The service of pet grooming is subject to Iowa sales tax.
Pet is any animal which has been tamed or gentled, kept by its owner for pleasure or affection, and not for utility or profit.
Livestock are not pets and the grooming of livestock (e.g., to prepare livestock for exhibition at fairs or shows) is not taxable.
Grooming is as any act performed to maintain or improve the appearance of a pet and includes:
- Hair cutting
- Nail clipping
Veterinarians performing "cosmetic" grooming of pets must collect sales tax on that service. Pet grooming as an integral part of veterinary care is exempt from tax.
When grooming is done for both veterinary and cosmetic reasons, the primary purpose for the grooming determines if sales tax should be collected. When charges for cosmetic treatment and veterinary treatment are invoiced separately, sales tax is collected only on the cosmetic portion.
Boarding or training of animals is not subject to sales tax. The food and other supplies used when furnishing boarding or training services are taxable at the time of purchase.
Purchases of supplies
For more information on when the purchase of supplies for use in the business may or may not be taxable, please see Iowa Administrative Rule 701-225.4.
Please email the Department.