Sales Tax Calculator
$0.00 total
How Sales Tax Is Calculated
Sales tax is a flat percentage applied to the price of a taxable good or service at the point of sale. To add tax to a price, multiply the price by the combined tax rate and add that amount to the original price: tax = price × rate, and total = price + tax. Most U.S. jurisdictions combine a state rate with an additional county or city rate, so this calculator adds your state and local rates together into one combined rate before applying it.
Working Backward From a Receipt Total
If you only know the final, tax-included total and want to find the original pre-tax price, you can't simply subtract the tax percentage from the total — that would overstate the tax. Instead, divide the total by (1 + tax rate): price = total ÷ (1 + rate). Switch "I Want To" to "Remove sales tax" above and this calculator will do that division for you, which is useful for expense reports or checking a receipt.
A Common Pitfall: Assuming One Rate Fits All
Sales tax rates vary not just by state but often by county, city, and even the specific category of item purchased (groceries, clothing, and prescription drugs are frequently taxed differently or exempt entirely). This calculator assumes a single combined rate applies uniformly to the full amount entered — for a precise real-world estimate, check your specific state and local rates before a large purchase. If you're budgeting for a major purchase like a vehicle, the auto loan calculator can help you see how sales tax affects your total financed amount, and the budget calculator can help you plan around the extra cost.
Frequently Asked Questions
How do I calculate sales tax on a price?
Multiply the pre-tax price by the combined sales tax rate (state rate plus any local or city rate) to get the tax amount, then add that to the original price to get the total. For example, a $100 item with a 7.25% combined rate has $7.25 in tax, for a total of $107.25.
How do I find the pre-tax price from a total that already includes tax?
Divide the tax-included total by 1 plus the tax rate (as a decimal). For example, if a receipt total is $107.25 and the combined rate is 7.25%, dividing $107.25 by 1.0725 gives a pre-tax price of $100. Use the "Remove sales tax" option above to do this automatically.