Reverse Sales Tax Calculator 2026 | Extract Pre-Tax Price

  • Adam
  • January 21, 2026

Extract the original pre-tax price from any receipt! Free reverse sales tax calculator with instant results. Works for all US state tax rates. Try it now.

🔄 Reverse Sales Tax Calculator

Extract the Original Price & Tax from a Total Price

Works for Any Tax Rate | Instant Results | By: OmniCalculator.Space

📊 Understanding Reverse Sales Tax

The reverse sales tax calculator helps you extract the original pre-tax price and the exact tax amount from any receipt total in 2026. When retailers display prices tax-inclusive or when you only have the final receipt total, you need to work backwards to separate the components. This is essential for expense reports, accurate bookkeeping, comparing prices across tax jurisdictions, and verifying that tax was calculated correctly. Whether you're a business owner tracking deductible expenses, an accountant reconciling receipts, or a shopper curious about the true cost before tax, this calculator instantly shows the breakdown for any US state or custom tax rate.

📝 How to Use the Reverse Sales Tax Calculator

  1. Enter Total Price: Input the final amount from your receipt—this is the price that already includes sales tax.
  2. Enter Tax Rate: Type your sales tax rate percentage, or use the quick-select buttons for common US rates (5%, 6%, 7.5%, 8.25%, etc.).
  3. Click Calculate: Instantly see the original pre-tax price and the exact sales tax amount that was added.
  4. Review the Breakdown: View the visual bar chart showing what percentage of your total went to the product versus tax.
💡 Tip: Don't multiply the total by the tax rate—that's a common mistake! Since tax was calculated on the original price, you must divide to work backwards correctly.
🧮 Calculate Reverse Sales Tax
The amount on your receipt (including tax)
Quick rates:
Original Price (Pre-Tax)
$0.00
Sales Tax Amount
$0.00

Price Breakdown

$100.00
$7.50
Pre-Tax Price (93%)
Sales Tax (7%)
Total Price
$107.50
Tax Rate
7.5%

📐 Reverse Sales Tax Formula & Calculation Method

Original Price (Pre-Tax)

Original Price = Total Price ÷ (1 + Tax Rate)

This is the core reverse calculation. The tax rate must be expressed as a decimal (e.g., 8% = 0.08). Dividing by (1 + rate) effectively removes the tax that was added.

Sales Tax Amount

Tax Amount = Total Price − Original Price

Once you know the original price, subtract it from the total to find exactly how much sales tax was included in your receipt.

Direct Tax Amount Formula (Alternative)

Tax Amount = Total Price × [Tax Rate ÷ (1 + Tax Rate)]

This single formula calculates the tax amount directly without first finding the original price. Useful for quick calculations when you only need the tax portion.

📊 Reverse Sales Tax Examples

Example 1: Restaurant Receipt

Scenario: Sarah has a restaurant receipt showing $54.00 total in Texas (8.25% combined sales tax).

Inputs: Total: $54.00 | Tax Rate: 8.25%

Calculation:

  • Original = $54.00 ÷ (1 + 0.0825)
  • Original = $54.00 ÷ 1.0825 = $49.88
  • Tax = $54.00 − $49.88 = $4.12

Result: Pre-tax cost was $49.88, with $4.12 in sales tax

Example 2: Electronics Purchase

Scenario: Mike bought a laptop for $1,086.80 total in California (8.68% average combined rate).

Inputs: Total: $1,086.80 | Tax Rate: 8.68%

Calculation:

  • Original = $1,086.80 ÷ (1 + 0.0868)
  • Original = $1,086.80 ÷ 1.0868 = $1,000.00
  • Tax = $1,086.80 − $1,000.00 = $86.80

Result: Laptop base price was $1,000.00, with $86.80 in California sales tax

Example 3: Small Purchase Verification

Scenario: Lisa wants to verify her coffee shop receipt of $5.35 in Florida (7% sales tax).

Inputs: Total: $5.35 | Tax Rate: 7%

Calculation:

  • Original = $5.35 ÷ (1 + 0.07)
  • Original = $5.35 ÷ 1.07 = $5.00
  • Tax = $5.35 − $5.00 = $0.35

Result: Coffee was $5.00 before tax, plus $0.35 (7%) sales tax = $5.35 ✓

📊 US State Sales Tax Rates Reference 2026

StateState RateAvg. Combined
California7.25%8.68%
Texas6.25%8.20%
New York4.00%8.52%
Florida6.00%7.02%
Illinois6.25%8.83%
Washington6.50%9.38%
Oregon0%0%
Montana0%0%

Source: Tax Foundation - State and Local Sales Tax Rates 2026

💡 Important Tips for Reverse Sales Tax

  • Don't Multiply: Never multiply the total by the tax rate—that's the #1 mistake! You must divide by (1 + rate) because tax was calculated on the original price, not the total.
  • Combined Rates: Many areas have state + local taxes. Make sure you use the combined rate (e.g., California is 7.25% state + local = ~8.68% average).
  • Expense Reports: Businesses often need the pre-tax amount for proper expense categorization. Keep your receipts and use this calculator for accurate records.
  • Receipt Verification: If a receipt seems off, use this calculator to verify the tax was computed correctly on the stated pre-tax price.
  • Tax-Free States: Oregon, Montana, Delaware, New Hampshire, and Alaska have no state sales tax (though Alaska allows local taxes).
  • VAT vs Sales Tax: The reverse formula works the same for VAT-inclusive prices. Just enter the VAT rate instead of sales tax rate.

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❓ Frequently Asked Questions

How do I calculate the original price from a total that includes tax?
Divide the total price by (1 + tax rate as a decimal). For example, if the total is $108 and tax rate is 8%, divide $108 by 1.08 to get $100 original price.
Why can't I just multiply the total by the tax rate?
Because the tax was calculated on the original price, not the total. If you multiply the total by the tax rate, you'd be calculating tax on a price that already includes tax—giving you an inflated, incorrect result.
Is this the same as VAT reverse calculation?
Yes, the formula is identical—you divide by (1 + rate) to extract the net amount. However, "VAT reverse charge" is a specific B2B accounting mechanism that's different from this calculation.
What if my receipt has multiple items with different tax rates?
You'll need to calculate each category separately. For example, food may be taxed at a lower rate or exempt, while other items are taxed at full rate. Process each subtotal separately.
How accurate is this reverse sales tax calculator?
Completely accurate to the penny, as it uses the exact mathematical formula. The only source of error would be entering the wrong tax rate for your jurisdiction.
Which US states have no sales tax?
Oregon, Montana, Delaware, New Hampshire, and Alaska have no state sales tax. However, Alaska allows local jurisdictions to impose their own sales taxes.
When would I need to extract sales tax from a total?
Common uses include expense reports (separating tax for reimbursement), bookkeeping (recording pre-tax amounts), price comparisons across states, and verifying that retailers calculated tax correctly.
Do I use state rate or combined (state + local) rate?
Always use the combined rate that matches your receipt. Most receipts show the total tax rate applied. The combined rate includes state, county, and city taxes.

📚 Official Resources

Created by Omnicalculator.space — Your trusted source for sales tax and pricing calculators.

Last Updated: January 2026 | Works for all US states and custom tax rates

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