Sales Tax Calculator
Enter a pre-tax amount and sales tax rate to get the tax due and the tax-inclusive total; or reverse out the embedded tax from a tax-inclusive amount.
Input Data
Results
At a glance:Add mode computes tax as a percentage of the pre-tax amount; reverse mode divides the tax-inclusive total to isolate the embedded tax.
Formula
add: taxAmount = amount × taxRatePct%; grossAmount = amount + taxAmount
reverse: taxAmount = amount − amount / (1 + taxRatePct%); netAmount = amount / (1 + taxRatePct%)
$$\text{Tax} = \text{Net}\times r,\quad \text{Gross} = \text{Net}\times(1+r)$$$$\text{Net} = \dfrac{\text{Gross}}{1+r},\quad \text{Tax} = \text{Gross}-\text{Net}$$How to Use
- Enter the amount and tax rate.
- Select add or reverse mode.
- Review the tax amount and net/gross totals.
FAQ
Does Hong Kong have a sales tax or consumption tax?
No. Hong Kong follows a simple low-tax regime with no general sales tax, consumption tax or VAT/GST, so local sticker prices are generally the final price. Sales tax mainly appears when shopping overseas, online or travelling — e.g. US states, Japan, Europe.
What is the difference between sales tax and VAT?
Sales tax is charged once at the final retail stage to the consumer; VAT is charged at each production and distribution stage on the value added, with input tax creditable. The final consumer burden can be similar, but the mechanism differs. To reverse out embedded VAT, use our VAT calculator.
Why are US prices often shown pre-tax?
US sales tax is set by each state or even county, with widely varying rates (0% to over 10%), so merchants label pre-tax prices and add tax at checkout. This differs from Hong Kong or Japan where prices are usually tax-inclusive; confirm the rate before you shop.
Which mode should I use — add or reverse?
If you know the pre-tax price and want the final payable, use 'add tax'. If you have a tax-inclusive total (e.g. a receipt) and want to split out the tax and pre-tax amount, use 'reverse'. The two are inverse operations.
Can tourists get a tax refund when shopping overseas?
It depends on the region. Some countries (e.g. Japan, the EU) offer consumption-tax/VAT refunds to tourists meeting a minimum spend at designated shops. The refund is usually the embedded tax portion, which you can estimate with the reverse mode, but the actual rules apply.
This calculator's content is reviewed by our Licensed Tax Advisory team. Results are for reference only; please refer to the relevant authorities for the official figures.