ToolnozaAdd VAT to a net price
VAT amount = net price × rate. Gross price = net price × (1 + rate). Enter the rate as a decimal in the formula: 20% becomes 0.20. At a hypothetical 20% rate, a net price of 100 gives 20 VAT and a gross total of 120. This rate is only an arithmetic example.
Remove VAT from a gross price
To recover the net price from a VAT-inclusive total, divide: net = gross ÷ (1 + rate). VAT included = gross − net. At a hypothetical 20% rate, 120 ÷ 1.20 = 100 net and 20 VAT. Do not subtract 20% of 120; that gives 96, not 100.
Enter the rate and transaction correctly
VAT rates, reduced or zero rates, exemptions and place-of-supply rules depend on jurisdiction, product, customer and transaction date. Use the applicable rate confirmed by an official tax authority or qualified adviser. The calculator applies the number entered; it does not decide whether VAT is due or which rate applies.
Rounding and invoice checks
Invoice systems may round per line or on the invoice total, so a few cents can differ when tax is calculated on several items. Follow the rules and accounting method that apply to the document. Check whether the displayed price is VAT-inclusive or VAT-exclusive before comparing offers.
Use the VAT calculator
- Choose whether the amount entered is net or VAT-inclusive.
- Enter the amount and the applicable rate as a percentage.
- Check the net amount, tax and gross total against the invoice and local rules.
This tool performs arithmetic only. It is not tax advice, a VAT registration check or an invoice compliance review.