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VAT Calculator: Add or Remove VAT at Any Rate

Add VAT to a net price or take it out of a gross price at any rate you type, such as 20%, 19% or 5%. Shows the VAT and both prices to the cent, with the working.

What do you want to do?
Name of the tax

Type the net price and the rate as a percentage, such as 8.25. No rate is filled in, because rates change and differ by place.


About the VAT Calculator

The VAT Calculator adds value added tax to a net price, or takes it out of a gross price, at any rate you type. It opens in Add tax mode with VAT wording, so the fields read Net price (excl. VAT), VAT rate and Gross price (incl. VAT). Switch to Remove tax to work back from a price that already includes VAT, or to Find the rate to see which rate a supplier charged.

No rate is filled in. Countries set their own standard and reduced rates, such as 20 percent, 19 percent or 5 percent, and they change them from time to time, so you type the rate that applies to the sale. The rate can have up to four decimals. Every amount is worked out in whole cents and rounded once, half up, so the net price and the VAT always add up to the gross price.

How to use it

Add VAT

Type the net price and the VAT rate as a percentage. The VAT and the gross price appear straight away.

Remove VAT

Choose Remove tax, then type the gross price and the rate. The calculator shows the net price and the VAT that was included in it.

The formulas

With a net price NN, a gross price GG and a VAT rate rr as a decimal:

VAT=N×r,G=N+VAT,N=G1+r\text{VAT} = N \times r, \qquad G = N + \text{VAT}, \qquad N = \frac{G}{1 + r}

The share of a gross price that is VAT is r÷(1+r)r \div (1 + r). At 20 percent that is one sixth, and at 5 percent it is one twenty-first.

Worked examples

  • Add 20% VAT to 49.99. 49.99×0.2=9.99849.99 \times 0.2 = 9.998, which rounds to 10.00, so the gross price is 59.99.
  • Remove 20% VAT from 59.99. 59.99÷1.2=49.991759.99 \div 1.2 = 49.9917, so the net price is 49.99 and the VAT is 10.00.
  • Remove 5% VAT from 105.00. 105÷1.05=100105 \div 1.05 = 100, so the VAT is 5.00.
  • The common mistake. Taking 20 percent off 120.00 gives 96.00, but the net price is 120÷1.2=100.00120 \div 1.2 = 100.00. VAT is charged on the net price, so it must be divided out, not subtracted.

Assumptions

The result is an estimate. VAT rates change and differ by country and by the kind of goods or services, and some sales are exempt or zero-rated. Check the current rate with your tax authority before you issue an invoice. For sales tax wording and a price before tax, the full Sales Tax Calculator does the same maths. To take a discount off first, use the Discount Calculator, and for margins on what you sell, the Percentage Calculator covers general percentage changes.

Privacy

Nothing is uploaded; every calculation runs in your browser and never leaves your device. The prices and rates you type stay on this page and are gone when you close or reload it.

Frequently asked questions

How do I add VAT to a price?

Multiply the net price by the VAT rate and divide by 100 to get the VAT, then add it on. At 20 percent, a net price of 49.99 carries 10.00 of VAT, so the gross price is 59.99. The VAT is rounded to the nearest cent, with half a cent rounding up.

How do I remove VAT from a gross price?

Divide the gross price by 1 plus the rate. At 20 percent, 59.99 ÷ 1.2 = 49.99 net, and the VAT is the remaining 10.00. Taking 20 percent off the gross price is a common mistake: it gives 47.99, which is too low.

What VAT rate should I use?

Use the rate that applies to the sale. Many countries have a standard rate and one or more reduced rates for food, books or energy, and rates change from time to time. The calculator leaves the rate empty so you type the current one; check it with your tax authority.

What do net and gross mean?

Net is the price excluding VAT, the amount the seller keeps. Gross is the price including VAT, the amount the buyer pays. The difference is the VAT, which the seller passes on to the tax authority.

Is the VAT fraction 1/6 at 20 percent?

Yes. At 20 percent, VAT is one sixth of the gross price, because 0.2 ÷ 1.2 = 1/6. At other rates the fraction is the rate divided by 1 plus the rate, so at 5 percent it is 1/21. The calculator does this for you at any rate up to four decimals.

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