📈 Business

VAT Calculator

Add or remove VAT/GST from any amount at any rate.

$
%

Results

Gross (incl. VAT)
120.00
Net (excl. VAT)
100.00
VAT amount
20.00

📊 VAT Calculator chart

Proportional breakdown of the result.

What is the VAT Calculator?

Add or remove VAT/GST from any amount at any rate. VAT and GST can be added to a net price or removed from a gross price, and this tool does either at any rate.

VAT Calculator – free online business tool illustration
VAT Calculator — free, exact and private.

How to use the VAT Calculator

  1. Enter your amount, your vat rate, your mode.
  2. Results update automatically as you type; you can also press Calculate.
  3. Read the output: gross (incl. vat), net (excl. vat), vat amount.
  4. Use the 📊 chart to see the result visually, then copy or share it.

Formula and method

Gross = Net × (1 + rate) Net = Gross ÷ (1 + rate)

Worked example

With amount = $100, vat rate = 20 %, mode = Add VAT (net → gross), the VAT Calculator returns gross (incl. vat): 120.00; net (excl. vat): 100.00; vat amount: 20.00.

Where the VAT Calculator helps in real life

You run a small online store selling to the UK and need to show prices including 20% VAT. Adding VAT to your net prices gives the customer-facing figure.

You have a receipt showing a total including 10% GST and need the net amount for your accounts. Removing the tax gives the exact pre-tax figure.

Common mistakes to avoid

  • Removing VAT by subtracting the rate percentage from the gross total.
  • Using the wrong rate for reduced-rate goods.
  • Rounding each line and then the total, causing small differences.
  • Confusing VAT with US sales tax, which works differently.

💡 Practical tip: Removing 20% VAT from £120 gives £100, not £96 — divide by 1.2 instead of taking 20% off.

Illustration: a small-business office desk with a laptop showing a sales chart
VAT Calculator in everyday work — illustration.

Tips for better results

  • To remove VAT, divide by (1 + rate) rather than subtracting the percentage.
  • Check the correct rate for the country and product category.
  • Keep both net and gross figures on invoices.

⚠️ Business results are estimates for planning. Consult an accountant for tax and reporting decisions.

Frequently asked questions

What does the VAT Calculator do?

Add or remove VAT/GST from any amount at any rate.

How is it calculated?

The VAT Calculator uses this method: Gross = Net × (1 + rate); Net = Gross ÷ (1 + rate).

Can you show an example?

With amount = $100, vat rate = 20 %, mode = Add VAT (net → gross), the VAT Calculator returns gross (incl. vat): 120.00; net (excl. vat): 100.00; vat amount: 20.00.

Is the VAT Calculator accurate?

It uses standard published formulas and is tested against known values, but results are estimates for guidance. Business results are estimates for planning. Consult an accountant for tax and reporting decisions.

Is this tool free and private?

Yes — the VAT Calculator is completely free with no sign-up, and it runs entirely in your browser, so the values you enter are never uploaded to our servers.

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