Enter values to see detailed analysis and insights.
How to Use
- 1Select whether you are ADDING tax to a price, or EXTRACTING tax from a total.
- 2Enter the dollar amount.
- 3Enter the local sales tax percentage rate.
- 4View exactly how much of the total transaction was tax.
Sales Tax Arithmetic
Gross = Net × (1 + Tax Rate) // Net = Gross ÷ (1 + Tax Rate)Variables:
GrossTotal out-the-door price including taxNetBase item price before taxTax RatePercentage tax expressed as a decimal (e.g., 8% = 0.08)Example
Inputs:
Steps:
- 1.Convert percent to decimal: 8.5% = 0.085
- 2.Apply extraction formula: Base = Gross / (1 + Rate)
- 3.Calculate: Base = 100 / 1.085
- 4.Base = $92.17. Tax is the difference.
