VAT Calculator
Add VAT to a price, or strip the VAT out of a VAT-inclusive total.
Mode
%
100
20
120
Formula
Examples
| Input | Result |
|---|---|
| Add 20% VAT to £100 | VAT = £20, gross = £120 |
| Remove 20% VAT from £120 | Net = £100, VAT = £20 |
About this calculator
Value-added tax (VAT) is a consumption tax charged as a percentage of a product or service's price. In "Add VAT" mode you start from a net (VAT-exclusive) price and the calculator returns the VAT and the gross price customers pay. In "Remove VAT" mode you start from a gross (VAT-inclusive) price and it recovers the underlying net price and the VAT contained within it.
The remove mode is essential for invoicing and accounting when only the gross figure is known. Because VAT is calculated on the net amount, you divide the gross by one plus the rate to find the net price rather than simply subtracting the rate. VAT rates vary by country and product category, so enter the rate that applies to your transaction.
Frequently asked questions
Divide the gross price by (1 + rate/100) to get the net price, then subtract it from the gross to find the VAT. The remove mode does this for you.
A 20% VAT means the gross is 120% of the net, i.e. net × 1.2. Dividing the gross by 1.2 reverses that to recover the net price.
Both are consumption taxes, but VAT is collected at each stage of the supply chain while sales tax is charged once at the final sale. Use the sales tax calculator for US-style sales tax.
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