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Add VAT to a net price or remove VAT from a gross price — at 20% or any rate — instantly, in your browser, with no signup. See the net, VAT and gross amounts straight away.
VAT in the UK is charged at a standard rate of 20%, with a reduced rate of 5% and a zero rate for certain goods and services. There are two calculations you usually need:
A common mistake when removing VAT is to subtract 20% of the gross price — that gives too much. Because the 20% was added to the smaller net figure, you have to divide by 1.2 instead.
This calculator is for working out VAT amounts. Whether you must charge VAT depends on your VAT registration status and what you sell — check HMRC or an accountant. It is not tax advice.
Multiply the net (VAT-exclusive) amount by the VAT rate to get the VAT, then add it on. At the standard UK rate of 20% you multiply by 0.20 — so £100 net becomes £20 VAT and £120 gross. A shortcut is to multiply the net amount by 1.2 to get the gross figure directly.
To work backwards from a VAT-inclusive (gross) price, divide by 1 plus the rate. At 20% you divide the gross amount by 1.2 to get the net amount, and the difference is the VAT. For example, £120 gross ÷ 1.2 = £100 net, so the VAT is £20. Do not simply take 20% off the gross price — that gives the wrong answer.
The standard UK VAT rate is 20%. A reduced rate of 5% applies to some goods and services (such as domestic energy and children's car seats), and a 0% zero rate applies to others (such as most food and children's clothing). This calculator defaults to 20% but you can enter any rate. Always check HMRC for the correct rate for what you are selling.
You must register for and charge VAT once your VAT-taxable turnover goes over the HMRC registration threshold, and you can register voluntarily below it. If you are not VAT registered you should not add VAT to your invoices. This tool helps with the maths, but it is not tax advice — check your obligations with HMRC or an accountant.
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