US Taxes FAQ

What is Sales Tax?

In the United States, sales tax is placed on the sale or lease of goods and services. Sales tax is collected according to the state where the property or service is delivered by the seller to the customer.

Why am I being charged sales tax?

Semrush has places of business located in Pennsylvania, Massachusetts, and Texas within the United States. We also have employees and contracts in several other states which require the collection of sales tax. 

Currently, we collect US Sales Tax in some States, GET (General Excise Tax) in Hawaii, and GRT (Gross Receipts Tax) in New Mexico.

The States where we collect taxes

• Alaska (up to 9.5% based on location)

• Arizona (up to 10.9% based on location)

• Colorado (3%–5.15% based on city)

• Connecticut (1%)

• Hawaii (GET up to 4.71% based on location)

• Illinois (15% for Chicago customers only - applies exclusively to Chicago city–based zip codes)

• Kentucky (6%)

• Louisiana (up to 12% based on location)

• Maryland (3%)

• Massachusetts (6.25%)

• New Mexico (GRT up to 9.43% based on location)

• New York State (up to 8.88% based on location)

• Ohio (up to 8% based on location)

• Pennsylvania (up to 8% based on location)

• Rhode Island (7%)

• South Carolina (up to 9% based on location)

• South Dakota (up to 7.2% based on location)

• Tennessee (up to 9.75% based on location)

• Texas (up to 6.6% based on location)

• Utah (up to 9.55% based on location)

• Vermont (up to 7% based on location)

• Washington, DC (6%)

• Washington State (up to 10.7% based on location)

• West Virginia (up to 7% based on location)

Note: Colorado tax applies only to customers in these cities: Denver, Colorado Springs, Littleton, Boulder, Fort Collins, Arvada, Englewood, Aurora, Golden, and Broomfield.