Sales Tax Calculator

Add state or local sales tax to a net price, or extract the sales tax from a tax-inclusive total price.

Input Details

Amount

Sales Tax Rate

Calculation Mode

Results

Sales Tax Breakdown

Total (Tax Inclusive)

$105.00

Adding 5% tax to $100.00 yields a tax of $5.00 for a total of $105.00.

Pre-Tax Base Price$100.00

Sales Tax Amount$5.00

The Formula

Formula Overview:

Add Tax: Total = Net Price × (1 + Tax Rate ÷ 100)
Extract Tax: Base Price = Total ÷ (1 + Tax Rate ÷ 100)

Example Calculation

If you want to extract a 8% sales tax from a total price of $108:
Base Price: $108 / 1.08 = $100 | Tax Amount: $108 - $100 = $8

How to Use This Calculator

Enter the **Amount** to compute.
Input the regional **Sales Tax Rate** percentage.
Choose whether you want to **Add Tax** to the input amount, or **Extract Tax** from it.

When This Calculator is Useful

Use this calculator when **invoicing clients**, pricing inventory items to verify tax margins, or validating receipt totals for corporate expense filings.

Disclaimer Note

All results are estimates based on standard business formulas and rates. Actual project costs, ROI, and rates may vary based on market conditions, specific requirements, and contract agreements.

Frequently Asked Questions

Sales tax is a single-stage consumption tax charged at the point of purchase by state or local governments. Merchants collect the tax from customers at checkout and periodically remit those funds to government revenue departments.

To extract tax from a tax-inclusive total, divide the total amount by 1 plus the tax rate (as a decimal). For example, with a 5% tax rate, divide the total by 1.05. The result is the pre-tax price, and subtracting this from the total gives the tax portion.

Sales tax is assessed only once on the final retail sale to the consumer. Value-Added Tax (VAT) or Goods and Services Tax (GST) is a multi-stage tax collected at every step of the production and supply chain, where businesses receive credits for taxes paid on inputs.

Yes, in many jurisdictions, digital goods like software, downloads, eBooks, and SaaS subscriptions are subject to state sales taxes (commonly referred to as e-commerce or digital nexus laws). Laws vary depending on the buyer's location.