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Sales Tax CalculatorJanitorial service taxability by state.
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States that tax janitorial and cleaning services as of 2024, an operator with clients in multiple states may owe sales tax in several jurisdictions even without a physical presence in each
Source: Federation of Tax Administrators, Sales Taxation of Services Survey 2024
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The Opora Sales Tax Lookup shows whether your state taxes cleaning services, the current rate, and links to the official registration portal.
Unlike products, most services are not taxed in every state. But cleaning services occupy a complicated middle ground, some states exempt them entirely, others tax them at the full state rate, and a few tax them only when performed in certain settings (commercial vs. residential, or buildings over a certain square footage). Getting this wrong creates real liability: states can assess back taxes, interest, and penalties going back three to five years from the date of assessment.
This guide covers the sales tax landscape for janitorial and cleaning services in plain language, organized by outcome so you can quickly find your state's rule.
The Baseline: Most States Exempt Most Services
Sales taxes were originally designed to tax the sale of tangible goods. Most states have historically excluded services from the sales tax base. However, as states search for revenue, many have expanded the tax base to include selected services, and cleaning/janitorial is one of the most commonly targeted categories.
The critical distinction: even if your state taxes cleaning services, there are often exemptions by service type, customer type, or facility type.
States That Tax Cleaning and Janitorial Services
Arizona
Arizona taxes cleaning services under A.R.S. §42-5061 as part of its Transaction Privilege Tax (TPT). The statewide rate is 5.6%, with local add-ons bringing most metro areas to 8–10%. Residential and commercial cleaning are both taxed. Cleaning businesses must register with the Arizona Department of Revenue.
Connecticut
Connecticut taxes "maintenance and janitorial services" under Conn. Gen. Stat. §12-407(a)(37)(I). The rate is 6.35%. Both residential and commercial cleaning services are taxable. Cleaning chemicals and supplies purchased for use in cleaning may qualify for a resale exemption if the cost is separately billed to the customer.
District of Columbia
DC taxes "building maintenance and cleaning services" at 6%. Commercial cleaning operators working in DC must register with the DC Office of Tax and Revenue and collect sales tax on all cleaning service revenue.
Florida
Florida taxes commercial cleaning services under F.S. §212.02(15). The statewide rate is 6%, with local discretionary surtaxes of up to 1.5%. Residential cleaning is exempt in Florida, only cleaning of commercial buildings is taxable. This distinction matters for operators who serve both.
Hawaii
Hawaii has a General Excise Tax (GET) rather than a traditional sales tax, but it functions similarly. All services, including cleaning, are subject to the GET at 4% (plus 0.5% surcharge in Honolulu County). Unlike a sales tax, the GET is technically imposed on the seller, not the buyer, but it's commonly passed through to customers.
Iowa
Iowa taxes "personal services" including cleaning services for residential and commercial properties under Iowa Code §422.43. Rate: 6%.
Minnesota
Minnesota taxes "building cleaning and maintenance services" under Minn. Stat. §297A.61(2)(g)(6)(i). Rate: 6.875% state plus local. However, cleaning services for residential properties are taxed only if the customer is a business (e.g., a property management company maintaining residential units).
New Mexico
New Mexico's Gross Receipts Tax (GRT) applies to virtually all services, including cleaning. Rate: 5.125% state plus significant local add-ons (total effective rates often 7–9%).
Ohio
Ohio taxes "building maintenance and janitorial services" as a taxable service. Rate: 5.75% state plus local.
South Dakota
South Dakota expanded its sales tax base to include services in 1987 and taxes cleaning services at 4.5%. This was also the state in the Wayfair case that established economic nexus principles now applied nationwide.
Texas
Texas taxes "janitorial services" under Tax Code §151.0038. Rate: 6.25% state plus local (total typically 8.25%). Texas has some of the highest commercial cleaning sales tax compliance requirements, clients often request proof of your sales tax permit before awarding contracts.
Washington
Washington's retail sales tax applies to "retail sales" broadly defined, and cleaning services are taxable under WAC 458-20-172. Rate: 6.5% state plus significant local (Seattle effective rate: 10.25%).
Other Taxing States
Additional states that tax at least some cleaning services (residential, commercial, or both): Nebraska, New York (partial), North Dakota, Pennsylvania (partial), West Virginia.
| State | Taxable? | State Rate | Residential | Commercial | Notes |
|---|---|---|---|---|---|
| Arizona | Yes | 5.6% + local | Taxed | Taxed | TPT structure |
| California | No | 7.25% + local | Exempt | Exempt | Services generally exempt |
| Connecticut | Yes | 6.35% | Taxed | Taxed | Both residential and commercial |
| Florida | Partial | 6% + local | Exempt | Taxed | Commercial only |
| Hawaii | Yes | 4% GET + 0.5% surcharge | Taxed | Taxed | Gross Excise Tax, not traditional sales tax |
| Illinois | No | 6.25% + local | Exempt | Exempt | Services generally exempt |
| Minnesota | Partial | 6.875% | Partial | Taxed | Complex residential rules |
| New York | Partial | 4% + local | Exempt | Partial | Exempt if under $1M/sq ft threshold |
| Texas | Yes | 6.25% + local | Taxed | Taxed | Permit required before contracts |
| Washington | Yes | 6.5% + local | Taxed | Taxed | High local rates (Seattle 10.25%) |
Nexus: When You Must Collect Tax in Another State
The South Dakota v. Wayfair (2018) Supreme Court decision allows states to require out-of-state sellers to collect sales tax if they exceed an "economic nexus" threshold, typically $100,000 in annual sales or 200 transactions in the state, even without a physical presence.
For most cleaning businesses, this is rarely an issue because cleaning services are inherently local and physical. However, operators who expand into multiple metropolitan areas across state lines (e.g., Philadelphia-area companies with NJ and PA accounts, or national commercial cleaners) need to analyze nexus state by state.
Physical nexus is simpler: if you have employees, equipment, or a location in a state that taxes cleaning services, you have nexus and must register, collect, and remit.
SVG Chart: Top States by Effective Sales Tax Rate on Cleaning Services
Registration and Compliance Steps
If your state taxes cleaning services and you're not yet registered:
- Identify your state's registration portal: most use a centralized DOR portal (ADOR for AZ, MyTax Texas for TX, etc.)
- Obtain a sales tax permit: usually free; takes 1–5 business days online
- Start collecting from clients: add a separate line item on invoices ("Sales Tax: $X.XX")
- File and remit on schedule: most states require monthly filing for annual tax liability >$1,200; quarterly for lower volumes
- Track by transaction: your accounting software (QuickBooks, Xero) should record the tax collected separately from revenue
Penalties for non-compliance: Most states assess 5–10% of unpaid tax per month, plus interest (often the federal underpayment rate +2–3%). A 3-year lookback at $500,000 in annual taxable revenue in Texas, for example, produces $41,250 in unpaid sales tax alone at 8.25%.
Frequently Asked Questions
Do I charge sales tax on the paper towels and soap I resell to my clients?
Selling tangible goods alongside your service is typically taxable even in states that exempt the service itself. How you write the invoice matters: separately invoiced supplies are the ones to look at first, while supplies bundled into the service price in a state that exempts cleaning services may leave the whole invoice exempt. Settle your invoicing pattern before the first bill goes out rather than reconstructing it later.
All of my clients are businesses. Doesn't that make the work exempt?
Not on its own. In most states, B2B cleaning services do not have a blanket exemption, so being commercial-only changes nothing by itself. Specific industries can qualify, including manufacturers and government agencies. When a client claims exemption, request an exemption certificate and keep it on file. The certificate is what backs up the untaxed invoice, not the client's assurance over the phone.
What happens if I've been cleaning in Texas without a sales tax permit?
The Texas Comptroller can assess taxes going back four years, add a 5% penalty that increases to 10% if it remains unpaid after 30 days, and charge interest on top of that. The permit itself is free to obtain. There is no cost-based argument for staying unregistered if you are doing business in Texas.
My company is incorporated in Delaware but every job site is in Texas. Which state's sales tax applies?
Texas. Sales tax nexus is determined by where the service is performed, not where the business is incorporated, so the state of formation does not follow your crews around. Physically performing work in Texas creates physical nexus there, and the Delaware paperwork does nothing to change that filing obligation.
How we built this guide
Opora editorial sources from BLS OEWS wage tables, ISSA-447 production rates, NCCI workers' compensation classifications, EPA List N, OSHA 29 CFR standards, and primary state regulatory filings. We don't recycle blog posts. We audit primary documents.
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