Add sales tax to a price. Enter the amount and your tax rate to see the tax and the total.
Usage Tip
For a quick estimate, round the rate: at about 8%, every $25 adds roughly $2 in tax. To go from a tax-included total back to the pre-tax price, divide by 1 plus the rate (divide by 1.08 for 8%).
Total = price + tax
Some items such as groceries and prescriptions are taxed differently or exempt in many states.
Combined rates differ by city and even by street; online sellers charge tax based on the shipping address.
Certain goods are exempt or taxed at a reduced rate depending on the state.
How to Calculate Sales Tax
Sales tax is added on top of an item’s pre-tax price. To find it, multiply the subtotal by the tax rate, then add it back on:
total = subtotal + tax amount
Example: $48.75 at a 6% sales tax rate → tax = 48.75 × 0.06 = $2.93, so the total is 48.75 + 2.93 = $51.68.
| Step | Value |
|---|---|
| Subtotal (before tax) | $48.75 |
| Tax rate | 6% |
| Sales tax amount | $2.93 |
| Total (with tax) | $51.68 |
How to Reverse Sales Tax
If you only know the tax-included total and want the pre-tax price, divide by one plus the rate – do not just subtract the percentage, which gives the wrong answer.
tax amount = total − subtotal
Example: $120.00 tax-included at 8.25% → subtotal = 120 ÷ 1.0825 = $110.85, and the tax portion is 120 − 110.85 = $9.15. Switch the calculator above to Remove tax to do this automatically.
Sales Tax vs Subtotal vs Total
These three terms trip people up constantly:
- Subtotal: the price before tax – what the item itself costs.
- Sales tax: a percentage added by your state or local government.
- Total: subtotal plus sales tax – the amount you actually pay.
Sales tax rates in the U.S. combine state, county, and city rates, so two stores a few miles apart can charge different totals on the same item.
Do You Apply a Discount Before or After Tax?
Almost always before tax. A discount or store coupon lowers the selling price first, and sales tax is then charged on the reduced amount – so a discount saves you both the markdown and the tax on it.
Frequently Asked Questions
How do I calculate sales tax on a price?
Multiply the price by the tax rate as a decimal. For 7%, multiply by 0.07; add the result to the price for the total.
How do I find the price before tax from a total?
Divide the tax-included total by (1 + rate). At 8%, divide by 1.08. Subtracting 8% instead gives a slightly wrong, too-low answer.
Is a discount applied before or after sales tax?
Usually before tax, so you are taxed on the lower price. Some manufacturer coupons are an exception – check your receipt.
Why is the sales tax different between stores?
U.S. sales tax stacks state, county, and city rates, so the combined rate changes by location even within the same state.
Is shipping taxed?
It depends on the state – some tax shipping charges, others do not. This calculator taxes the item subtotal only.
Do all states charge sales tax?
No. A few states have no statewide sales tax, though local taxes may still apply. Always confirm your local combined rate.
Related Calculators
Note: sales tax rates vary by state, county, and city, and change over time. This calculator is a general estimate and not tax advice. Confirm the current combined rate for your location, and check your receipt for how discounts, coupons, and shipping are taxed.