Finance

VAT Calculator

Calculate gross, net, and VAT amounts in seconds.

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Inputs

Results

Result Enter values to calculate.
Your result explanation will appear here.

Useful next checks

  • Compare a few scenarios before making a decision.
  • Check rates, fees, tax, and timing outside the estimate.
  • Use the explanation below to understand the formula.

Intro

Use this VAT calculator to add VAT to a net price or remove VAT from a gross price. Enter the amount, VAT rate, and mode to see the net amount, VAT amount, and total price.

What this VAT calculator does

The calculator supports two common VAT questions:

  • Add VAT to a net price before tax.
  • Remove VAT from a gross price that already includes tax.

It works with any VAT percentage you enter, so it can be used for different countries, reduced rates, or product-specific rates.

How it works

VAT is calculated as a percentage of the net price. To add VAT, the calculator multiplies the net amount by 1 + VAT rate. To remove VAT, it divides the gross amount by 1 + VAT rate.

For a 20% VAT rate, use 0.20 as the decimal rate. Adding VAT means multiplying by 1.20. Removing VAT means dividing by 1.20.

Example calculation

If the net price is 100 and the VAT rate is 20%, the VAT amount is 20 and the gross price is 120.

If the gross price is 120 and VAT is included at 20%, the net price is 100 and the VAT portion is 20.

How to use the result

Use the result to check invoices, price lists, quotes, and simple tax-inclusive or tax-exclusive pricing. Confirm the correct VAT rate for your location and item before relying on the result for accounting or tax filing.

For sale pricing before or after tax, compare this page with the Discount Calculator.

Assumptions and limitations

  • The calculator handles one VAT rate at a time.
  • It does not choose the correct rate for your country, business, or product.
  • It does not create tax advice, invoices, or accounting records.
  • Rounding on real invoices may vary by line item, total, or accounting system.
  • VAT rules and rates can change, so verify official rates when accuracy matters.

FAQs

  • Can I enter a reduced VAT rate? Yes. Enter any percentage rate, such as 5, 10, or 20.
  • Is removing VAT the same as subtracting 20%? No. To remove 20% VAT from a gross price, divide by 1.20 rather than subtracting 20% from the gross price.
  • Why is the VAT amount different when removing VAT? Because the gross price already includes tax, so the VAT portion is a fraction of the gross total.
  • Can this be used for sales tax? The add-tax calculation may help with simple sales tax estimates, but VAT and sales tax rules are different.

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Frequently asked questions

Can I change the VAT rate?

Yes. Enter any percentage rate for your country or product type.

Does this handle multiple tax rates?

Version one calculates one rate at a time.