Sales tax and VAT calculator
Add tax to a price or take it out of a tax-inclusive price, at any rate.
Results
- Price before tax
- $100.00
- Tax
- $10.00
- Tax as a share of the total
- 9.09%Tax ÷ price including tax
Saving and PDF download use a free account. Everything else works without one.
How it works
To add tax, we multiply the price before tax by the rate and add the result on top. To remove tax from a price that already includes it, we divide by one plus the rate, which gives the price before tax, and the difference is the tax.
Formula
- Add tax: tax = price before tax × rate ÷ 100; price with tax = price before tax + tax
- Remove tax: price before tax = price with tax ÷ (1 + rate ÷ 100); tax = the difference
Frequently asked questions
Why can't I just subtract the rate to remove tax?
The tax was worked out on the lower, pre-tax price, so it is a smaller share of the final price than the rate suggests. With a 20% rate, 120 includes 20 of tax, which is one sixth of 120, not 20% of it. Dividing by 1.20 gives the correct pre-tax price of 100.
Does this work for VAT, GST and other consumption taxes?
Yes. Sales tax, VAT and GST are all charged as a percent of the price, so the maths is the same. Enter the combined rate that applies to your purchase, for example a national rate plus a local rate.
What do net and gross mean here?
Net is the price before tax and gross is the price including tax. Businesses often quote net prices to each other and gross prices to consumers, depending on local rules.
Why might my receipt differ by a cent or so?
Shops often round tax on each item or on each line, while this calculator works on the total and rounds only for display. Small differences from rounding are normal.
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Results are estimates only, not financial advice. Read the disclaimer.