Business & investing
Sales Tax Calculator
Use the first box to add tax to a price. Use the second when you have a receipt total and need the pre-tax amount.
Add sales tax
Your result will appear here.
Remove sales tax
Your result will appear here.
How it's calculated
Adding tax multiplies the price by one plus the rate. Removing it divides the total by the same amount. Taking 8.25% off the total gives the wrong answer, because the tax was worked out on the smaller pre-tax price.
Total = Price × (1 + Rate) Price = Total ÷ (1 + Rate)
How to do it in Excel
=B1*(1+B2)- Total including tax.
=B1/(1+B2)- Price before tax from a total in B1.