Sales tax calculator
Add tax to a price, or work backwards from a total to find the tax already inside it. Both directions, instantly.
Estimate only. Figures update as you type. Not tax advice — see the note at the bottom of this page.
Adding versus removing tax
Adding tax is simple multiplication. Removing it is where people slip: you cannot just subtract the percentage, because the tax was calculated on the smaller pre-tax figure, not the total. To back it out you divide the total by one plus the rate. This calculator handles both so you never have to remember which.
When you need to back tax out
Freelancers and small sellers hit this when a payment arrives tax-inclusive and they need to record the pre-tax revenue separately, or when reconciling what they actually earned against what a client paid. Getting it right keeps your books clean and your tax reporting accurate.
Rates vary widely
Sales tax is set at the state and often local level, so two towns a few miles apart can charge different rates. If you sell across locations, the rate that applies is usually the buyer's, not yours, which is one of the quiet complications of selling online.
Common questions
How do I calculate sales tax backwards from a total?
Divide the total by one plus the tax rate as a decimal. For 8% tax, divide by 1.08 to get the pre-tax amount; the remainder is the tax.
Why can't I just subtract the tax percentage?
Because the tax was calculated on the pre-tax price, which is smaller than the total. Subtracting the percentage from the total overstates the pre-tax figure.
What sales tax rate should I use?
The rate for the location where the sale is taxed, which for many transactions is the buyer's location. Rates are set by state and local jurisdictions.