Sales Tax Calculator

Add tax to a price, or work backward from a tax-included total to find the pre-tax price.

Last updated

—Pre-tax
—Tax amount
—Total

How to add or remove sales tax

  1. Choose Add tax to a price or Remove tax from a total.
  2. Type the price and the tax rate as a percentage.
  3. Read the tax amount and the total, or the price before tax.

The formulas

Adding tax: total = price × (1 + rate ÷ 100)

Removing tax: pre-tax price = total ÷ (1 + rate ÷ 100) — this is the reverse calculation, useful when a receipt only shows the final tax-included total.

Questions about sales tax

How do I add sales tax to a price?

Multiply the price by 1 plus the rate as a decimal. $40 with 8% tax is $40 × 1.08 = $43.20, of which $3.20 is tax.

How do I work out the price before tax from a receipt total?

Divide the total by 1 plus the rate as a decimal. $54 including 8% tax is $54 ÷ 1.08 = $50 before tax.

Why can’t I just subtract 8% from the total?

Because the tax was 8% of the pre-tax price, not of the total. 8% off $54 gives $49.68, not the correct $50.

Does it work for VAT and GST too?

Yes, the maths is the same for any percentage tax. The VAT / GST calculator also has preset rates for many countries.

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