2026 tax year · Ohio
Marketplace seller taxes in Ohio
Etsy, eBay, Shopify and the rest report your gross and withhold nothing. The gap between that and what you are actually taxed on is your costs, in Ohio that gap is worth $6,371 in tax.
Take a driver who grossed $45,000 over 18,000 business miles. After mileage at 74.3 cents and the rest of the stack, worked through on the marketplace seller page $26,775 comes off and $18,225 is left as taxable profit. That profit is what Ohio and the IRS charge against.
What that leaves you owing in Ohio
Ohio taxes income at a flat 2.75% for 2026, applied on top of federal income tax and self-employment tax.
| Self-employment tax | $2,575 |
| Federal income tax | $67 |
| Ohio income tax | $0 |
| Total tax | $2,642 |
| Effective rate on gross | 5.9% |
Earning more in Ohio
A single filer taking the standard deduction, this work as the only income, the calculator above handles the other filing statuses. Miles rise with earnings, so the deduction rises too, and the effective rate on gross climbs more slowly than it would for someone whose income grew without expenses attached:
| Volume | Gross | Mileage off | Taxable profit | Ohio tax | Total tax | Rate on gross |
|---|---|---|---|---|---|---|
| Part-time | $15,000 | $0 | $15,000 | $0 | $2,119 | 14.1% |
| Steady side income | $45,000 | $0 | $45,000 | $434 | $9,013 | 20.0% |
| Full-time | $72,000 | $0 | $72,000 | $1,124 | $15,927 | 22.1% |
Switching state opens that state's page.
Enter your numbers and press Calculate to see your 2026 estimate.
Ohio specifics that change the number
On the 2026 rate itself: converted to flat tax in 2026. Income at or below $26,050 is exempt.
Ohio also has local income tax that the estimate above does not model, many municipalities levy local income tax (0% to 3%). RITA and CCA administer most.. Add it separately for where you live and work.
Selling into and out of Ohio
Income tax follows you: Ohio taxes your profit wherever the buyer was. Sales tax does not. Marketplace facilitator laws make the platform collect and remit sales tax on your behalf in most states, which is why a seller can have customers in all fifty and still file only one income tax return. Selling off-platform is where that stops being true.
On $18,225 of profit, what the states around Ohio would charge:
| State | Its tax | vs Ohio |
|---|---|---|
| West Virginia | $442 | +$442 |
| Indiana | $538 | +$538 |
| Pennsylvania | $560 | +$560 |
| Kentucky | $638 | +$638 |
| Michigan | $775 | +$775 |
- West Virginia would take $442 more, $442 against Ohio's $0.
- Indiana would take $538 more, $538 against Ohio's $0.
- Pennsylvania would take $560 more, $560 against Ohio's $0.
- Kentucky would take $638 more, $638 against Ohio's $0.
- Michigan would take $775 more, $775 against Ohio's $0.
Marketplace seller tax questions in Ohio
How much should an Ohio seller set aside?
About 5.9% of gross on the $45,000 example, $2,642 across self-employment tax, federal income tax and $0 to Ohio. Set aside from each payout rather than finding it in April.
Does the $45,000 on my 1099-NEC match what Ohio taxes?
No. Ohio taxes profit, not gross. After $26,775 of deductions the taxable figure is $18,225, so the Ohio bill is $0 rather than what gross alone would suggest.