VAT Calculator

Add or remove VAT for 20+ countries. Choose a country preset or custom rate.

VAT calculation inputs

Choose whether to add VAT to a net price or remove VAT from a gross price.

Presets are examples; confirm current rules locally.

Enter the amount you want to calculate from.

Use a standard, reduced, zero, or custom VAT rate.

United Kingdom preset selected. VAT rates and rules can change and may differ by product, service, threshold, or business status.

Gross total

£120.00

Final amount after VAT is added.

VAT amount

£20.00

Calculated at 20%.

Net amount

£100.00

Price before VAT.

Gross amount

£120.00

Price including VAT.

VAT rate

20%

Rate used for this calculation.

VAT share of gross

16.6667%

VAT amount divided by gross price.

Effective VAT on net

20%

VAT amount divided by net price.

Calculation mode

Add VAT

Selected VAT calculation direction.

Removing VAT from a gross price is not the same as subtracting the VAT rate directly.
Updated May 2026Formula verifiedReviewed for accuracy

Support

VAT support layer

Two-way calculation

Add VAT to a net price or remove VAT from a VAT-inclusive gross price.

Arithmetic only

The calculator estimates amounts from your inputs and does not determine tax obligations.

Preset rates

Country presets are convenient examples, but rates and product rules can change.

Interpretation

What these VAT results mean

VAT amount

The VAT portion is £20.00, based on a 20% VAT rate.

Net vs gross

Net price is £100.00 and gross price is £120.00.

Inclusive price logic

When removing VAT, the VAT amount is not found by simply subtracting the VAT rate from the gross total.

Invoice clarity

Invoices often show net amount, VAT amount, VAT rate, and gross total separately.

Basics

How VAT works

Net amount

The net amount is the price before VAT is added.

VAT rate

The VAT rate is the percentage applied to the net amount.

VAT amount

The VAT amount is the tax portion added to the net price.

Gross total

The gross total is the final VAT-inclusive price.

Comparison

VAT-inclusive vs VAT-exclusive pricing

VAT-exclusive

£100.00

VAT is calculated on top of this amount to reach the gross total.

VAT-inclusive

£120.00

This total already contains both the net amount and VAT portion.

Invoices

VAT invoices and business use

Invoice breakdown

VAT invoices may need to show net value, VAT rate, VAT amount, and gross total separately.

Tax authority rules

Registration thresholds, invoice rules, exemptions, and filing duties vary by jurisdiction.

Different rates

Some goods and services may use standard, reduced, zero, or exempt treatment.

Formula

VAT formula explanation

Add VAT

Gross = Net × (1 + VAT Rate)

Use this when your starting price excludes VAT and you need the VAT-inclusive total.

Remove VAT

Net = Gross ÷ (1 + VAT Rate)

Use this when the starting price already includes VAT and you need the VAT-exclusive amount.

VAT amount

VAT Amount = Gross − Net

The VAT amount is the difference between the gross amount and the net amount.

VAT calculations are arithmetic estimates. Actual VAT treatment can depend on country, product category, customer type, business registration, place of supply, invoice rules, exemptions, and current tax law.

FAQ

VAT calculator questions

VAT stands for Value Added Tax. It is a consumption tax that may apply to taxable goods and services depending on the country, product type, and tax treatment.