💰 Tax Breakdown
How to Use This Calculator
Calculate US sales tax in 3 steps:
- Select Your State: Choose from all 50 states + DC
- Enter Subtotal: Your pre-tax purchase amount
- View Results: See tax amount and total with tax
US State Sales Tax Rates (Top 10 States)
These rates include state, county, and local taxes where applicable:
| State | Combined Rate | Base State Rate |
|---|---|---|
| California | 8.85% | 7.25% |
| Texas | 8.20% | 6.25% |
| Florida | 7.05% | 6.00% |
| New York | 8.53% | 4.00% |
| Pennsylvania | 6.35% | 6.00% |
| Illinois | 8.82% | 6.25% |
| Ohio | 7.24% | 5.75% |
| Georgia | 7.43% | 4.00% |
| North Carolina | 6.99% | 4.75% |
| Michigan | 6.00% | 6.00% |
Tax on $100 Purchase by State
See how sales tax varies across states on a $100 purchase:
Sales Tax Formula
Total = Subtotal + Sales Tax
Real-World Example
Scenario: Online purchase in New York
Input: Subtotal: $100.00, State: NY (8.53%)
Results:
- Sales Tax: $8.53
- Total: $108.53
Why Sales Tax Matters
Understanding sales tax is crucial for:
- Accurate pricing and budgeting
- Ecommerce compliance across states
- Understanding total purchase cost
- Business tax planning and remittance
Frequently Asked Questions
Do I need to collect sales tax as an ecommerce seller?
You need to collect sales tax if you have economic nexus in a state. Economic nexus is typically triggered when you exceed $100,000 in sales or 200 transactions in that state in a calendar year. Physical nexus (office, warehouse, employees) also requires collection. Always consult a tax professional for your specific situation.
What is nexus and how does it affect sales tax collection?
Nexus is the connection between a business and a state that obligates it to collect and remit sales tax. This can be physical nexus (having employees, offices, warehouses, or inventory in a state) or economic nexus (meeting certain sales thresholds). Post-Wayfair v. South Dakota (2018), economic nexus alone can create a tax obligation.
Are digital products taxed differently than physical goods?
Yes, in many states. Digital products (e-books, software, streaming services, digital downloads) are taxed differently across states. Some states tax them the same as physical goods, others tax them at lower rates, and a few don't tax them at all. Check your state's specific rules for digital products.
What are the top 10 states by sales tax rate?
The top 10 states by combined sales tax rate are: Tennessee (9.55%), Louisiana (9.55%), Arkansas (9.43%), Washington (9.29%), Oklahoma (8.97%), California (8.85%), Illinois (8.82%), Kansas (8.82%), New York (8.53%), and Arizona (8.40%).
Which states have no sales tax?
Five states have no statewide sales tax: Delaware, Montana, New Hampshire, Oregon, and Alaska. Alaska allows local taxes, so some areas may still charge sales tax. Even in no-tax states, businesses may need to collect tax on online marketplace purchases.