Rates last verified: September 3rd, 2026
Sources: Ohio Revised Code; Ohio Department of Taxation. Full citations at the bottom of this page.
Ohio treats telecommunications service as a taxable sale under its general sales tax. The Ohio Revised Code defines the service broadly, pulls Voice over Internet Protocol (VoIP) into the same definition, and sources each sale under rules that decide which calls and which customers Ohio can tax. The local layer is real, because Ohio's counties add their own permissive rates, and a per-line 9-1-1 fee rides on top of the sales tax.
Quick Facts
| Item | Ohio Treatment |
|---|---|
| State sales tax | 5.75% on retail sales, including telecommunications service, prepaid calling service, prepaid wireless calling service, and ancillary service (Ohio Revised Code sections 5739.02 and 5739.01(B)(3)(f)) |
| County rates | Counties may levy up to 1% in multiples of one-twentieth of 1%, and up to 1.5% in some cases; combined with the 5.75% state rate, the total runs from 6.50% to 8.25% depending on county and transit district (Department of Taxation, Sales and Use Tax Rates by County, October 2026 table) |
| Sourcing | Call-by-call sales are sourced where the call originates and terminates, or where it originates or terminates and the service address sits; other telecom sales go to the customer's place of primary use (section 5739.034) |
| Next generation 9-1-1 access fee | $0.60 per month for each communications service that can reach 9-1-1: each wireless number, each VoIP voice channel (capped at 100 per network), and each multiline system line (capped at 100 per building) (section 128.41) |
| Prepaid wireless 9-1-1 fee | 0.5% of the sale price on each retail sale of prepaid wireless calling service (section 128.42) |
| 9-1-1 fee exemptions | Wireless lifeline subscribers, and wholesale transactions between providers where the service becomes a component of an end-user service (section 128.413) |
| 9-8-8 | No per-line 9-8-8 fee appears in the Ohio statutes reviewed for this page; data pending confirmation |
| Relay service | The Public Utilities Commission of Ohio assesses providers annually to fund telecommunications relay service; the statute sets no fixed amount and lets providers recover the cost through customer surcharges (section 4905.84) |
| Internet access | Excluded from the definition of telecommunications service; also protected by the federal Internet Tax Freedom Act |
How Ohio Taxes Telecom Services
Ohio Revised Code section 5739.01(B)(3)(f) makes telecommunications service a taxable sale, and the list is specific: telecommunications service, prepaid calling service, prepaid wireless calling service, and ancillary service, with coin-operated telephone service carved out. The state rate under section 5739.02 is 5.75%. Because Ohio runs telecom through the general sales tax, the tax falls on the consumer and the provider collects it.
The definition in section 5739.01(AA) covers the electronic transmission, conveyance, or routing of voice, data, audio, video, or other information or signals, including transmission in which computer processing changes the form, code, or protocol of the content, whether or not anyone calls the service Voice over Internet Protocol (VoIP). The definition excludes internet access service, data processing and information services, billing and collection for third parties, advertising, on-premises wiring work, and radio and television programming. Section 5739.02 adds exemptions for 900 service sold to a subscriber and for value-added non-voice data service.
Sourcing decides which sales Ohio taxes. Under section 5739.034, a call billed call-by-call is sourced to the jurisdiction where the call originates and terminates, or where it originates or terminates and the service address sits. Service billed on some other basis goes to the customer's place of primary use, which must be the customer's residential or primary business street address. Mobile service follows the federal Mobile Telecommunications Sourcing Act, prepaid calling service is sourced where the signal first originates, and private communication service splits across the jurisdictions where the channel terminates.
The local layer stacks on the same base. Section 5739.021 lets each county levy a permissive sales tax of up to 1%, in multiples of one-twentieth of 1%, and up to 1.5% in some cases, on top of the state's 5.75%. Under the Department of Taxation's October 2026 county rate table, combined state, county, and transit-authority rates range from 6.50% to 8.25%. The table updates each quarter, and the rate that applies to a telecom sale depends on where the sourcing rules place it.
911 And Other Per-Line Fees
Ohio funds 9-1-1 through the next generation 9-1-1 access fee under Ohio Revised Code section 128.41: 60 cents per month on each communications service capable of reaching 9-1-1. The fee counts by connection. A wireless subscriber pays one fee per telephone number. A VoIP subscriber pays one fee per voice channel, capped at 100 voice channels per network. A multiline telephone system pays one fee per line, capped at 100 per building. When several services share one number, the total fee on that number stays at 60 cents per month. This fee replaced the 25-cent wireless-only charge under section 128.40, which ended January 1, 2024.
Prepaid wireless pays at the register: section 128.42 imposes a next generation 9-1-1 access fee of 0.5% of the sale price on each retail sale of prepaid wireless calling service in Ohio. Collectors of either fee file and remit monthly, by the 23rd day of the month after collection, under section 128.46.
Section 128.413 exempts two groups: wireless lifeline subscribers, and wholesale transactions between providers where the service becomes a component of what an end user buys. Beyond 9-1-1, providers that federal law requires to give customers access to telecommunications relay service pay an annual assessment that the Public Utilities Commission of Ohio sets by formula under section 4905.84, and the statute lets them recover it through customer surcharges.
Taxability By Service Type
- Telecommunications service, prepaid calling service, prepaid wireless calling service, and ancillary service: taxable under the state and county sales tax when sourced to Ohio.
- Voice over Internet Protocol: inside the telecommunications service definition, whatever the service is called; also subject to the 9-1-1 fee per voice channel.
- Coin-operated telephone service: outside the definition of sale.
- 900 service sold to a subscriber, and value-added non-voice data service: exempt under section 5739.02.
- Sales for resale: excluded from retail sale under section 5739.01(E) when the buyer resells the service; wholesale transactions between providers are also exempt from the 9-1-1 fee.
- Internet access and radio or television programming: excluded from the telecommunications service definition; internet access is also protected by the federal Internet Tax Freedom Act.
How CereTax Handles Ohio
Ohio's difficulty is sourcing plus counting. Every invoice needs the right county rate for wherever section 5739.034 places the sale, a base that excludes internet access and resale, and a 9-1-1 fee counted per number, per voice channel, or per line with the statutory caps applied. CereTax assigns each charge to the right jurisdiction at the rooftop level, applies Ohio's base rules by service type, and keeps an audit trail behind every calculation. If you serve customers in Ohio, book a demo and bring a real invoice.
For the full evaluation checklist, see what a telecom tax engine should do.
Sources
- Ohio Revised Code § 5739.01, sales tax definitions, including telecommunications service. Accessed August 28, 2026.
- Ohio Revised Code § 5739.02, levy of sales tax and exemptions. Accessed August 28, 2026.
- Ohio Revised Code § 5739.021, county permissive sales tax. Accessed August 28, 2026.
- Ohio Revised Code § 5739.034, telecommunications sourcing. Accessed August 28, 2026.
- Ohio Revised Code § 128.41, next generation 9-1-1 access fee. Accessed August 28, 2026.
- Ohio Revised Code § 128.413, exemptions from the 9-1-1 access fee. Accessed August 28, 2026.
- Ohio Revised Code § 128.42, prepaid wireless 9-1-1 access fee. Accessed August 28, 2026.
- Ohio Revised Code § 128.40, wireless 9-1-1 charge (ended January 1, 2024). Accessed August 28, 2026.
- Ohio Revised Code § 128.46, filing and remittance. Accessed August 28, 2026.
- Ohio Revised Code § 4905.84, telecommunications relay service assessment. Accessed August 28, 2026.
- Ohio Department of Taxation, Next Generation 9-1-1 Access Fee, fee page showing 60 cents per month effective September 30, 2025, and the VoIP channel and multiline caps. Accessed September 3, 2026.
- Ohio Department of Taxation, Sales and Use Tax Rates by County, October 1, 2026 to December 31, 2026, confirming combined state, county, and transit-authority rates of 6.50% to 8.25%. Accessed September 3, 2026.
- Ohio Department of Taxation, 2026 Small Business Tax Guide, Next Generation (NG) 911 Access Fee section, confirming the fee at 60 cents per month effective September 30, 2025. Accessed August 28, 2026.
- Internet Tax Freedom Act, 47 U.S.C. § 151 note.
See how other states compare on the telecom tax by state hub.
Note: Always confirm current rates and filing obligations directly with the state’s DOR, PUC, or 911 authority before applying charges or remitting payments.
