VAT Calculator
Type the VAT or sales-tax rate that applies to you, then either add the tax to a price excluding tax or take it out of a price that includes tax.
Runs in your browser. Your files are never uploaded.
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How to use VAT Calculator
- Choose Add VAT or Remove VAT.
- Enter the amount: net if you are adding tax, gross if you are removing it.
- Enter the VAT or sales-tax rate that applies to you.
- Read the net amount, the tax amount and the gross amount.
What VAT and sales tax are
Value added tax (VAT) is a consumption tax charged at each stage of a supply chain, with businesses reclaiming the tax they pay on their inputs so that the final consumer bears the cost. Sales tax is similar for the customer but is normally charged only at the final sale. Many countries use one or the other, with rates that vary by place, product and sometimes customer type.
Because rates, exemptions and reduced-rate categories differ and change, this calculator does not include any built-in rates. You type the rate that applies to your situation, and the tool does the arithmetic correctly in both directions.
Formulas and worked example
Adding tax: gross = net × (1 + r), tax = gross − net. Removing tax: net = gross ÷ (1 + r), tax = gross − net. Here r is the rate as a decimal, so 20 percent is 0.20.
Example at a 20 percent rate. Adding: net 100, tax 20, gross 120. Removing: gross 120, net 120 ÷ 1.2 = 100, tax 20. A common mistake is taking 20 percent off 120, which gives 96 and is wrong, because the tax was 20 percent of the net price, not of the gross price.
Tips and limits
When you price for customers, decide whether displayed prices include tax and use the same convention everywhere. Invoices usually list the net price, the tax and the total separately.
- Check the rate with your tax authority; rates and rules change.
- Rounding rules vary: some places round per line and others on the invoice total.
- Zero-rated and exempt goods are different things; this tool only applies the rate you give it.
- It does not handle tax-inclusive discounts or multiple rates on one invoice.
- This is an estimate and not tax advice. Your numbers stay in your browser.
Why use this vat calculator tool
- Add or remove. Works from a net price or a tax-inclusive price.
- Any rate. You enter the rate, so it works for any country or tax type.
- Net, tax and gross. All three amounts are shown together.
- Private. Nothing leaves your browser.
Frequently asked questions
How do I add VAT to a price?
Multiply the net price by (1 + rate ÷ 100). At a 20 percent rate, a net price of 100 becomes 100 × 1.2 = 120, so the VAT is 20.
How do I remove VAT from a price?
Divide the gross price by (1 + rate ÷ 100). A gross price of 120 at 20 percent gives 120 ÷ 1.2 = 100 net. Do not simply subtract 20 percent of 120, which would give the wrong answer.
Does this work for Indian GST?
The arithmetic is the same, but India’s GST has its own calculator with the CGST, SGST and IGST split. Use the GST calculator for that.
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