Sales Tax Calculator
Add sales tax to a price or strip it out of a receipt total. Choose which figure you know, enter the rate for your location and get the tax amount and the other figure instantly.
Result
- Price before tax
- $100.00
- Sales tax
- $8.25
- Total after tax
- $108.25
What this sales tax calculator does
Sales tax is a percentage added to the price of goods and many services at the point of sale. Because the rate varies by state, county and city, the amount on a receipt is rarely a round number. This calculator works in both directions: it adds tax to a shelf price, or works backwards from a total to find the pre-tax price and the tax paid, which is handy for expense reports and bookkeeping.
Sales tax formulas
Adding tax: tax = price × rate; total = price × (1 + rate)
Removing tax: price = total ÷ (1 + rate); tax = total − price
Example: a $100 item in a city with a combined 8.25% rate. Tax = 100 × 0.0825 = $8.25 and the total is $108.25. In reverse, a $108.25 total ÷ 1.0825 = $100 before tax.
How to use this calculator
- Select whether you know the price before tax or the total after tax.
- Enter that amount.
- Enter the combined sales tax rate for the location of the purchase.
- Read the tax amount and the missing figure.
Tips
- Combined rates include state plus local taxes. A state rate of 6% can become 8% to 10% in a city.
- Groceries, prescription drugs and clothing are exempt or taxed at lower rates in many states.
- Online purchases are generally taxed at the rate of the delivery address.
- For restaurant bills, add the tip after tax or before tax according to local custom; the tip calculator handles the split. For any other percentage problem try the percentage calculator.
Frequently asked questions
How do I calculate sales tax by hand?
Convert the rate to a decimal and multiply by the price: 8.25% of $100 is 100 × 0.0825 = $8.25, for a total of $108.25. To get the total in one step multiply by 1.0825.
How do I remove sales tax from a total?
Divide the total by 1 plus the rate as a decimal. A receipt total of $108.25 at 8.25% means the pre-tax price was 108.25 ÷ 1.0825 = $100 and the tax was $8.25. Subtracting 8.25% of the total would give the wrong answer.
What sales tax rate should I use?
In the United States the rate is the state rate plus any county, city and special district rates for the place of sale, ranging from 0% to over 10%. Five states (Alaska, Delaware, Montana, New Hampshire and Oregon) have no state sales tax, though some Alaska localities charge their own. Check your receipt or your state revenue department for the combined local rate.
Is sales tax the same as VAT?
No. Sales tax is charged once, to the final consumer, and is usually added at the register. Value-added tax, used in the EU, UK and many other countries, is collected at each stage of production and is normally included in the displayed price. The arithmetic for adding or removing it is the same, so this calculator works for VAT and GST too.