Calculate sales tax, VAT, or GST on any purchase. Add tax to a price, remove tax from a total, or compare rates across US states. Fast, accurate, and free.
| State | State Rate | Avg Local | Combined | Tax on $100 |
|---|
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Sales tax is the most common tax most people encounter — charged on nearly every purchase you make. Yet most Americans could not tell you their exact local tax rate, how it is calculated, or why it varies so wildly between states and even between cities. This guide explains how sales tax works in the US, how VAT works internationally, and gives you the knowledge to calculate tax accurately in any situation.
To reverse-calculate (find the pre-tax price from a total that includes tax): divide the total by (1 + rate/100). If you paid $108 at 8%: $108 ÷ 1.08 = $100 pre-tax price. Use our Percentage Calculator for more general percentage calculations.
Unlike most countries with a single national rate, the US has no federal sales tax. Each state sets its own rate, and then cities and counties can add local taxes on top. The result is over 11,000 different tax jurisdictions across the country.
| Category | States | Rate Range |
|---|---|---|
| No sales tax | OR, MT, NH, DE, AK* | 0% |
| Low tax | CO (2.9%), AL (4%), HI (4%) | 2.9-4% |
| Medium tax | TX (6.25%), FL (6%), OH (5.75%) | 5-6.5% |
| High tax | CA (7.25%), IN (7%), TN (7%) | 7-7.25% |
| Highest combined | LA (9.56%), TN (9.55%), AR (9.47%) | 9-10%+ |
*Alaska has no state sales tax but allows local jurisdictions to charge their own. Some Alaska boroughs charge up to 7.5%.
Scenario 1: Buying a Laptop Across State Lines. James lives in Portland, Oregon (0% sales tax). His friend in Seattle, Washington pays 10.25% (6.5% state + 3.75% local). A $1,200 laptop costs James $1,200 total. His friend pays $1,323 — that is $123 extra just in tax. For large purchases, the tax-free states save hundreds. But Washington has no income tax, while Oregon does — the money comes from somewhere.
Scenario 2: European Shopping with VAT Refund. Maria buys a $500 handbag in Paris. The listed price of €460 already includes 20% VAT. Pre-VAT price: €460 ÷ 1.20 = €383.33. The VAT is €76.67. As a non-EU tourist, Maria can claim a VAT refund at the airport — getting back roughly €60-65 (after processing fees). That effectively saves her 13-14% on the purchase. Use our Currency Converter to calculate the savings in your home currency.
Scenario 3: Business Expense Tracking. Priya runs a small business and needs to separate pre-tax costs from tax paid for accounting and tax deductions. Her office supply receipt shows $324.75 total at 7.5% tax. Pre-tax: $324.75 ÷ 1.075 = $302.09. Tax paid: $22.66. She enters $302.09 as the business expense and tracks $22.66 separately for sales tax filings. Use our Profit Margin Calculator to factor tax into your cost analysis.
Scenario 4: Moving from Texas to California. David moves from Houston (8.25% combined sales tax) to Los Angeles (9.5% combined). On $30,000/year in taxable purchases, he pays $2,475 in Texas vs $2,850 in California — $375 more per year. But Texas has no state income tax, while California has the highest. The full picture requires comparing income tax, property tax, and sales tax together. Use our Salary Calculator to compare take-home pay across states.
💡 Key insight: On a $25,000 car in a 9% tax jurisdiction, sales tax alone is $2,250. On a $350,000 home (in states that tax real estate transactions), transfer taxes can reach $3,500-$7,000. For major purchases, always calculate the tax before committing — it can change whether something fits your budget.
| Country | Tax Type | Standard Rate | Included in Price? |
|---|---|---|---|
| United States | Sales Tax | 0-10.25% (varies) | No (added at checkout) |
| United Kingdom | VAT | 20% | Yes |
| Germany | VAT (MwSt) | 19% | Yes |
| France | VAT (TVA) | 20% | Yes |
| Canada | GST + PST | 5-15% (varies) | No (most provinces) |
| Australia | GST | 10% | Yes |
| Japan | Consumption Tax | 10% | Yes |
| India | GST | 5-28% (varies) | Yes |
The key difference: in the US, the price on the shelf is before tax — you find out the real price at checkout. In most other countries, the listed price includes tax. Neither system is better; they just affect how you budget differently. Use our Discount Calculator to combine discounts with tax calculations for the true final price.
| California | 7.25% |
| Indiana | 7.00% |
| Tennessee | 7.00% |
| Mississippi | 7.00% |
| New Jersey | 6.625% |
| Oregon / MT / NH / DE | 0% |