Finding the Tax Amount
How to calculate Tax Amount from Before Tax
When you know the Before Tax amount and Tax Rate, multiply them to find the Tax Amount. Add that amount to Before Tax if you also need the Total.
A worked example
For this example, use USD 80.00 Before Tax and an illustrative Tax Rate of 7.5%.
Tax Amount = Before Tax × Tax Rate ÷ 100
- Before Tax
- USD 80.00
- Tax Rate
- 7.5%
- Tax Amount
- USD 6.00
- Total
- USD 86.00
Multiply 80.00 by 7.5 and divide by 100 to get a Tax Amount of 6.00. Add 6.00 to 80.00 for a Total of 86.00.
Try it in SimpleTax
- Choose USD as your currency.
- Select Total as the value to calculate automatically.
- Enter 80 in Before Tax and 7.5 in Tax Rate.
- Read Tax Amount as 6.00 and Total as 86.00.
Check whether Tax is already included
This formula starts with an amount that does not include Tax. If the displayed price already includes Tax, use the Before Tax guide to work backwards from Total. The 7.5% rate is only an example; enter the rate for your calculation.
