Tax Calculation Formulas
Total Amount = Original Price + Tax Amount
Original Price = Total Amount / (1 + Tax Rate)
Sales Tax/GST Calculation Results
Original Price
Tax Rate
Tax Amount
Total Amount
Regional Tax Rate Information
Tax Comparison Scenarios
Tax Optimization Tips
Based on your tax calculation, here are some tips for tax optimization and planning.
Understanding Sales Tax and GST
What is Sales Tax?
Sales tax is a consumption tax imposed by the government on the sale of goods and services. It's typically calculated as a percentage of the purchase price and collected by retailers from consumers at the point of sale.
GST vs VAT
GST (Goods and Services Tax): Value-added tax system used in India, Canada, Australia, etc.
VAT (Value Added Tax): Similar consumption tax used in UK, EU, and other countries
Both are multi-stage taxes with input tax credit mechanisms.
Tax Rates Worldwide
• India GST: 0%, 5%, 12%, 18%, 28%
• Canada GST: 5% + Provincial rates
• UK VAT: 20% standard, 5% reduced
• EU VAT: 15-27% by country
• US Sales Tax: 0-10% by state