Sales Tax Calculator

How Sales Tax Works

Sales tax is a consumption tax levied by state and local governments on the sale of goods and services. Rates vary significantly by location — from 0% in states like Oregon, Montana, and New Hampshire to over 10% in some combined state and local jurisdictions. When you know the pre-tax price, calculating the final price is straightforward: multiply by (1 + rate). The "remove tax" mode is useful when you have a receipt and want to know the pre-tax breakdown. If you're shopping for discounts, our Discount Calculator can help you calculate how much you save before tax is applied.

For shoppers trying to compare sale prices, our Percent Off Calculator lets you quickly find the sale price from a percentage discount, which you can then use here to calculate the final after-tax amount. Understanding the combined effect of discounts and taxes helps you make smarter purchasing decisions and avoid surprises at checkout.

Businesses collecting sales tax must track rates carefully across different jurisdictions, especially for e-commerce sales. While this calculator handles a single flat rate, real-world sales tax compliance often involves district taxes, exemptions, and product-specific rules. Always consult your state's department of revenue or a tax professional for compliance guidance.