TaxFree

VAT Calculator

Add or remove VAT from a price. Calculate VAT amount for any rate.

Enter Values

Net Price (excl. VAT)

VAT Rate (%)

0%100%

Result

Enter values above and click Calculate to see your result.

AI Assistant

Ask about this calculator

I can help you understand the vat calculator formula, interpret your results, and answer follow-up questions.

Try asking

Formula

VAT Amount = Net Price × VAT Rate / 100

Multiply the net price by the VAT rate to get the tax amount. Gross = Net + VAT.

Worked Example

Net Price: $200, VAT Rate: 20% Step 1: VAT = 200 × 0.20 = $40 Step 2: Gross = 200 + 40 = $240 Result: $40 VAT, $240 gross price

What Is VAT (Value Added Tax)?

VAT is a consumption tax applied at each stage of the supply chain, from production to final sale. Unlike sales tax, which is collected only at the point of sale, VAT is collected incrementally. Businesses charge VAT on sales and reclaim VAT on purchases, so the tax burden ultimately falls on the end consumer.

Standard VAT rates vary by country: UK 20%, EU 15-27%, Australia (GST) 10%
To add VAT: Price x (1 + VAT Rate). To remove VAT: Total / (1 + VAT Rate)
Some goods are zero-rated (0% VAT) or exempt, such as food and children's clothing in the UK
VAT-registered businesses can reclaim VAT paid on business purchases

Understanding VAT is essential for businesses operating internationally and for consumers who want to know how much tax is included in the prices they pay.

You can also calculate changes using our Sales Tax Calculator, Pricing Calculator or Discount Calculator.

Frequently Asked Questions

What is VAT?

Value-Added Tax is a consumption tax applied at each stage of the supply chain, common in Europe and many countries.

How do I remove VAT from a gross price?

Divide the gross price by (1 + VAT rate). For 20% VAT: Net = Gross / 1.20.

What is the standard VAT rate in the UK?

The standard UK VAT rate is 20%. Reduced rate is 5% and zero rate is 0%.

AI Assistant

Ask about this calculator

I can help you understand the vat calculator formula, interpret your results, and answer follow-up questions.

Try asking

Related Calculators

Sales Tax Calculator Pricing Calculator Discount Calculator

More Tax Calculators

View all

Sales Tax Calculator

Calculate sales tax and total price.

S-Corp vs LLC Tax Savings Calculator

Find when S-Corp election saves you money.

Explore Other Categories

Secure and Private

All calculations run locally. Your tax data never leaves your browser.