🧾 VAT Calculator – Add or Remove VAT
Use this free VAT calculator to add VAT to a net price or remove VAT from a VAT-inclusive total.
Enter an amount, select Add VAT or Remove VAT, and provide the applicable rate. The calculator instantly displays the net price, VAT amount, and gross total.
The same percentage formula works with different currencies. Keep the input and results in the same currency throughout the calculation.
🧮 VAT and Reverse VAT Calculator
Choose whether to add VAT to a net price or extract VAT from a gross total.
Enter a rate from 0% to 100% that applies to the specific product, service, location, and transaction.
Net Price
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VAT Amount
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Gross Price
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Financial disclaimer: This calculator is for informational purposes only and does not provide financial, tax, legal, loan, or investment advice. Actual results may vary depending on lender terms, tax rules, fees, deductions, and personal circumstances.
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📘 How the VAT Calculator Works
➕ Add VAT to a Net Price
Use Add VAT when you know the price excluding VAT and want to calculate the VAT amount and final VAT-inclusive price.
➖ Remove VAT from a Gross Price
Use Remove VAT when you know the total including VAT and want to work backwards to the original net price and the VAT portion included.
🎯 When to Use This Calculator
- 🛒 Check a VAT-inclusive shopping price
- 🧾 Verify invoice or receipt totals
- 💼 Prepare prices and quotations
- 📊 Separate VAT from a gross payment
- 🌍 Estimate VAT using an applicable rate
- 🧮 Compare different VAT percentages
🧮 VAT Calculation Formulas
➕ Adding VAT
VAT Amount = Net Price × (VAT Rate ÷ 100)
Gross Price = Net Price + VAT Amount
Gross Price = Net Price × (1 + VAT Rate ÷ 100)
➖ Removing VAT
Net Price = Gross Price ÷ (1 + VAT Rate ÷ 100)
VAT Amount = Gross Price − Net Price
VAT Amount = Gross Price × VAT Rate ÷ (100 + VAT Rate)
💡 Example: Add and remove 20% VAT
Adding 20% VAT to a net price of 100 produces a VAT amount of 20.00 and a gross price of 120.00.
Removing 20% VAT from a gross price of 120 produces a net price of 100.00 and an included VAT amount of 20.00.
⚠️ Common VAT Calculation Mistake
Do not remove 20% VAT by subtracting 20% from the gross price. VAT was calculated from the original net price, not from the VAT-inclusive total.
For example, subtracting 20% from 120 produces 96, which is incorrect. Divide 120 by 1.20 to recover the correct net price of 100.
📚 Understanding Net, VAT and Gross Amounts
💰 Net Price
The amount before VAT is added. It may also be called the VAT-exclusive price, pre-tax price, or amount excluding VAT.
📊 VAT Amount
The tax amount calculated from the applicable percentage and taxable net price.
🧾 Gross Price
The final amount after VAT is added. It may also be called the VAT-inclusive price or total after VAT.
🌍 Using the VAT Calculator in Different Countries
VAT rates and rules vary by country. Some jurisdictions use terms such as VAT, GST, IVA, TVA, or MwSt. Although the names differ, the basic percentage calculation may be similar.
Enter the rate that legally applies to the transaction. Do not assume that a country’s standard rate applies to every product or service.
Supplies may be standard-rated, reduced-rated, zero-rated, exempt, or outside the scope of VAT. Customer location, seller registration, product type, transaction date, and cross-border rules can affect the correct tax treatment.
⚠️ Important Accuracy Note
This calculator applies the standard VAT formulas to the amount and rate entered. It does not determine whether VAT applies or which rate is legally correct.
It also does not determine reclaim eligibility, reverse-charge treatment, invoice compliance, or filing requirements. Use the result as a mathematical estimate or checking tool and consult an official authority or qualified adviser when necessary.
📚 Method, Sources, and Review
Method: Add VAT by multiplying the net amount by the entered VAT rate. Remove VAT by dividing the gross amount by one plus the decimal VAT rate. Calculations retain JavaScript numeric precision without currency rounding until display formatting.
Calculation version: VAT Calculator V3
Last reviewed: August 15, 2026
Method reviewed against: GOV.UK VAT calculation guidance
Maintained by: FigureNorth Editorial Team
Review status: Formula and educational content reviewed; the legally applicable rate is not determined.
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❓ FAQ
🧾 What is Value Added Tax?
Value Added Tax, commonly called VAT, is a consumption tax applied to eligible goods and services. VAT is generally collected at multiple stages of production and distribution, while the final consumer usually bears the cost.
➕ How do I add VAT to a price?
Multiply the net price by the VAT rate written as a decimal to calculate the VAT amount. Then add the VAT amount to the net price. For example, adding 20% VAT to 50 produces 10 in VAT and a gross price of 60.
➖ How do I remove VAT from a total price?
Divide the VAT-inclusive total by one plus the VAT rate written as a decimal. For example, removing 20% VAT from 60 requires dividing 60 by 1.20. The net price is 50 and the included VAT amount is 10.
⚠️ Why can’t I simply subtract the VAT percentage?
The VAT percentage is applied to the original net price, not the VAT-inclusive gross total. Subtracting the same percentage from the gross price uses a different base amount and produces the wrong result.
🔄 What is a reverse VAT calculator?
A reverse VAT calculator works backwards from a gross or VAT-inclusive amount. It separates the entered total into the original net price and the VAT amount included in that total.
📊 What is the difference between net and gross price?
The net price excludes VAT. The gross price includes VAT. The relationship is: Net Price + VAT Amount = Gross Price.
🌍 Can I use any VAT rate?
The calculator supports user-entered rates from 0% to 100%. Enter the percentage that applies to the transaction. Make sure the rate is appropriate for the country, product, service, customer, and transaction date. The calculator does not select or verify the legally applicable rate.
💼 Can I use this VAT calculator for invoices?
The calculator can help estimate or check the net amount, VAT amount, and gross total on an invoice. It does not create a legally compliant VAT invoice or determine the correct tax treatment.
🔍 Why is the calculator result different from my invoice?
Differences can result from line-by-line rounding, invoice-level rounding, multiple VAT rates, discounts, shipping charges, exempt items, zero-rated items, or currency conversion.
🛒 Is VAT the same as sales tax?
Not exactly. VAT is generally collected at multiple stages of the supply chain, while retail sales tax is usually collected from the final customer at the point of sale. Their reporting and compliance rules are different.