Calculate sales tax — forward or reverse
Our Sales Tax Calculator works in both directions: given a pre-tax price and tax rate, it computes the tax amount and total price (forward mode). Given a total price including tax, it reverse-calculates the pre-tax amount and the embedded tax (reverse mode).
Sales tax is a consumption tax imposed by state and local governments on the sale of goods and services. Rates vary widely — from 0% in states like Delaware and Oregon to over 10% in some cities. Understanding how much tax you're paying helps with budgeting, expense reporting, and comparing prices across jurisdictions.
Sales tax is a retail-level tax collected only at the point of sale to the end consumer. VAT (Value-Added Tax) is collected at every stage of production and distribution. Sales tax is common in the United States, while VAT is used in most other countries.
Your combined sales tax rate includes state, county, and city taxes. Many state revenue department websites offer lookup tools by address or ZIP code. Third-party sites also provide rate tables, but always verify with official sources.
Most states exempt necessities like unprepared food (groceries), prescription drugs, and medical devices. Some states also exempt clothing, textbooks, or manufacturing equipment. Business purchases may be exempt with a resale certificate.
If the total including tax is T and the tax rate is r, the pre-tax price P = T / (1 + r). The tax amount is T − P. For example, a total of $107.25 at 7.25% gives a pre-tax amount of $107.25 / 1.0725 = $100.00.
Since the 2018 South Dakota v. Wayfair Supreme Court decision, states can require online retailers to collect sales tax even if they have no physical presence in the state. Most major online stores now collect tax based on the buyer's shipping address.