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of the Commonwealth of Pennsylvania

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    Tax Types and Information

    Sales, Use and Hotel Occupancy Tax

    The sales and use tax is imposed on the retail sale, consumption, rental or use of tangible personal property including - digital products - in Pennsylvania. The tax is also imposed on certain services relating to such property and on the charge for specific business services. Major items exempt from the tax include food (not ready-to-eat); candy and gum; most clothing; textbooks; computer services; pharmaceutical drugs; sales for resale; and residential heating fuels such as oil, electricity, gas, coal and firewood.

    File a Business Tax Return
    Make a Business Tax Payment

    Overview

    The Pennsylvania sales tax rate is 6 percent. By law, a 1 percent local tax is added to purchases made in Allegheny County, and 2 percent local tax is added to purchases made in Philadelphia.

    See the Retailer's Information Guide (REV-717) [PDF] or the more detailed Taxability Lists for a taxable items to review subjectivity to sales tax of goods and services.

    A use tax, at the same rate as sales tax, is due on taxable purchases of tangible personal property or specified services used or consumed in Pennsylvania where no sales tax is paid to a vendor. For example, the purchase may have been made out-of-state.

    The hotel occupancy tax, imposed at the same rate as sales tax, applies to room rental charges for periods of less than 30 days by the same person. In addition to hotels, the tax applies to rentals of rooms, apartments and houses arranged through online or third-party brokers.

    For detailed and historic sales, use and hotel occupancy tax information, please review the Tax Compendium.

    Types of Sales Tax Licenses

    Registration

    To register for a Sales, Use, and Hotel Occupancy Retail Tax License; Transient Vendor Certificate; Promoter License; or Wholesale Certificate, complete the Pennsylvania Online Business Tax Registration through myPATH

    Booking Agents are required to be registered for two licenses to collect Hotel Occupancy Tax.

    1. If the Booking Agent does not already have a separate Sales, Use, and Hotel Occupancy tax license, it should obtain one using the Pennsylvania Online Business Tax Registration process through myPATH. The Booking Agent will need to obtain a Sales, Use, and Hotel Occupancy tax license before registering for a Booking Agent license.
    2. Upon receiving the Sales, Use, and Hotel Occupancy tax license, the next step is to register for the booking agent license. Complete the Hotel Booking Agent Registration Form (REV-1840) to acquire the booking agent license. Upon completion of the registration form, email the form to ra-btftregisfax@pa.gov​ or fax to 717-787-3708.