How to use the sales tax calculator
- Choose Add tax to find the total, or Remove tax if you have a total that already includes tax.
- Enter the price before tax, or the total including tax.
- Enter the sales tax rate: your combined state and local rate, such as 7.25%.
Switching between the two modes keeps the same purchase, so you can check a receipt both ways.
Sales tax formulas
Sales tax = price × rateTotal = price × (1 + rate)Price before tax = total ÷ (1 + rate)Write the rate as a decimal: 7.25% is 0.0725. To remove tax, divide by 1 plus the rate. Taking the rate off the total gives the wrong answer: a $53.60 total at 7.2% tax came from a $50.00 price, not $49.74.
Example: a $1,200 laptop at different rates
| Sales tax rate | Tax | Total |
|---|---|---|
| 0% (no sales tax) | $0.00 | $1,200.00 |
| 4% | $48.00 | $1,248.00 |
| 6% | $72.00 | $1,272.00 |
| 7.25% | $87.00 | $1,287.00 |
| 9.5% | $114.00 | $1,314.00 |
The same laptop costs $114 more at a 9.5% rate than where there’s no sales tax.
How sales tax works in the US
- There is no federal sales tax. States, counties and cities set their own rates, and you usually pay the combined rate for the place where you buy, or where an order is delivered.
- Five states have no statewide sales tax: Alaska, Delaware, Montana, New Hampshire and Oregon. Some towns in Alaska still charge a local sales tax.
- Combined rates range from 0% to more than 10% in some cities.
- Many states exempt or tax some items at a lower rate, such as groceries or prescription drugs, and some charge more on items such as prepared food or hotel stays.
- Online stores generally collect sales tax for the state they ship to.
- Buying a car? Our car loan calculator includes sales tax and fees in the loan.
Can you deduct sales tax?
If you itemize deductions on your federal return, you can deduct either your state and local income taxes or your state and local sales taxes, within the cap on state and local tax (SALT) deductions. Most people take the standard deduction instead. See IRS Topic 503 for the rules.
Frequently asked questions
How do I calculate sales tax?
Multiply the price by the tax rate written as a decimal. At 7.25%, a $100 purchase has $7.25 of tax, for a total of $107.25.
How do I find the price before tax?
Divide the total by 1 plus the tax rate. A $107.25 total at 7.25% came from a $100 price: $107.25 ÷ 1.0725 = $100.
What sales tax rate should I use?
Use the combined rate where you buy, or where the item is delivered: the state rate plus any county and city rates. Most state tax agencies publish a rate lookup by address.
Is sales tax charged before or after a discount?
Usually on the price you pay after a store discount, though some states treat manufacturer coupons differently. Our discount and sales tax calculator handles both together.
Do I pay sales tax on online purchases?
Usually, yes. Most states require online sellers to collect sales tax on orders shipped there, and some expect you to pay use tax if a seller doesn’t.
Related calculators and guides
Estimates only. Rates and exemptions vary by state and city; check your state tax agency for the exact rate.