VAT Calculator

By Calxy · Calculation methodology

Enter a price and the applicable VAT rate to add VAT to a net price or recover the net price from a VAT-inclusive amount.

Printed from Calxy · https://www.calxy.net/financial/vat-calculator

Price including VAT120.00 currency units
currency units

0 – 1000000000000

%

Enter the rate that applies to your transaction. 20% is an example, not a worldwide default.

Price including VAT

120.00 currency units

  • Net price100.00
  • VAT amount20.00
  • Gross price120.00

All amounts use the same currency. Results round to two decimal places for display; invoice line rounding and jurisdiction-specific rules can differ.

How this was calculated

100 × (1 + 20 ÷ 100) = 120 including VAT.

VAT = 120 − 100 = 20.

How to add VAT

For a net price N and a percentage rate r, the VAT amount is N × r / 100. The gross price is N × (1 + r / 100). The net amount is the price before this tax is added.

Example: a net price of 100 at an entered rate of 20% produces 20 in VAT and a gross price of 120. The calculator uses currency-neutral amounts so the same arithmetic works in your chosen currency.

How to remove VAT correctly

To recover a net price from a gross price G, divide: N = G / (1 + r / 100). Then subtract the net amount from the gross amount to find the VAT.

For 120 including VAT at 20%, the net amount is 120 / 1.20 = 100 and VAT is 20. Subtracting 20% of 120 would give 96, which is incorrect because the rate applies to the net amount.

Rates and rounding

The entered rate is your assumption. This tool does not look up rates, determine exemptions, or decide how a transaction should be treated. Confirm the rate and treatment that apply to the goods, services and location.

At a zero rate the net and gross amounts are equal. Calculations keep full precision internally and display amounts to two decimal places; invoice systems may round by line or by invoice, creating small differences.

How to use the VAT Calculator

Enter a price and the applicable VAT rate to add VAT to a net price or recover the net price from a VAT-inclusive amount.

  1. Choose add or remove VAT

    Select whether the price you have already includes VAT.

  2. Enter the amount and applicable rate

    Use the price and the VAT percentage for your transaction.

  3. Read the net, tax and gross amounts

    Check the breakdown and working, then copy or print the result.

References

Frequently asked questions

Can I calculate VAT backwards?

Yes. Choose Price including VAT, enter the gross amount and rate, and the calculator divides by one plus the rate as a decimal.

Does 20% apply everywhere?

No. The initial 20% is only an editable example. Enter the rate applicable to your transaction.

Last updated . Results are estimates for informational purposes only.