Question 1

How do I add sales tax to a price?

Accepted Answer

To add tax: Total = Price × (1 + Tax Rate / 100). For example, $100 with 8% tax: $100 × 1.08 = $108. The tax amount is $100 × 0.08 = $8.

Question 2

How do I find the price before tax from a total?

Accepted Answer

To remove tax: Original Price = Total / (1 + Tax Rate / 100). For example, if $108 includes 8% tax: $108 / 1.08 = $100 before tax.

Question 3

What's the difference between sales tax and VAT?

Accepted Answer

Sales tax is added at the point of sale (common in US). VAT is applied at each production stage but consumers pay the full rate at purchase (common in Europe). For final consumer calculations, the math is the same.

Question 4

Why are some prices shown with tax and others without?

Accepted Answer

In the US, prices typically exclude tax (added at checkout). In most other countries, displayed prices include tax (VAT/GST). This calculator helps you work with both scenarios.

Question 5

How do I calculate tax on multiple items?

Accepted Answer

Add up all item prices first, then apply the tax rate to the subtotal. For example, items totaling $150 with 7% tax: $150 × 1.07 = $160.50 total, with $10.50 being tax.

Sales Tax Calculator

Sales Tax Calculator