Price After Tax Calculator
Enter the shelf price, the package size and your sales tax rate to see the total you pay and the price per unit after tax.
Enter a price and package size to see the price per unit
Worked example: paper towels with 8.25% sales tax
A 6-roll pack of paper towels is $12.99 on the shelf, and the sales tax where you shop is 8.25%. The tax is $12.99 × 0.0825 ≈ $1.07, so you pay $14.06 at the register.
Per roll that is $14.06 ÷ 6 ≈ $2.34, not the $2.17 the shelf tag suggests. A 12-roll pack at $23.99 comes to $25.97 with tax, or about $2.16 per roll — about 8% cheaper per roll than the 6-pack, with or without tax. The paper towel calculator compares packs by sheet as well as by roll.
How to calculate the price after tax
Price after tax = shelf price × (1 + tax rate). For a 7% rate, multiply by 1.07; for 8.25%, by 1.0825. The tax on its own is shelf price × tax rate.
| Shelf price | Tax rate | Tax | Price after tax |
|---|---|---|---|
| $4.20 | 6% | $0.25 | $4.45 |
| $4.20 | 8.25% | $0.35 | $4.55 |
| $12.99 | 8.25% | $1.07 | $14.06 |
| $23.99 | 13% | $3.12 | $27.11 |
Then divide by the package size to get the price per unit after tax: $4.55 for a 10 oz box is about $0.46 per ounce instead of $0.42.
Why the price per unit changes but the cheaper product doesn’t
Sales tax is a percentage, so it raises every price by the same share. When two products are taxed at the same rate, the one that is cheaper per ounce before tax is still cheaper after tax, by the same percentage. What changes is the amount: the price per unit you really pay, and how much money the cheaper option saves. That is why the calculator applies one rate to every product you compare.
Is sales tax charged on groceries?
In the US, sales tax is set by states, counties and cities, and shelf tags show the price before tax. Many states don’t tax most groceries or tax them at a lower rate, while items such as paper towels, detergent, soda and prepared food are usually taxed at the full rate. Alaska, Delaware, Montana, New Hampshire and Oregon have no statewide sales tax, although some Alaska towns add their own.
In Canada, basic groceries are zero-rated, but snacks, soft drinks and household products carry GST, HST or provincial sales tax. Your receipt shows which items were taxed and at what rate — the easiest place to check the number to enter.
Prices that already include tax
In the UK, the EU and many other countries, shelf prices already include VAT, so there is nothing to add: leave the tax field empty. Use it when a price is shown before tax — US and Canadian shelf tags, or trade and warehouse prices quoted without VAT.
Stores with different tax rates
If two stores charge different rates — across a county or state line, say — work out each product on its own with its store’s rate, note the price per unit after tax, then compare the two results. A lower shelf price can lose once a higher tax is added.
Frequently asked questions
How do I add sales tax to a price?
Multiply the price by 1 plus the tax rate. $10 with 7% tax is $10 × 1.07 = $10.70.
Does sales tax change which product is cheaper per unit?
Not when both are taxed at the same rate: it raises both prices by the same percentage. It changes how much you pay and how much you save.
Are groceries taxed?
It depends where you live. Many US states exempt most groceries or tax them at a lower rate, and Canada zero-rates basic groceries, but household items and snacks are usually taxed.
Should I add VAT to UK or EU prices?
No. Shelf prices there already include VAT, so leave the tax field empty.