, and qualifying call-center telecommunications services.
• Illinois economic nexus: Illinois will eliminate its transaction-count economic nexus threshold for remote sellers while retaining its sales threshold.