What is the final price of an item given: Item Price = $ 240 Dollars ($) and Tax Rate = 7.5 Final Price =?
Using this calculator you can find the 'Final Price including Tax ($)' by entering the 'Sale Tax' ($) and the 'Before Tax Price ($)'. So, we think you reached us looking for answers like:
What is Final Price including Tax of an item, given: Before Tax Price = $240 and Sale Tax = 7.5 percent (%)?
What is the Tax of an item, given: Sale Tax = 7.5 percent (%) and Before Tax Price = $240?
See the solutions to these problems below.
State Sales Tax (for references only)
|
|
How to work out sales taxes - Step by Step
Here are the solutions to the questions stated above:
1) You purchase a item for 240 dollars and pay 7.5 % (percent) in tax. How much is tax and the final retail price including tax?
- Firstly, if the tax is expressed in percent, divide the tax rate by 100. You can do this by simply moving the decimal point two spaces to the left. In this example, we do 7.5/100 = 0.075
-
Now, find the tax value by multiplying tax rate by the item value:
tax = 240 × 0.075
tax = 18 -
Finally, add tax to the before tax price to get the final price including tax:
The final price including tax = 240 + 18 = 258
Sales tax Formula (Final Price)
or, if the tax is alread expressed in decimal,
2) You buy a item for 258 dollars after tax was added. You know that the applicable tax rate is 7.5%. How much is the before tax price?
- Divide the percentage added to the original by 100. Here, a sales tax of 7.5 percent was added to the bill to make it 258. So, divide 7.5 by 100 to get 0.075.
- Add one to the percentage, expressed as a decimal. In this example, add one to 0.075 to get 1.075.
- Divide the final amount by the result of the previous step to find the original amount before the percentage was added. In this example, divide 258 by 1.075 to find the amount before the sales tax was added, which equals 240.
Sales tax Formula (Before Tax Price)
or, if the tax is alread expressed in decimal,
To find more examples, just choose one at the bottom of this page
More about sale taxes
Tax rates vary widely by jurisdiction and range from less than 1% to over 10%. Tax is collected by the seller at the time of sale. A sales tax is imposed at the retail level. In cases where items are sold at retail more than once, such as used cars, the sales tax can be charged on the same item indefinitely. To determine the (total) tax rate you should identify the total amount of tax you must charge. If, for example, a state has a two percent tax rate, a given county two percent and a city one percent, the total tax rate applicable is five percent: 2 + 2 + 1 = 5.
Sales Tax Calculator
Please link to this page! Just right click on the above image, choose copy link address, then past it in your HTML.