Free vat calculator
Enter a net or gross price and a VAT rate — this VAT calculator adds or removes Value Added Tax instantly, showing the tax amount and the price with and without VAT, updated live, as you type.
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Results are estimates. Consult a professional.
How the VAT calculator works
Value Added Tax (VAT) is a multi-stage consumption tax levied at each point in the supply chain — from manufacturer to wholesaler to retailer — with each business charging VAT on its sales and reclaiming VAT on its purchases. Only the final consumer bears the full cost. This differs fundamentally from US sales tax, which is collected only once at the point of final sale. The calculator supports two common operations: adding VAT to a net (ex-VAT) price to get the gross price, and removing VAT from a gross (VAT-inclusive) price to recover the net amount.
Worked example: UK invoice at 20% standard rate
A UK VAT-registered contractor issues an invoice for £800 net of services. The UK standard VAT rate is 20%. A client receiving the invoice needs to know the gross (VAT-inclusive) amount. Separately, a consumer who paid £960 gross for a product wants to know the net cost and VAT element.
VAT rates by country (UK and EU)
EU member states must apply a standard VAT rate of at least 15%, and most sit between 20% and 27%. Reduced rates (typically 5–10%) apply to essential goods and services such as food, books, and public transport. The UK retained its own VAT system after Brexit, keeping the 20% standard rate, 5% reduced rate (domestic fuel and power, child car seats, certain home improvements), and 0% zero rate (most food, children's clothing, books).
| Country | Standard Rate | Reduced Rate(s) | Notes |
|---|---|---|---|
| UK | 20% | 5% / 0% | 0%: food, children's clothes, books |
| Germany | 19% | 7% | 7% on food, books, transport |
| France | 20% | 10% / 5.5% / 2.1% | 2.1% on some medicines |
| Italy | 22% | 10% / 5% / 4% | 4% on basic foodstuffs |
| Spain | 21% | 10% / 4% | 4% on basic necessities |
| Netherlands | 21% | 9% | 9% on food, books, medicines |
| Sweden | 25% | 12% / 6% | Highest standard rate in EU |
| Denmark | 25% | 0% | Few reduced categories |
| Hungary | 27% | 18% / 5% | Highest in EU |
| Ireland | 23% | 13.5% / 9% / 4.8% | Complex multi-rate system |
| Poland | 23% | 8% / 5% | 5% on basic food |
| Portugal | 23% | 13% / 6% | Azores/Madeira have lower rates |
Source: European Commission — VAT rates applied in EU member states (2024); HMRC GOV.UK VAT rates. Rates are subject to change; verify with the relevant tax authority before filing.
Tips for working with VAT
Whether you are a business managing VAT returns or a consumer trying to understand pricing, understanding the mechanics helps you avoid costly mistakes.
- Never multiply by the rate to remove VAT — To strip VAT from a gross price, divide by (1 + rate), not multiply. Multiplying a gross price by 20% gives a different (wrong) number. For 20% VAT: divide by 1.20, not multiply by 0.20.
- Know your zero-rate vs. exempt distinction — Zero-rated supplies (0% VAT) still count as taxable — a VAT-registered business can reclaim input VAT on costs related to zero-rated supplies. Exempt supplies (e.g., insurance, financial services, education) do not count as taxable turnover and input VAT cannot be recovered on exempt activities.
- Register before you hit the threshold — In the UK, VAT registration is mandatory once taxable turnover exceeds £90,000 in a rolling 12-month period (as of April 2024). Register early to avoid a late-registration penalty and unexpected back-payment of VAT.
- Keep valid VAT invoices to reclaim input tax — To reclaim VAT on business purchases, you must hold a valid VAT invoice showing the supplier's VAT registration number, the VAT amount, and the VAT rate. A receipt without this information is not sufficient for a VAT reclaim.
- Check the reverse charge for B2B cross-border services — When buying services from a VAT-registered business in another EU country (or a non-UK business post-Brexit), the reverse charge mechanism typically applies: you account for VAT as both supply and purchase on your own return, rather than the supplier charging it.
Accuracy and limitations
This calculator applies a single VAT rate to a single price. It does not handle mixed-rate supplies (e.g., a UK restaurant bill where food is zero-rated but alcohol is standard-rated), partial exemption calculations, the flat-rate scheme, the margin scheme for second-hand goods, or import VAT. VAT rules for digital services sold cross-border (the EU One Stop Shop / OSS scheme) are also outside the scope of this tool.
VAT rates and thresholds change through legislation, and reduced or zero-rate classifications for specific goods differ between countries and can change with each budget. The reference rates in this tool reflect 2024 published rates. Always confirm current rates with HMRC (UK), your national tax authority (EU), or a qualified tax adviser before submitting VAT returns or pricing products for sale.
VAT terms defined
About this VAT calculator
This calculator runs entirely in your browser — nothing you enter is sent to any server. It calculates VAT amounts for any rate using either the add-VAT or remove-VAT method, with reference rate data for UK and major EU countries as of 2024. It is designed for quick price checks and is not a substitute for professional VAT advice or VAT return preparation software.
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