A higher sales tax rate approved by state lawmakers — a centerpiece to balancing the state’s budget — brings Iola’s combined rate to 8.75 percent.
The higher tax rate went into effect Wednesday.
The state’s tax rate went from 6.15 percent to 6.5 percent.
For Iolans, another 1.25 percent goes to the Allen County sales tax levy, and the final 1 percent goes to Iola city coffers.
A wide variety of goods and services are subject to sales taxes, including groceries and food purchases, and utility and phone bills.
For example, a $100 grocery bill means a customer will spend $108.75. A $10,000 car purchase will generate an added $875 in sales tax revenue.
Here’s how Iola compares to other towns in Allen County and southeast Kansas.
City Sales Tax Rate
(Percent)
Iola 8.75
Humboldt 9.0
LaHarpe 8.75
Moran 8.25
Gas 8.75
Chanute 8.75
Yates Center 9.25
Colony 8.0
Parsons 9.25
Pittsburg 9.25
Fort Scott 9.0
Le Roy 7.5
Burlington 8.5
Garnett 8.5