Sales Tax Calculator

Sales tax is a consumption tax levied by state and local governments on the purchase of goods and, increasingly, services. In the United States, there is no federal sales tax — each of the 50 states sets its own rules, and rates vary enormously across jurisdictions.

Five states have no statewide sales tax: Alaska, Delaware, Montana, New Hampshire, and Oregon. However, Alaska and Montana allow local jurisdictions to levy their own sales taxes, so some areas within those states may still have local tax. Delaware is the only state with no sales tax at any level.

Sales tax rates range from 0% to over 10% when combining state and local rates. California has the highest base state rate at 7.25%, and combined state + local rates can exceed 10% in some California cities. Tennessee, Louisiana, and Arkansas consistently rank highest for combined rates averaging 9.4–9.6%.

What's typically taxable: physical goods, prepared food, clothing (in most states), software downloads, and many services. What's typically exempt: groceries (in many states), prescription medications, most financial services, educational materials, and agricultural supplies. The rules vary significantly by state and are frequently updated.

Internet sales: Since the 2018 Supreme Court ruling in South Dakota v. Wayfair, online retailers must collect sales tax in states where they have economic nexus — typically defined as $100,000 in sales or 200 transactions per year. This ended the era when buying online could avoid sales tax.

Sales tax is always calculated on the post-discount price, not the original price — so a discount reduces both your item cost and your tax bill proportionally.