Tax rates can vary from state to state and the same is true for taxes on food items.
4.86
6% sales tax
1 cent
In Texas, food products are exempt from sales tax. Only fast food is taxed. The basic rate in Texas is 6.25%. Other taxing entities, like municipalities can add on to this for a maximum rate of 8.25%.
The total tax is $7.50 and the total price with tax is $157.50.
0.80
Virginia has a sales tax rate of 5.00%.
5.25%
Sales Tax / Sales Tax Rate = Gross Sale
The sale tex rate may 5.5%
The [unlikely] sales tax rate is 100*8/18250 = 0.0438% approx.
You charge the tax based on local tax rate, the location of the transaction. If you are selling over the internet you would not charge any tax except for the customers that you sell to in Tennessee.