VAT Percentage
Calculator
Add VAT to a net price, remove VAT from a gross price, or extract the exact VAT rate from two amounts. Fast, accurate calculations with instant visual breakdown bars.
Start CalculatingVAT Percentage Calculators
Three specialized VAT tools with real-time interactive visual feedback.
What is VAT Percentage Calculator?
Why this tool exists, what it is used for, and how Value Added Tax works.
The VAT Percentage Calculator exists to eliminate guesswork and accounting errors when adding Value Added Tax (VAT) to net prices or extracting VAT from gross invoice totals.
This tool is used by small business owners, freelancers, online shoppers, accountants, and finance teams across the UK, EU, and global markets to quickly compute gross totals (inc-VAT), net amounts (ex-VAT), and exact VAT tax portions across standard (e.g. 20%), reduced, or custom VAT rates.
VAT (Value Added Tax) is a consumption tax assessed on the value added to goods and services. The total price paid by a consumer is the Gross Price, which includes the original Net Price plus the VAT Amount.
Removing VAT requires dividing by (1 + Rate), NOT multiplying by the rate. For example, dividing £120 gross by 1.20 yields the true net price of £100 with £20 VAT.
VAT Breakdown Visual
Example: £120 item with 20% VAT
VAT Percentage Calculator Formula
The essential mathematical equations used to add VAT, remove VAT, and find VAT rates.
Add VAT (Net → Gross)
Multiply the net price by 1 + VAT decimal. Net £100 at 20% VAT: £100 × 1.20 = £120 gross.
Remove VAT (Gross → Net)
Divide gross price by 1 + VAT decimal. Gross £120 at 20% VAT: £120 ÷ 1.20 = £100 net. (VAT = £20).
Find VAT Rate
Subtract net from gross, divide by net, and multiply by 100. (£120−£100)÷£100 × 100 = 20% VAT rate.
VAT Calculator FAQs
Answers to common questions about VAT.
How do I add VAT to a price?
Multiply the net price by (1 + VAT rate ÷ 100). For 20% VAT: Net × 1.20. So £85 + 20% VAT = £85 × 1.20 = £102. The VAT amount is £102 − £85 = £17.
How do I remove VAT from a price?
Divide the gross (VAT-inclusive) price by (1 + VAT rate ÷ 100). For 20% VAT: Gross ÷ 1.20. So £120 ÷ 1.20 = £100 net. The VAT is £20. Do NOT multiply by 20% — that gives the wrong answer (£24, not £20).
What is the difference between net and gross price?
Net price (also called "ex-VAT" or "excluding VAT") is the price before tax is added. Gross price (also "inc. VAT" or "including VAT") is the total price the consumer pays. Gross = Net + VAT Amount.
Explore Our Percentage Calculators
Six specialized tools — each built for a specific use case. Pick the one that fits your question.