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Financial Calculators

Sales Tax Calculator

Calculate sales tax instantly. Purchase amount, tax rate, tax total, and final price.

Free · Runs in your browser · No signup

Enter amount and tax rate.

Examples to try

Formula

Tax = amount × rate/100 · Total = amount + tax

Common mistakes

  • Using state rate when local city tax also applies.
  • Applying tax before a discount when the store does the reverse.
  • Forgetting some goods are exempt.

Scope: Simple add-tax math. Not legal tax advice. Related: discount.

How to Use

Enter your values in the fields above and click Calculate to get instant results. Calculations run in your browser. Results are estimates for personal planning only.

Related Calculators

Sales Tax Calculation

Sales tax is a flat percentage applied to the pre-tax purchase amount. CalcSolver adds the tax to give the total out-the-door price.

Tax amount = purchase price × (rate / 100)
Total cost = purchase price + tax

Unlike income tax, sales tax is regressive — the effective rate is the same regardless of the buyer's income.

US State Sales Tax Rates at a Glance

0% (no sales tax): Oregon, Montana, Delaware, New Hampshire, Alaska*
4–5%: Hawaii* 4%, Wyoming 4%, Wisconsin 5%, Maine 5.5%
6–7%: Illinois 6.25%, Texas 6.25%, Washington 6.5%, New York 8%
8%+ combined: Louisiana ~10%, Tennessee ~9.5%, California 8.75%

*Local jurisdictions add on top. Groceries, clothing, and medicine are exempt in many states.

How Sales Tax Works

Sales tax is a consumption tax imposed by state and local governments on the sale of goods and services. It is collected by the seller at the point of purchase and remitted to the taxing authority. The formula is straightforward: Tax Amount = Price × (Tax Rate / 100), and Total Price = Price + Tax Amount. For example, a $75 item at 8.25% tax: $75 × 0.0825 = $6.19 tax, total = $81.19.

To work backward from a total that includes tax: Pre-Tax Price = Total / (1 + Tax Rate / 100). If you paid $81.19 total at 8.25% tax: $81.19 / 1.0825 = $75.00. This reverse calculation is useful when receipts show only the total charged.

Sales Tax Rates by US State (2026)

Sales tax rates vary dramatically across the United States. Five states have no state sales tax at all: Alaska, Delaware, Montana, New Hampshire, and Oregon. Among states with sales tax, rates range from about 4% (Hawaii, Wyoming) to over 7% (California at 7.25%, Indiana, Mississippi, Rhode Island, and Tennessee at 7%).

However, many states allow local jurisdictions (cities, counties, transit districts) to add their own taxes on top of the state rate. This means the effective rate you pay can be significantly higher:

Compound Tax Scenarios

Some transactions involve multiple tax layers. When both state and local taxes apply, they are typically added together (not compounded). A $200 purchase in an area with 6% state + 3% local tax: $200 × (6% + 3%) = $200 × 9% = $18 tax, total = $218. However, some jurisdictions apply taxes sequentially — the local tax may apply to the price plus state tax, creating a true compound effect. In rare cases, excise taxes (like on alcohol or tobacco) are added before sales tax, meaning you pay tax on the tax.

Tax-Exempt Items

Most states exempt certain categories from sales tax to reduce the burden on essential purchases:

Online Purchase Tax

Since the 2018 Supreme Court ruling in South Dakota v. Wayfair, online retailers are required to collect sales tax in states where they have economic nexus (typically $100,000 in sales or 200 transactions per year). This means most online purchases now include sales tax at the buyer's destination rate, regardless of where the seller is located. Marketplace facilitator laws (active in nearly all states) make platforms like Amazon and eBay responsible for collecting tax on behalf of third-party sellers.

International VAT Comparison

Outside the US, many countries use a Value Added Tax (VAT) instead of sales tax. VAT is collected at each stage of production and distribution, while US sales tax is only collected at the final sale. VAT rates are typically higher: the UK charges 20%, Germany 19%, France 20%, and Japan 10%. The EU standard rate ranges from 17% (Luxembourg) to 27% (Hungary). Unlike US sales tax, VAT is usually included in the displayed price, so the price on the tag is what you pay.

Tips for Managing Sales Tax

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Frequently Asked Questions

How do I calculate sales tax?

Multiply the price by the tax rate and divide by 100. For a $50 item with 8% tax: $50 × 0.08 = $4 tax → total = $54.

How do I find the pre-tax price?

If you know the total and tax rate: Pre-tax price = Total ÷ (1 + Tax Rate/100). Example: $54 total with 8% tax → $54 ÷ 1.08 = $50.

Do all states have sales tax?

No. As of 2026, five states have no state sales tax: Alaska, Delaware, Montana, New Hampshire, and Oregon. Rates in other states range from about 4% to over 10% with local taxes.

Is sales tax applied before or after a discount?

Sales tax is calculated on the price after the discount is applied. If you have a $100 item with a 20% discount and 8% tax: $100 − $20 = $80 discounted price, then $80 × 0.08 = $6.40 tax, total = $86.40. Use CalcSolver's discount calculator for the discount first.

Do I pay sales tax on online purchases?

Yes, in nearly all US states. Since the 2018 Wayfair Supreme Court decision, online retailers must collect sales tax based on the buyer's shipping address. Major marketplaces like Amazon collect it automatically.

What is the difference between sales tax and VAT?

Sales tax is collected only at the final point of sale to the consumer. VAT (Value Added Tax) is collected at each stage of production and distribution. VAT rates are typically higher (15-27%) but are usually included in the displayed price. Most countries outside the US use VAT instead of sales tax.