VAT Calculator

Add VAT to a net price or take it out of a VAT-inclusive price, using current standard rates for 25 countries or your own rate.

By the CalculateBright team · Updated · How we calculate

Calculate
Works in any currency
  

    How to use the VAT calculator

    1. Enter your numbers. Fill in calculate, amount, country / rate.
    2. Read your results. Results update instantly. The headline shows the gross price (incl. vat); the breakdown below show the details.

    How VAT is calculated

    Value-added tax (VAT) is a consumption tax charged as a percentage of the price. Prices quoted to consumers in the UK and EU usually include VAT (gross); business invoices often show the net price, the VAT amount and the gross total separately.

    The formulas

    Add VAT: VAT = Net × rate ÷ 100; Gross = Net × (1 + rate ÷ 100)
    Remove VAT: Net = Gross ÷ (1 + rate ÷ 100); VAT = Gross − Net

    A common mistake is to remove VAT by subtracting the rate from the gross price. At 20%, £120 gross is £100 net (£120 ÷ 1.20), not £96 (£120 − 20%). The VAT share of a gross price is rate ÷ (100 + rate), which is one-sixth (16.67%) at 20%.

    Standard VAT rates used

    The country list uses each country’s standard rate for 2026, such as 20% in the UK, 19% in Germany, 21% in Spain and 25.5% in Finland. Many countries also have reduced rates for food, books, medicine or hotels. Choose Custom rate to use one of those. Rates change; check the official source before filing a return.

    VAT vs. US sales tax

    The United States has no VAT. States and localities charge a retail sales tax instead, collected once at the final sale and usually added at the register rather than included in the shelf price. VAT is collected at every stage of production, with businesses reclaiming the VAT they paid on inputs.

    Worked example

    With these inputs: calculateAdd VAT (net → gross); amount100; country / rateUnited Kingdom – 20%.

    The calculator gives a gross price (incl. vat) of 120.00 (100.00 + 20% VAT of 20.00). Other results: net (excl. vat)100.00, vat amount20.00, gross (incl. vat)120.00, vat rate20%.

    What your results mean

    Net is the price before VAT, VAT is the tax amount, and gross is what the customer pays. Businesses registered for VAT usually charge VAT on their sales and reclaim the VAT they pay on purchases, so the net figures are what matter for their margins.

    Tips

    • To remove VAT, divide by (1 + rate). Don’t subtract the rate from the gross price.
    • Check whether a reduced or zero rate applies to your product before invoicing.
    • Round VAT per invoice line or per invoice, as your tax authority requires.

    Frequently asked questions

    What is the reverse VAT formula?

    Net = Gross ÷ (1 + rate ÷ 100). The VAT included in a gross price is Gross × rate ÷ (100 + rate).

    How do I add VAT to a price?

    Multiply the net price by (1 + rate). At 20%, £50 net × 1.20 = £60 gross, of which £10 is VAT.

    How do I remove VAT from a price?

    Divide the gross price by (1 + rate). At 20%, £60 ÷ 1.20 = £50 net. Don’t subtract 20% of the gross; that gives the wrong answer.

    What is the VAT rate in the UK?

    The UK standard rate is 20%. There is a 5% reduced rate (for example, home energy) and a 0% zero rate (for example, most food and children’s clothes).

    Which EU country has the highest VAT?

    Hungary, at a 27% standard rate. Luxembourg has the lowest standard rate in the EU at 17%.

    Does the US have VAT?

    No. The US uses state and local sales taxes instead. Use the sales tax calculator for US purchases.

    Can tourists get VAT refunded?

    Many countries offer VAT refunds to non-resident visitors on goods taken home, usually above a minimum spend and with paperwork stamped at customs. Rules vary by country.

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    Sources