Sales Tax Calculator
Add a tax rate to a price or extract tax from an inclusive total.
Your result
FINANCIALEnter your values and select calculate.
On this page How it works & practical examples
How to use the Sales Tax Calculator
Choose whether your entered amount excludes or already includes tax. Adding mode multiplies a pre-tax amount by one plus the rate. Extracting mode divides an inclusive amount by the same factor; subtracting the rate directly would not reverse the original calculation. This makes the tool suitable for simple invoice comparisons using a rate you already know.
The calculation
Worked example
Adding 8% to $100 gives $108. To remove the same tax from $108, divide by 1.08, recovering a $100 base and $8 tax.
Assumptions and limits
The calculator does not determine a legal tax rate from a location or identify which items are taxable. It applies one uniform percentage to the entire amount. Exemptions, compound taxes, line-item rounding, tax-on-shipping and filing obligations are outside this calculation. Check the applicable rules or invoice for an actual transaction.
Common questions
Can I remove tax by subtracting 8% of the total?
No. Eight percent of the tax-inclusive total is larger than the original tax. Divide by 1.08 when extracting an 8% inclusive tax.
Does this support VAT?
The inclusive/exclusive arithmetic is the same for a single VAT rate, but the tool does not determine VAT eligibility or reporting rules.