Item Price = 20.99, Tax Rate = 7

Final Price Calculator

This script calculates the 'Sale Tax' (\$) of an item, then shows the 'Tax' (\$) and the 'Final Price including Tax (\$)'. Please change the default values if you desire.

Inputs

Before Tax Price (\$):

Tax Rate (%): (%)

Results

Final Price Including Tax (\$): (*)

Sale Tax(\$):

(*) All rates used here are for teaching purposes only.

Currency Converter Calculator App

Before Tax Price Calculator

This script calculates the 'Sale Tax' (\$) of an item, then shows the 'Tax' (\$) and the 'Before Tax Price' (excluding Tax). Please change the default values if you desire.

Inputs

Final Price Including Tax (\$):

Tax Rate: %

Results

Before Tax Price (\$): (*)

Tax (\$):

(*) All rates used here are for teaching purposes only.

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 = \$20.99 and Sale Tax = 7 percent (%)?

What is the Tax of an item, given: Sale Tax = 7 percent (%) and Before Tax Price = \$20.99?

See the solutions to these problems below.

State Sales Taxes

As of January 1, 2021(for references only)

US StatePercent (%)
Alabama4.00
Arizona5.60
Arkansas6.50
California7.25
Connecticut6.35
Delaware0.00
D.C.6.00
Florida6.00
Georgia4.00
Hawaii4.00
Idaho6.00
Illinois6.25
Indiana7.00
Iowa6.00
Kansas6.50
Kentucky6.00
Louisiana4.45
Maine5.50
Maryland6.00
Massachusetts6.25
Michigan6.00
Minnesota6.875
Mississippi7.00
Missouri4.225
US StatePercent (%)
Montana0.00
New Hampshire0.00
New Jersey6.625
New Mexico5.125
New York4.00
North Carolina4.75
North Dakota5.00
Ohio5.75
Oklahoma4.50
Oregon0.00
Pennsylvania6.00
Rhode Island7.00
South Carolina6.00
South Dakota4.50
Tennessee7.00
Texas6.25
Utah6.10
Vermont6.00
Virginia5.30
Washington6.50
West Virginia6.00
Wisconsin5.00
Wyoming4.00

How to work out sales taxes - Step by Step

Here are the solutions to the questions stated above:

1) You purchase a item for 20.99 dollars and pay 7 % (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 7/100 = 0.07
• Now, find the tax value by multiplying tax rate by the item value:

tax = 20.99 × 0.07

tax = 1.4693
• Finally, add tax to the before tax price to get the final price including tax:

The final price including tax = 20.99 + 1.4693 = 22.4593

Sales tax Formula (Final Price)

Final price including tax = before tax price × (1 + tax rate (%) / 100)

or, if the tax is alread expressed in decimal,

Final price including tax = before tax price × (1 + tax rate)

2) You buy a item for 22.4593 dollars after tax was added. You know that the applicable tax rate is 7%. How much is the before tax price?

• Divide the percentage added to the original by 100. Here, a sales tax of 7 percent was added to the bill to make it 22.4593. So, divide 7 by 100 to get 0.07.
• Add one to the percentage, expressed as a decimal. In this example, add one to 0.07 to get 1.07.
• 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 22.4593 by 1.07 to find the amount before the sales tax was added, which equals 20.99.

Sales tax Formula (Before Tax Price)

Before Tax Price (\$) = Final price / (1 + tax rate(%) / 100)

or, if the tax is alread expressed in decimal,

Before Tax Price (\$) = Final price / (1 + tax rate)

To find more examples, just choose one at the bottom of this page

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.