Think of the problem this way:
$26.50 = 100% of the original price + 6% of the original price (sales tax)
Now, we have this information.
$26.50 = 106% of the original price.
There is no way you can just get 106% to 100%. So, we're going to find 1% of the original price, then multiply by 100.
And since $265 = 1060% of the original price:
$53 = 212% of the original price
53/212 = $1/4
$0.25 = 1% of the original price
$25 = 100% of the original price
Your answer is $25.