Sales Tax Calculator

This tool can give out the before tax price, sale tax rate, and the final price value based on any two of the input.

Please provide any 2 values to the following to get the 3rd value.


Before Tax Price $
Tax Rate %
Final Price $

RelatedIncome Tax Calculator | Tip Calculator

Reference

A sales tax is the money paid to a government for the sales of certain goods and services. Usually the laws let the seller to collect the tax from the consumer when purchasing. Most countries in the world collect sales tax. In some countries, the sales tax is called value added tax (VAT). In some countries, the listed prices for the goods and services are before tax value. When purchasing, the sales tax will be added to the listed price. In other countries, the listed prices are after tax final value, which includes the sales tax. The sales tax rate for EU countries ranges from 15% (Luxembourg) to 27% (Hungary). The sales tax rate in the United State ranges from 0% to 15.5% depending on the states and the type of goods and services. The following is a list of the sales tax rates for different states in U.S.

In the United State, the sales tax might be deductible when filing tax return (Form 1040, and itemize deductions on Schedule A). You have the option of claiming either state and local income taxes or state and local sales taxes (but not both). If you saved your receipts throughout the year, you can add up the total amount of sales taxes you actually paid and claim that amount. If you didn't save all your receipts, you can still choose to claim state and local sales taxes. You could fill out the worksheet and use the optional general sales tax tables in the Instructions for Schedule A (Form 1040). Or you can use the Sales Tax Deduction Calculator provided by IRS.

StateGeneral State Sales TaxMax Tax Rate with Local/City Sale Tax
Alabama4%13.5%
Alaska0%7%
Arizona5.6%10.725%
Arkansas6.5%11.625%
California7.5%10%
Colorado2.9%10%
Connecticut6.35%6.35%
Delaware0%0%
District of Columbia5.75%5.75%
Florida6%7.5%
Georgia4%8%
Guam4%4%
Hawaii4.166%4.712%
Idaho6%8.5%
Illinois6.25%10.25%
Indiana7%7%
Iowa6%7%
Kansas6.15%10.15%
Kentucky6%6%
Louisiana5%12%
Maine5.5%5.5%
Maryland6%6%
Massachusetts6.25%6.25%
Michigan6%6%
Minnesota6.875%7.875%
Mississippi7%7.25%
Missouri4.225%10.85%
Montana0%0%
Nebraska5.5%7.5%
Nevada6.85%8.15%
New Hampshire0%0%
New Jersey7%7%
New Mexico5.125%8.688%
New York4%8.875%
North Carolina4.75%7.50%
North Dakota5%8%
Ohio5.75%8%
Oklahoma4.5%11%
Oregon0%0%
Pennsylvania6%8%
Puerto Rico10.5%11.5%
Rhode Island7%7%
South Carolina6%9%
South Dakota4%6%
Tennessee7%9.75%
Texas6.25%8.25%
Utah5.95%8.35%
Vermont6%7%
Virginia5.3%6%
Washington6.5%9.6%
West Virginia6%7%
Wisconsin5%6.75%
Wyoming4%6%

Sales tax has something of a controversial history in the U.S. After all, when the United States was still a British Colony in the 18th century, the English King's imposition of a sales tax on tea led directly to the American Revolution!

Americans have been uneasy with sales tax ever since then, and this is perhaps why there has never been a federal sales tax. The first sales tax in the modern sense was imposed in the state of Pennsylvania in 1821 – it raised a lot of hackles. Then, in 1930, the state of Kentucky imposed a very unpopular tax specifically on retailers.

But we have pretty much accepted it all fifty states, as a necessary means to raise revenue for the government. It has, in the modern era, caused far less controversy than income-tax measures. State sales taxes alone raised $794.6 billion in 2013, while the IRS takes in just about $900 billion in income tax.

Across the U.S., on average, sales tax now takes away about 2 percent of personal income. Sales tax provides nearly one-third of state government finance and ranks second to the income tax in importance as a source of state finance. Reliance on the sales tax varies widely by state. Sales taxes are much more important in the south and west than in New England and the industrial Midwest. Florida, Washington, Tennessee, and Texas all generate more than 50 percent of their tax revenue from the sales tax, and several of these states raise nearly 60 percent from the sales tax. New York, on the other hand, only raises about one-fifth of its revenues from the sales tax.

The issue of collecting sales tax for online sales is very complicated. In 2008, New York state began forcing online retailers to collect state sales tax. Several major retailers sued, but lost the case at the Supreme Court level. So a number of states have followed suit. Congress has since been considering various ideas for national rules on collecting sales tax online, but the lawmakers are still working on it.

The sales tax calculator above helps figure out any one from the other two numbers out of before tax price, tax rate, and final price.