Sales Tax Calculator
Compute Sales Tax amounts with inclusive and exclusive breakdowns. Supports multiple rates and filing scenarios.
Reviewed by Sahil, Senior Finance & Tax Editor · Editorial policy
Sales Tax Calculator Formula
Tax = Price × (Rate / 100) | Total = Price + Tax
Multiply the pre-tax price by the decimal form of the tax rate to get the tax amount. Add that to the original price for the total.
Sales Tax Calculator — Worked Examples
Example 1: $50 item at 8.5% tax
Problem:Item price: $50.00, tax rate: 8.5%
Solution:Tax = $50.00 × (8.5 / 100) = $50.00 × 0.085 = $4.25
Result:Total = $50.00 + $4.25 = $54.25
Example 2: $200 item at 6% tax
Problem:Item price: $200.00, tax rate: 6%
Solution:Tax = $200.00 × (6 / 100) = $200.00 × 0.06 = $12.00
Result:Total = $200.00 + $12.00 = $212.00
Sales Tax Calculator — Frequently Asked Questions
What is sales tax?
Sales tax is a consumption tax imposed by a government on the sale of goods and services. The seller collects the tax at the point of sale and remits it to the relevant tax authority. In the US, sales tax is set at the state and local level, so rates vary by location.
How do I calculate sales tax?
Use the formula: Tax Amount = Price × (Tax Rate / 100). Then add it to the original price for the total: Total = Price + Tax Amount. For example, a $100 item at 8% tax = $100 × 0.08 = $8.00 tax, so the total is $108.00.
Which states have no sales tax?
Five US states have no statewide sales tax: Oregon, Montana, New Hampshire, Delaware, and Alaska. Alaska allows local municipalities to impose their own sales taxes, so some areas may still have local rates.
What is the difference between inclusive and exclusive tax?
Tax-exclusive pricing (common in the US) shows the price before tax — the tax is added on top at checkout. Tax-inclusive pricing (common in Europe with VAT) already includes the tax in the listed price. Sales Tax Calculator uses tax-exclusive pricing: you enter the pre-tax price and the tax rate is applied on top.