Is sales tax applied before or after the discount?

In most regions tax or VAT is charged on the discounted price. This calculator applies the discount first and then adds any tax percentage you enter to give the final price.

What is the difference between a percentage and a fixed discount?

A percentage discount scales with the price, so it saves more on expensive items. A fixed-amount discount takes the same money off regardless of price, so it is proportionally bigger on cheaper items.

How do I find the original price before a discount?

Divide the sale price by (1 minus the discount as a decimal). For a 25% discount, divide the sale price by 0.75 — so a $60 sale price was originally $80.

Can I stack two discounts?

Yes, but discounts multiply rather than add. Apply the first discount, then apply the second to the new reduced total. Two 20% discounts give 36% off in total, not 40%.

🏷️ Discount Calculator

Free, accurate, GDPR compliant. All calculations run in your browser — no data is ever stored or shared.

Currency

Original price ($)

Discount type

Discount %

Sales tax / VAT % (optional)

ℹ️ For reference only. Final checkout prices may differ due to rounding, additional fees or local tax rules.

About the Discount Calculator

The Discount Calculator works out how much you save and what you actually pay when an item is reduced. Enter the original price and the discount — as a percentage off or a fixed amount — and it shows the amount saved, the sale price and, if you add a sales-tax or VAT rate, the final price at the till. It works in any major currency.

How to calculate a discount

Saving = Original price × (Discount % ÷ 100)
Sale price = Original price − Saving
Final price = Sale price × (1 + Tax % ÷ 100)

For example, 25% off an $80 item saves $20.00, giving a sale price of $60.00. With 8% sales tax, the final price is $64.80.

Percentage off vs fixed amount

A percentage discount scales with price — 20% off saves more on expensive items. A fixed discount (e.g. $10 off) is worth proportionally more on cheaper items. Switch the discount type above to compare; the calculator also reports the effective discount so you can compare offers like-for-like.

Stacking discounts and tax

When a coupon applies on top of a sale price, apply the larger reduction first, then the second on the new total — discounts multiply, they do not simply add. Sales tax or VAT is normally charged on the discounted price, which is how this tool calculates the final amount.

Frequently Asked Questions

How do I calculate a percentage discount? Multiply the price by the discount percentage divided by 100 to get the saving, then subtract it from the original price.

Is tax applied before or after the discount? In most regions tax is charged on the discounted price, so this calculator applies the discount first, then tax.

How do I work out the original price from a sale price? Divide the sale price by (1 − discount ÷ 100). For example, $60 after 25% off was originally $60 ÷ 0.75 = $80.

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Important Note: This tool is intended to provide estimates and should not be used as a substitute for professional advice. Information generated by these calculators may be incomplete and does not account for all individual circumstances. Always seek the counsel of a certified expert (such as a financial advisor, healthcare provider, or licensed engineer) before taking action based on these results.

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