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Reverse Sales Tax Calculator

Reverse tax, without the guesswork

Find the original price before sales tax

Enter the total you paid and the sales tax rate. We will calculate the pre-tax subtotal and show exactly how much tax was included.

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Calculate in seconds

Enter the total you paid and the tax rate

$
The final price you paid
%
State + local combined rate

The formula

How to remove sales tax from a total

Divide the tax-inclusive total by 1 plus the tax rate as a decimal. Subtracting the percentage directly from the total gives the wrong answer.

Original price = Total paid / (1 + Tax rate / 100)

Three simple steps

Calculate sales tax backwards

Use the combined state and local rate from your receipt whenever it is available.

1

Enter the total paid

Use the final amount after sales tax was added.

2

Add the tax rate

Use the combined rate shown on the receipt or for the purchase location.

3

Read the breakdown

See the original price, included tax, and total paid side by side.

Worked examples

Reverse sales tax examples

A $100 tax-inclusive total produces a different pre-tax price at each rate.

Total PaidTax RateOriginal PriceTax Amount
$100.006%$94.34$5.66
$100.007.5%$93.02$6.98
$100.008%$92.59$7.41
$100.008.25%$92.38$7.62
$100.008.875%$91.85$8.15
$100.0010.25%$90.70$9.30

Example: $108.25 paid at 8.25% tax becomes $100.00 before tax, with $8.25 included sales tax.

Choose your next step

More ways to calculate backwards

Location matters

Sales tax rates by state

State rates are only the starting point. Cities, counties, and special districts can change the combined rate applied to a purchase.

StateState RateAvg. CombinedCalculator
Alabama4%9.46%AL calculator ->
Alaska0%1.82%AK calculator ->
Arizona5.6%8.54%AZ calculator ->
Arkansas6.5%9.48%AR calculator ->
California7.25%9.03%CA calculator ->
Colorado2.9%7.89%CO calculator ->
Connecticut6.35%6.35%CT calculator ->
Delaware0%0%DE calculator ->

When it helps

Common reasons to find the pre-tax price

Receipts and refunds

Verify the subtotal, tax portion, or amount that should be refunded.

Expense reports

Separate a tax-inclusive receipt into the original cost and sales tax.

Bookkeeping

Split collected tax from revenue when working from a final total.

Why you divide instead of subtracting the tax rate

Sales tax is calculated from the original price, not from the final total. If a $100 item has 8% sales tax, the total is $108. Subtracting 8% from $108 gives $99.36, which is incorrect. Dividing $108 by 1.08 returns the correct $100 subtotal.

For the most accurate result, use the exact combined rate for where the purchase happened. Our state and city calculators provide a starting point, but official tax authorities should be used for filing or compliance.

Questions answered

Reverse Sales Tax - Common Questions

What is a reverse sales tax calculator?

A reverse sales tax calculator works backwards from a tax-included total to find the original pre-tax price. You enter the total amount you paid and the applicable tax rate, and the calculator gives you the original price plus the exact tax amount.

What is the reverse sales tax formula?

The formula is: Original Price = Total Amount / (1 + Tax Rate / 100). For example, if you paid $108.00 and the tax rate is 8%, then: $108.00 / 1.08 = $100.00 original price.

When would I need to remove tax from a total price?

Common situations include: expense reimbursements where you need to report pre-tax amounts, accounting records, checking whether a price includes tax, calculating the tax portion for a refund, or verifying a receipt total.

How is reverse sales tax different from regular sales tax?

Regular sales tax calculation adds tax to a pre-tax price (Price x Tax Rate = Tax Amount). Reverse sales tax works in the opposite direction: you start with the total and extract the tax.

Can I use this for VAT as well?

Yes. VAT and sales tax use the same mathematical relationship when the tax is included in the price. Our VAT calculator handles European-style value-added tax specifically.

Do all US states have sales tax?

No. Five states have no statewide sales tax: Alaska, Delaware, Montana, New Hampshire, and Oregon. However, some Alaska localities do charge local sales taxes.

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