Sales Tax Calculator
Calculate sales tax amount, total price and reverse-calculate pre-tax price instantly.
Enter Details
Results
Related Calculators
Frequently Asked Questions
What is the average sales tax rate in the US?
The US has no federal sales tax. Combined state and local sales tax averages about 7.53% nationwide. States range from 0% (Oregon, Montana, New Hampshire, Delaware, Alaska) to over 10% (Louisiana at 10.13%, then Tennessee at 9.61%). Some cities add additional local taxes on top of the state rate.
How do I calculate sales tax?
Sales tax = Price × Tax Rate. Total = Price + (Price × Tax Rate) = Price × (1 + Tax Rate). To find pre-tax price from a total: Pre-Tax = Total ÷ (1 + Tax Rate). For example, $108.50 total at 8.5% tax: pre-tax = $108.50 ÷ 1.085 = $100.
Are all purchases subject to sales tax?
No. Most states exempt groceries, prescription medications and medical devices. Some states also exempt clothing below a certain price. Online purchases are now subject to sales tax in most states following the 2018 South Dakota v. Wayfair Supreme Court ruling.
Sales tax on $100 at common US rates, forward and in reverse
Sales tax is added on top of the listed price: tax = price x rate, and the amount you pay is price x (1 + rate). Going the other way, to find the pre-tax price from a receipt total, divide by (1 + rate), do not subtract the percentage. The table shows both directions for rates that match real US combined state and local rates.
| Combined rate | Tax on $100 | You pay | $100 receipt: pre-tax price | Tax inside it |
|---|---|---|---|---|
| 4% | $4.00 | $104.00 | $96.15 | $3.85 |
| 6% | $6.00 | $106.00 | $94.34 | $5.66 |
| 6.25% | $6.25 | $106.25 | $94.12 | $5.88 |
| 7% | $7.00 | $107.00 | $93.46 | $6.54 |
| 7.25% | $7.25 | $107.25 | $93.24 | $6.76 |
| 8% | $8.00 | $108.00 | $92.59 | $7.41 |
| 8.875% | $8.88 | $108.88 | $91.85 | $8.15 |
| 9.5% | $9.50 | $109.50 | $91.32 | $8.68 |
| 10.25% | $10.25 | $110.25 | $90.70 | $9.30 |
7.25% is California's state base rate, 6.25% is Texas, 8.875% is New York City, and 10.25% is the combined rate in parts of Los Angeles County and Chicago.
Worked example, forward
A $649 television in a city with an 8.875% combined rate: tax = 649 x 0.08875 = $57.60, total $706.60. On a $1,299 laptop at 6.25% the tax is $81.19 and the total $1,380.19.
Worked example, reverse
A receipt total of $86.50 in a 7% area. Pre-tax price = 86.50 / 1.07 = $80.84, tax = $5.66. The common error is 86.50 x 0.07 = $6.06, which overstates the tax because it applies the rate to a figure that already contains it. Businesses reconciling tax-inclusive totals, and anyone splitting a bill where only some items were taxable, need the division method.
Why the rate on the receipt differs from the state rate
Forty five states charge a state sales tax, and in 38 of them cities, counties or transit districts add their own. The combined rate is what applies at the register and it changes by address, not by city name. Five states (Alaska, Delaware, Montana, New Hampshire, Oregon) have no state sales tax, though some Alaska municipalities charge a local one. Groceries, prescription drugs and clothing under a threshold are exempt or reduced in many states, so two items in the same basket can carry different rates.
Online purchases
Since the 2018 Wayfair decision, large online sellers collect sales tax based on the delivery address in every state that has one. Marketplace sellers on Amazon, eBay and Etsy have the tax collected by the platform. If a seller does not collect it, the buyer technically owes the equivalent use tax on the state return; most states include a line for it.