sales tax with state and local rates combined

Sales Tax Varies Wildly

sales tax combines state (0-7.25%), county, city, and special-district rates. Total combined rates range from 0% (Alaska state, Delaware, Montana, New Hampshire, Oregon) to over 10% (Mobile AL). No federal sales tax exists.

What Is and Is Not Taxed

Most goods are taxed; services vary by state. Groceries are often tax-exempt or taxed at reduced rate. Prescription drugs usually exempt. Clothing exempt in some states (New Jersey, Minnesota, Pennsylvania, Vermont). Online purchases now subject to tax based on delivery address post-Wayfair 2018 decision.

Quick example

With pre-tax price of 100 and state rate of 6 (plus local rate of 2), the result is 108.00. Change any figure and watch the output shift — it's often more useful to see the pattern than to memorise the formula.

Which inputs matter most

You enter Pre-Tax Price, State Rate, and Local Rate. Not every input has equal weight. Flip one at a time toward extreme values to feel which ones move the needle most for your situation.

What's happening under the hood

Combines state and local rate, applies to pre-tax price. Most states allow local add-ons; Alaska has zero state rate but local rates apply. The formula is listed in full below. If the number looks off, you can retrace the calculation by hand — that's the point of showing the working.

Why run the calculation

Utility bills creep. Small annual increases stack into meaningful differences over a decade. Running this once a year and switching providers when the gap widens is one of the easiest ways to keep household costs in check.

What this doesn't capture

Usage varies month-to-month; tariffs change; discounts come and go. The figure here is a clean baseline — your actual annual bill will fluctuate around it. Use the calculation to benchmark providers, not as a prediction of a specific bill.