How to Find Out How Much Sales Tax One Owes
When buying items at a store, you may notice that the total price you owe is a few dollars higher than the retail price of those items. Most likely, this is because of sales tax. Sales tax is a tax percentage that is added to the final retail price of the items you are purchasing at that store. To avoid confusion about sales tax, you can calculate how much sales tax you owe on items before going to the checkout line.
Instructions
-
-
1
Determine the sales tax for the area in which you are shopping. This information can be found by clicking the two links found in the References section.
-
2
Bring a calculator with you to the store. While this isn't necessary, a calculator will make finding out how much you owe much easier.
-
-
3
Add up the total retail price of the items you are purchasing. Sales tax is taken on the total retail price at that one particular store, not on each item. In other words, if you are buying one item that is $20 and one that is $15, the total amount that would be taxed would be $35.
-
4
Multiply the sales tax percentage and the total retail amount. For this example, we'll say the sales tax is 6 percent. Because it is a percentage, remember that you will move the decimal point two places to the left. The equation for this example would be 35 (from step 3) multiplied by .06, or 35 x .06. The answer would be 2.1, or $2.10.
-
5
Add the sales tax to the retail price to find the final amount you owe. For this example, you would owe $35 plus $2.10, or $35 + $2.10. The total would be $37.10.
-
1
Tips & Warnings
Some items in certain states are exempt from sales tax. Consult the "Sales Tax Rates" link below to learn more.
Sales tax can vary between counties and even cities in certain states. To find specific sales tax for your area, click the "Sales Tax Reference" link. Then, click the name of the state you are in to find specific information for that particular state.
