VAT Calculator
Estimate VAT by adding or removing the user-entered VAT rate.
Inputs
Result
Enter values on the left and select Calculate to see the result here.
What the VAT Calculator does
- Estimates the VAT amount, net price, and gross price for the VAT rate you choose or enter.
- Supports both adding VAT to a pre-tax amount and extracting VAT from a VAT-inclusive amount.
- Helps check invoices, quotes, product prices, and cross-border comparisons without deciding which VAT rate legally applies.
How to use the VAT Calculator
- Choose the currency you want the answer displayed in.
- Enter the amount: use the net amount when adding VAT, or the gross amount when removing VAT.
- Select a preset VAT rate or choose Custom and type the exact percentage you want to estimate.
- Pick Add VAT or Remove VAT, then calculate the net, VAT, and gross totals.
Formula / methodology used
- To add VAT, the VAT amount is net amount × (VAT rate ÷ 100), and gross price is net plus VAT.
- To remove VAT, net price is gross amount ÷ (1 + VAT rate ÷ 100).
- The extracted VAT amount is gross price minus net price.
- Displayed currency formatting does not change the VAT rate or tax rules; the calculation uses only the selected or entered percentage.
Example calculation
A quote is £480 excluding VAT and you choose a 20% VAT rate.
- Net amount = £480
- VAT rate = 20% = 0.20
- VAT amount = £480 × 0.20 = £96
- Gross amount = £480 + £96
Result: The VAT-inclusive total is £576, made up of £480 net and £96 VAT.
Common mistakes and limitations
- Check whether the amount you entered is net or gross before choosing Add VAT or Remove VAT.
- VAT rates, exemptions, reverse-charge rules, and registration requirements vary by country, product or service type, and business status.
- Rounding on real invoices may differ when VAT is calculated per line item rather than on the total.
- This tool does not decide whether you should charge VAT, reclaim VAT, use a reduced rate, or treat a transaction as exempt or zero-rated.
Important note
This VAT calculator is an estimate based only on the rate you enter or select. It is not official guidance or tax advice; verify the applicable rate and treatment with the relevant tax authority or a qualified adviser.
VAT Calculator FAQs
What is the difference between net and gross?
Net is the price before VAT. Gross is the VAT-inclusive price after VAT has been added.
How do I remove 20% VAT from a price?
Choose Remove VAT, enter the VAT-inclusive amount, and use a 20% rate. The net amount is calculated by dividing by 1.20.
Can I enter a reduced VAT rate?
Yes. Select Custom and enter the exact percentage you want to estimate, such as 5 or 12.5. Check that the rate applies to your item and location before relying on it.
Is VAT the same as sales tax?
No. VAT and sales tax are different tax systems. Use the Sales Tax Calculator for a simple public sales-tax style calculation.
Does this calculator know my country's VAT rules?
No. It uses the rate you select or enter and does not validate whether that rate is correct for your country, product, service, or business situation.