VAT Calculator — Add, Remove & Reverse VAT
● Live · Global rates · Free

VAT Calculator

Add, remove, or reverse Value Added Tax on any amount using country-specific or custom rates. Enter a figure and instantly see the net price, VAT amount, and gross total — with multi-currency support, a multi-item invoice builder, and a country comparison.

VAT details

Everything updates live as you type — no button needed.

Calculation type
Amount
£
VAT rate
%
Currency & precision
Add VAT · 20% Live
Net amount excluding VAT £100.00
VAT @ 20% £20.00
Gross total £120.00
Gross = Net × (1 + 0.20) = £100.00 × 1.20 = £120.00

Estimates based on the rate you select. Verify VAT rules with your tax authority.

Quick answer

To add VAT, multiply the net amount by (1 + VAT rate). For example, at 20% VAT: £100 × 1.20 = £120 gross, with £20 VAT. To remove VAT from a gross (VAT-inclusive) price, divide by (1 + rate): £120 ÷ 1.20 = £100 net. The VAT amount is always gross minus net. This calculator does all three — add, remove, and reverse — for any country rate or custom percentage.

At a glance

Key facts

Add VAT formula
Net × (1 + rate)
Remove VAT formula
Gross ÷ (1 + rate)
Countries
13 + custom
Currencies
10 supported
Calculation time
Instant
Last updated
2026
Getting started

How to use the VAT calculator

Four quick steps. Results recalculate the moment you change any field.

Pick a calculation type

Choose Add VAT if your amount excludes VAT, Remove VAT if your amount already includes VAT, or From VAT if you only know the VAT amount itself.

Enter the amount

Type the figure in your currency. The label updates to tell you whether it's treated as net, gross, or the VAT amount.

Set the VAT rate

Tap a preset (0–25%), pick a country to auto-load its standard rate, or type any custom percentage.

Read & export your results

See the net, VAT, and gross instantly. Copy, share a link, print a PDF, save the calculation, or build a full multi-item invoice below.

Transparent math

Formula & method

Every VAT calculation comes down to one factor: (1 + VAT rate). Here are all three formulas with worked examples you can reproduce by hand.

1. Adding VAT (net → gross)

# You have a VAT-exclusive (net) price and want the total VAT amount = Net × VAT rate Gross = Net × (1 + VAT rate)

Example — UK 20%: Net = £250. VAT = 250 × 0.20 = £50. Gross = 250 × 1.20 = £300.

2. Removing VAT (gross → net)

# You have a VAT-inclusive (gross) price and want the net + VAT Net = Gross ÷ (1 + VAT rate) VAT amount = Gross − Net

Example — UAE 5%: Gross = AED 525. Net = 525 ÷ 1.05 = AED 500. VAT = 525 − 500 = AED 25.

3. Reverse VAT (from the VAT amount)

# You only know the VAT charged and want the net + gross Net = VAT amount ÷ VAT rate Gross = Net + VAT amount

Example — Germany 19%: VAT = €38. Net = 38 ÷ 0.19 = €200. Gross = 200 + 38 = €238.

The VAT fraction shortcut. To pull VAT out of a gross price quickly, multiply by rate ÷ (1 + rate). At 20% that's the well-known "1/6" rule: £120 × (0.20 ÷ 1.20) = £120 × 1/6 = £20 VAT. At 5% the fraction is 1/21; at 15% it's 3/23.
Reference table

30 worked VAT examples

Common calculations across countries and rates. "Add" starts from net; "Remove" starts from gross.

#ScenarioRateNetVATGross
1UK retail — add VAT20%£100.00£20.00£120.00
2UK invoice — add VAT20%£850.00£170.00£1,020.00
3UK receipt — remove VAT20%£40.00£8.00£48.00
4UAE goods — add VAT5%AED 500.00AED 25.00AED 525.00
5UAE bill — remove VAT5%AED 1,000.00AED 50.00AED 1,050.00
6Saudi Arabia — add VAT15%SAR 200.00SAR 30.00SAR 230.00
7Saudi invoice — remove VAT15%SAR 1,000.00SAR 150.00SAR 1,150.00
8Germany — add VAT19%€300.00€57.00€357.00
9Germany — remove VAT19%€500.00€95.00€595.00
10France — add VAT20%€1,000.00€200.00€1,200.00
11Spain — add VAT21%€250.00€52.50€302.50
12Italy — add VAT22%€400.00€88.00€488.00
13Netherlands — add VAT21%€600.00€126.00€726.00
14Ireland — add VAT23%€100.00€23.00€123.00
15Australia GST — add10%A$150.00A$15.00A$165.00
16Australia GST — remove10%A$500.00A$50.00A$550.00
17New Zealand GST — add15%NZ$200.00NZ$30.00NZ$230.00
18Canada GST — add5%C$80.00C$4.00C$84.00
19India GST — add18%₹1,000.00₹180.00₹1,180.00
20Restaurant bill — remove20%£62.50£12.50£75.00
21Wholesale order — add20%£5,000.00£1,000.00£6,000.00
22Freelance fee — add20%£1,200.00£240.00£1,440.00
23Reduced rate goods — add5%£90.00£4.50£94.50
24eCommerce EU sale — add21%€49.99€10.50€60.49
25Zero-rated export0%£3,000.00£0.00£3,000.00
26Reverse VAT (from VAT)20%£75.00£15.00£90.00
27Reverse VAT (from VAT)5%AED 400.00AED 20.00AED 420.00
28Hotel stay UAE — add5%AED 1,200.00AED 60.00AED 1,260.00
29Consulting Germany — remove19%€2,100.84€399.16€2,500.00
30Software SaaS UK — add20%£29.00£5.80£34.80
Make sense of it

Understanding your result

Three numbers, three meanings — and what each one is for.

Net

Net price (ex-VAT)

The value of the goods or service before tax. This is what a VAT-registered business records as revenue and what you compare on quotes.

VAT

VAT amount

The tax itself. A registered business collects this from customers (output VAT) and pays it to the tax authority, minus VAT it reclaims on purchases (input VAT).

Gross

Gross price (inc-VAT)

The final amount the customer actually pays. On consumer receipts and retail shelf prices this is usually the figure shown.

Common mistakes: applying VAT to a price that already includes it (double taxation), removing VAT by simply subtracting the percentage (£120 − 20% = £96, which is wrong — the correct net is £100), and rounding each line differently from the invoice total. Accounting tip: keep net and VAT as separate ledger entries so your VAT return reconciles cleanly.
Visualize it

VAT at a glance

These charts update live with your inputs.

Price breakdown

How the gross total splits between the net price and the VAT.

Same net across countries

Gross total for your net amount at each country's standard rate.

Bonus tool

Multi-item VAT invoice calculator

Add line items to build a full invoice with subtotal, VAT, and grand total. Export to CSV or print it.

%
DescriptionQtyUnit priceLine total
Subtotal (net)£0.00
VAT @ 20%£0.00
Total£0.00
Reference

Standard VAT & GST rates by country

Standard rates for quick reference. Many countries also have reduced or zero rates for specific goods — always confirm the correct rate for your transaction.

CountryTax nameStandard rateNotes
🇬🇧 United KingdomVAT20%Reduced 5%, zero-rated on some goods
🇦🇪 UAEVAT5%Introduced 2018; some zero-rated/exempt supplies
🇸🇦 Saudi ArabiaVAT15%Raised from 5% in 2020
🇩🇪 GermanyUSt (VAT)19%Reduced 7%
🇫🇷 FranceTVA (VAT)20%Reduced 10%, 5.5%, 2.1%
🇪🇸 SpainIVA (VAT)21%Reduced 10%, super-reduced 4%
🇮🇹 ItalyIVA (VAT)22%Reduced 10%, 5%, 4%
🇳🇱 NetherlandsBTW (VAT)21%Reduced 9%
🇮🇪 IrelandVAT23%Reduced 13.5%, 9%, zero rates
🇦🇺 AustraliaGST10%Flat GST; some GST-free items
🇳🇿 New ZealandGST15%Flat GST on most goods/services
🇨🇦 CanadaGST/HST5%Federal GST; HST 13–15% in some provinces
🇮🇳 IndiaGST18%Slabs of 5%, 12%, 18%, 28%

Rates shown are standard rates and may change. This tool does not provide tax advice — verify the applicable rate with the relevant tax authority.

The complete guide

Everything you need to know about VAT

What is VAT?

Value Added Tax (VAT) is a consumption tax charged on the value added to goods and services at each stage of the supply chain, from production to the final sale. Although businesses collect and remit it, the tax is ultimately borne by the end consumer. VAT is used by more than 170 countries worldwide and is one of the largest sources of government revenue. In some countries the same style of tax is called Goods and Services Tax (GST).

The defining feature of VAT is that it is charged incrementally. A manufacturer, wholesaler, and retailer each add VAT on their sale price but reclaim the VAT they paid on their inputs, so tax is effectively only paid on the "value added" at each step. The consumer at the end of the chain pays the full VAT with nothing to reclaim.

How VAT works

Imagine a 20% VAT country. A raw-material supplier sells to a manufacturer for £100 + £20 VAT. The manufacturer builds a product and sells it to a retailer for £300 + £60 VAT — but reclaims the £20 it already paid, so it remits only £40 to the tax authority. The retailer sells to a customer for £500 + £100 VAT, reclaims the £60 it paid, and remits £40. The government collects £20 + £40 + £40 = £100 in total, which equals 20% of the final £500 price — all funded by the consumer.

Key insight: VAT is "self-policing." Because each business wants to reclaim its input VAT, it needs valid invoices from suppliers, which creates a paper trail that makes the system harder to evade than a single-point sales tax.

VAT vs GST

VAT and GST are essentially the same type of multi-stage consumption tax — the difference is mostly naming and local design. Countries like the UK, UAE, Germany, and France call it VAT; Australia, New Zealand, India, Canada, and Singapore call it GST. Some GST systems (like India's) are more tiered with multiple rate slabs, while others (like New Zealand's) are famously simple with a near-flat rate and few exemptions. For calculation purposes, adding or removing GST uses exactly the same formulas as VAT.

VAT vs sales tax

US-style sales tax is charged only once, at the final point of sale to the consumer, and businesses buying for resale are exempt. VAT is charged at every stage but with input-tax credits. The end result is similar for the consumer, but VAT generates revenue earlier in the chain and leaves a fuller audit trail. Sales tax rates in the US are also set by states and municipalities, whereas VAT is typically a single national rate with reduced rates for specific categories.

How to add VAT

To add VAT to a net (VAT-exclusive) price, multiply by one plus the rate expressed as a decimal. At 20%, multiply by 1.20; at 5%, by 1.05; at 15%, by 1.15. The VAT amount alone is the net price multiplied by the rate. So a £250 net price at 20% becomes £250 × 1.20 = £300 gross, of which £50 is VAT. Set the calculator above to "Add VAT" to do this automatically.

How to remove VAT

Removing VAT — sometimes called reverse VAT or extracting VAT — means working backwards from a gross (VAT-inclusive) price to find the net. You divide by one plus the rate, not subtract the percentage. A £120 gross price at 20% is £120 ÷ 1.20 = £100 net, leaving £20 VAT. Subtracting 20% of £120 would wrongly give £96, because the 20% was originally added to the smaller net figure, not the gross. The "Remove VAT" mode handles this correctly every time.

Input VAT vs output VAT

For a VAT-registered business, output VAT is the VAT it charges customers on sales, and input VAT is the VAT it pays suppliers on purchases. On each VAT return, the business pays the tax authority the difference: output VAT minus reclaimable input VAT. If input VAT exceeds output VAT in a period (common for exporters or businesses making large purchases), the business is usually due a refund.

VAT registration

Most countries require businesses to register for VAT once their taxable turnover crosses a threshold, and allow voluntary registration below it. Registration lets a business reclaim input VAT but also obliges it to charge VAT, file periodic returns, and keep compliant records. Thresholds and rules vary widely by country — for example, the UAE and UK set specific turnover thresholds that change over time — so check your local tax authority for the current figure.

VAT invoices

A valid VAT invoice is the document that lets your customer reclaim input VAT, so it must contain specific details: a unique invoice number, the supplier's name, address and VAT registration number, the date, a description of goods or services, the net amount, the VAT rate and amount, and the gross total. The multi-item invoice builder above produces a clean subtotal / VAT / total breakdown you can print or export while you draft one.

International VAT

Cross-border VAT is where things get complex. Within the EU, business-to-business sales often use the "reverse charge" mechanism, where the buyer accounts for VAT instead of the seller. Digital services sold to consumers are typically taxed at the customer's local rate under schemes like the EU's OSS. Exports outside a VAT area are frequently zero-rated. If you sell internationally, treat this calculator as a quick arithmetic tool and get country-specific advice for compliance.

Common mistakes to avoid

  • Subtracting instead of dividing when removing VAT — the single most common error.
  • Applying VAT twice to a price that was already gross.
  • Using the wrong rate — reduced and zero rates apply to many categories.
  • Rounding inconsistently so line items don't sum to the invoice total.
  • Forgetting VAT on your own pricing and absorbing it out of your margin by accident.

Professional accounting tips

Always store net and VAT as separate figures in your bookkeeping — never just the gross — so your VAT return and your accounts reconcile without reverse-engineering the tax.
Quote business customers in net (ex-VAT) terms and consumers in gross (inc-VAT) terms; it matches how each audience thinks about price.
Reconcile your VAT control account every period. Small rounding differences are normal, but large gaps usually mean a wrong rate or a double-counted invoice.
Answers

Frequently asked questions

Optimized for the questions people actually ask about VAT. Tap any question to expand.

To add VAT, multiply the net price by (1 + rate) — e.g. £100 × 1.20 = £120 at 20%. To find just the VAT, multiply the net by the rate (£100 × 0.20 = £20). To remove VAT from a gross price, divide by (1 + rate).
Multiply the net amount by 1.20. For example, £250 × 1.20 = £300, which includes £50 of VAT. The quick VAT-only step is £250 × 0.20 = £50.
Divide the gross (VAT-inclusive) price by (1 + rate). At 20%, £120 ÷ 1.20 = £100 net, so the VAT was £20. Do not subtract 20% from the gross — that gives the wrong answer.
Because the VAT was added to the smaller net figure, not the gross. Subtracting 20% of £120 gives £96, but the true net is £100. You must divide by 1.20 to reverse the original multiplication.
The VAT fraction extracts VAT directly from a gross price: rate ÷ (1 + rate). At 20% it's 1/6, at 5% it's 1/21, and at 15% it's 3/23. So £120 × 1/6 = £20 VAT.
The UK standard VAT rate is 20%, with a reduced rate of 5% on some goods (like domestic energy) and a 0% zero rate on items such as most food and children's clothing. Always confirm the correct rate for your specific product.
The UAE standard VAT rate is 5%, introduced in January 2018. Certain supplies are zero-rated or exempt, such as some exports, healthcare, and education. Verify with the UAE Federal Tax Authority for specifics.
They are the same kind of multi-stage consumption tax with different names. The UK, UAE and EU use "VAT"; Australia, New Zealand, India and Canada use "GST". The add/remove formulas are identical.
Sales tax is charged once at the final sale to the consumer, while VAT is charged at every stage of the supply chain with businesses reclaiming the VAT they paid. VAT leaves a fuller audit trail and collects revenue earlier.
VAT is calculated on the net (VAT-exclusive) amount. The rate is applied to the net to produce the VAT, and net plus VAT equals the gross. When you start from a gross price, you first divide out the VAT to find the net.
Reverse VAT usually means working backwards from a VAT-inclusive price (or a known VAT amount) to find the net and gross figures. Use the "Remove VAT" or "From VAT" mode in the calculator to do it correctly.
Output VAT is the VAT a business charges on its sales; input VAT is the VAT it pays on purchases. On each return the business pays the tax authority the output VAT minus the reclaimable input VAT.
Most countries require registration once taxable turnover exceeds a threshold, with voluntary registration allowed below it. Registration lets you reclaim input VAT but requires charging VAT and filing returns. Check your local threshold, as it changes.
Restaurant prices are usually shown gross (VAT-included). To see the VAT portion, use "Remove VAT": divide the total by (1 + rate). A £75 bill at 20% contains £75 ÷ 1.20 = £62.50 net and £12.50 VAT.
Zero-rated goods are taxable at 0% VAT — the business still records the sale as VATable and can reclaim input VAT, but charges no VAT to the customer. This differs from "exempt", where no VAT applies and input VAT generally can't be reclaimed.
Multiply the gross by the VAT fraction, rate ÷ (1 + rate). At 20% that's 1/6 of the gross; at 5% it's 1/21. The calculator's "Remove VAT" mode shows this instantly.
Yes, it's completely free with no sign-up. You can add, remove and reverse VAT, switch currencies and countries, build a multi-item invoice, and export or print your results.
Yes. Use the multi-item invoice builder to add line items with quantity and unit price. It totals the net, VAT, and gross automatically and lets you export to CSV or print the invoice.
Most invoices use 2 decimal places (currency cents). Higher precision (3–4 decimals) can be useful for unit-cost or high-volume calculations, but the final invoice figures are normally rounded to 2 decimals.
In many countries delivery charges follow the VAT treatment of the goods being delivered, so standard-rated goods usually carry standard-rated delivery. Rules vary, so confirm with your tax authority for your situation.
The arithmetic is exact for the rate you enter. Accuracy of the tax outcome depends on using the correct rate and rules for your transaction, which is why the country presets are a convenience, not tax advice.
Yes. Type any percentage into the rate field, or pick a preset chip or country. Custom rates are useful for reduced rates, historical rates, or countries not in the preset list.
No. Each EU country sets its own VAT rate above an agreed minimum, so standard rates range from around 17% to 27%. Reduced rates and exemptions also differ by country and product category.
Editorial

Author & reviewer

CF
Written by
CalculatorSearch Finance Team
Evidence-based finance & tax content, updated regularly. Reading time: ~12 min.
CA
Reviewed by
Chartered Accountant (CA) reviewer
Reviewed for accuracy. Last updated 2026. Replace with your named CA/tax adviser for full financial E-E-A-T.

Sources & references

HM Revenue & Customs (UK)
UK VAT rates, registration thresholds, and guidance.
UAE Federal Tax Authority
UAE VAT law, rates, and zero-rated/exempt supplies.
European Commission — Taxation & Customs
EU VAT rules, rates database, and OSS scheme.
Australian Taxation Office
GST rate and registration rules.
Canada Revenue Agency
GST/HST rates by province.
Official finance ministries
Country-specific standard and reduced VAT/GST rates.
Financial disclaimer. This VAT Calculator provides estimates based on the VAT rate you select. Tax rules, exemptions, and filing requirements vary by country and may change over time. Always verify applicable VAT regulations with your local tax authority or a qualified tax professional before making financial or compliance decisions.