Finance Tools

VAT Calculator

Calculate VAT (Value Added Tax) - add or remove VAT from prices. Supports all VAT rates worldwide including UK 20%, EU rates, and custom percentages.

Use VAT Calculator to get instant results without uploads or sign-ups. Everything runs securely in your browser for fast, reliable output.

Your results will appear here.

Ready to run.

About this tool

VAT (Value Added Tax) is a consumption tax added to goods and services. Different countries have different VAT rates: UK 20%, Germany 19%, France 20%, Spain 21%, etc.

Adding VAT: Multiply price by (1 + VAT rate). Removing VAT: Divide price by (1 + VAT rate). Common mistake: Don't just add/subtract the percentage - use proper formulas for accuracy.

Usage examples

Add UK VAT

Calculate final price

£100 + 20% VAT = £120 (VAT amount: £20)

Remove VAT

Get net price from gross

£120 with 20% VAT → Net: £100, VAT: £20

EU VAT Comparison

Same product, different countries

€100 + Germany 19% = €119, France 20% = €120, Luxembourg 17% = €117

How to use

  1. Enter the "Amount" (price).
  2. Select "VAT Rate" (UK 20%, EU rates, or custom).
  3. Choose "Add VAT" or "Remove VAT".
  4. Click "Calculate" to see price with/without VAT.

Benefits

  • Add or remove VAT
  • All country VAT rates
  • Shows VAT breakdown
  • Net, gross, and VAT amounts
  • Invoice-ready calculations
  • Multiple currencies

FAQs

How do you calculate VAT?

Add VAT: Multiply price by (1 + VAT%). Example: £100 × 1.20 = £120. Remove VAT: Divide by (1 + VAT%). Example: £120 ÷ 1.20 = £100. To get just VAT amount: Final Price - Original Price. Common mistake: Don't multiply by 0.20 and subtract - that's wrong math.

What is the difference between net, gross, and VAT amount?

Net = price before VAT (what seller receives). Gross = price after VAT (what customer pays). VAT amount = the tax itself (goes to government). Example: Net £100 + VAT £20 = Gross £120. Always specify if your prices are net or gross to avoid confusion.

What are common VAT rates in Europe?

UK: 20% (5% reduced, 0% zero-rated). Germany: 19% (7% reduced). France: 20% (5.5%/10% reduced). Spain: 21% (10%/4% reduced). Italy: 22% (5%/10% reduced). Luxembourg: 17% (lowest in EU). Hungary: 27% (highest). Rates change - verify current rates for business use.

How do I remove VAT from a price?

Divide the gross price by (1 + VAT rate). Example: £150 with 20% VAT → £150 ÷ 1.20 = £125 net. Common mistake: subtracting 20% (£150 × 0.80 = £120) is WRONG. Always divide by 1.20, not multiply by 0.80. VAT formula is inverse operation.

Do I charge VAT on international sales?

Complex - depends on: your location, customer location, customer type (business/consumer), and product type. Generally: B2B sales to EU businesses - no VAT (reverse charge). B2C sales - use customer's country VAT rate (if registered there). Non-EU exports - usually zero-rated. Consult tax professional for compliance.

What is VAT registration threshold?

UK: £85,000 annual turnover (must register if exceeded). Germany: €22,000. France: €85,800 (services) / €176,200 (goods). Below threshold = voluntary registration allowed. Once registered, must charge VAT on all taxable sales. Thresholds change annually - check HMRC or local tax authority.

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