Sales Tax Calculator

Sales tax is collected only at the final point of sale to the consumer. VAT is collected at every stage of the supply chain — each business charges VAT on its sales and reclaims VAT on its purchases, remitting only the net difference. From the consumer's perspective both add to the price paid, but VAT is more complex from a business compliance standpoint. Most countries outside the US use VAT rather than sales tax.

Five states have no statewide sales tax: Oregon, Montana, Delaware, New Hampshire, and Alaska. However, Alaska allows local jurisdictions to impose their own sales tax, so some Alaskan cities and boroughs do charge tax at the local level. If you are comparing prices across states, buying in a no-sales-tax state can produce significant savings on large purchases.

Yes, in most cases. Since the 2018 Supreme Court ruling in South Dakota v. Wayfair, states can require online retailers to collect sales tax even if they have no physical presence (nexus) in that state, once economic thresholds are met. Most large e-commerce retailers now collect sales tax in all states that have it. The rules around what exactly is taxable and at what rate remain complex and vary by state.

US sales tax is set at the state, county, and city level — three layers can all add to the rate. State rates range from 0% to 7.25%. Counties often add 0.5–2%. Cities can add another 0.5–3% or more. The combined rate in some urban areas (such as parts of Chicago or New York City) can exceed 10%. This is why the exact rate at a specific address matters for accurate tax calculations.

The state rate is the base tax set by state law. The combined rate adds county and municipal taxes on top of the state rate. This calculator uses state base rates. For the exact combined rate at a specific address, use your state's tax rate lookup tool or a tax automation service. The difference can be 2–5 percentage points in many metropolitan areas.

Use tax is the complement to sales tax. When you purchase taxable goods without paying sales tax (e.g. from an out-of-state seller who does not collect your state's sales tax), you are legally required to remit use tax to your state at the same rate that sales tax would have applied. Use tax is largely self-reported by individuals and businesses, though enforcement has increased since the Wayfair ruling.