🛒 Sales Tax Calculator

To calculate sales tax, multiply the purchase price by the tax rate (as a decimal). For example, for a $100 item with 7.5% tax: $100 × 0.075 = $7.50 tax. Add this to the original price for the total: $100 + $7.50 = $107.50.

To find the pre-tax price, divide the total price by (1 + tax rate). For example, if the total is $107.50 with 7.5% tax: $107.50 ÷ 1.075 = $100.00 pre-tax price.

State sales tax is set by the state government and applies uniformly across the state. Local sales tax is additional tax imposed by cities, counties, or special districts. The total sales tax rate you pay is the combination of both state and local rates, which can vary significantly within a state.

As of 2024, states with the highest combined state and local sales tax rates include Louisiana (9.55%), Tennessee (9.55%), Arkansas (9.46%), Washington (9.29%), and Alabama (9.24%). However, rates can vary by city and county within each state.

Yes, in most cases. Since the 2018 Supreme Court decision in South Dakota v. Wayfair, online retailers are required to collect sales tax in states where they have economic nexus. If the seller doesn't collect sales tax, you may owe "use tax" to your state.

It depends on the state. Most states exempt groceries from sales tax, but some states (like Alabama, Mississippi, and South Dakota) do tax groceries, often at a reduced rate. Prepared foods and restaurant meals are typically taxed in all states.

Sales tax holidays are temporary periods when certain items are exempt from sales tax. Many states offer back-to-school tax holidays in August, where clothing, school supplies, and computers are tax-free. Some states also have tax holidays for emergency preparedness supplies or energy-efficient appliances.