🧮 Complete Guide to Sales Tax Calculation

Sales Tax Calculator

📚 What is a Sales Tax?

Sales tax is a consumption tax imposed by a government on the sale of goods and services. The tax is typically a percentage of the purchase price and is collected by the seller at the point of sale. Sales tax helps governments fund public services such as education, infrastructure, and healthcare.

🌍 Global Variations:

  • 🇺🇸 USA: State + local taxes (0-10%+)
  • 🇮🇳 India: GST (Goods and Services Tax)
  • 🇬🇧 UK: VAT (Value-Added Tax)

🧾 Calculation Formula

Basic Formula:

Sales Tax = (Price Before Tax × Tax Rate) ÷ 100
Final Price = Price Before Tax + Sales Tax

Example 1 (USA):
$200 item + 7% tax = $214 total

Example 2 (India):
₹5,000 item + 18% GST = ₹5,900 total

🌟 Key Features

  • 🔹 Real-time calculations
  • 🔹 Mobile-friendly design
  • 🔹 Multiple tax rates support
  • 🔹 Free & ad-free

👥 Who Should Use This?

  • 🛍️ Shoppers
  • 🧾 Business owners
  • 📚 Students & Teachers
  • 📈 Financial planners

❓ FAQs

➤ Inclusive vs Exclusive Tax?

Inclusive: Price includes tax (₹118 = ₹100 + 18% GST)
Exclusive: Tax added to base price (₹100 + 18% = ₹118)

➤ Works for GST/VAT?

Yes! Works with any percentage-based tax system.

➤ Country-specific accuracy?

Yes, if you know the tax rate. Future updates will add regional databases.