UK VAT calculator
Add VAT to a price, or work out how much VAT is inside a price that already includes it.
- Net (excluding VAT)
- £100.00
- VAT at 20%
- £20.00
- Gross (including VAT)
- £120.00
How to work out VAT
To add VAT, multiply the net price by 1 plus the rate. At 20%, a £100 net price becomes £100 × 1.2 = £120.
To remove VAT, divide the gross price by 1 plus the rate. At 20%, a £120 gross price is £120 ÷ 1.2 = £100 net, so the VAT is £20.
The most common VAT mistake
Taking 20% off a gross price does not remove the VAT. 20% of £120 is £24, which would leave £96, but the correct net price is £100.
The VAT inside a gross price at 20% is one sixth of it, because £20 is one sixth of £120.
UK VAT rates
The UK has a standard rate of 20%, a reduced rate of 5% and a zero rate. Which one applies depends on what you sell, and some goods and services are exempt.
HMRC publishes the current rates and the goods and services each one covers on GOV.UK. Check there, or ask your accountant, if you are unsure about a product.
Source: VAT rates on GOV.UK.
This tool gives general guidance only and isn't tax or accounting advice.
Doing this every day?
OpesFlux works out VAT on every sale and invoice, and prepares your VAT return figures for your accountant. See the features.
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- Invoice generator: Fill in a UK invoice with VAT and save it as a PDF, right in your browser.
Questions people ask
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