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VAT calculator
Add VAT to a net price, or strip VAT out of a gross price. Enter an amount and pick a rate.
£
Gross (inc. VAT)
£120.00
Net (ex. VAT) £100.00
VAT amount £20.00
Working:
How VAT works, briefly
VAT is added on top of a net price. At the 20% standard rate, a £100 net item becomes £120 gross, with £20 of VAT. To remove VAT from a £120 gross price you divide by 1.2, not subtract 20%, which is why a calculator helps.
You only charge VAT once your taxable turnover passes the UK registration threshold. Thresholds and rates change, so always confirm the current figures on GOV.UK. Learn the basics in our VAT glossary entry.
This tool is for guidance only and not tax advice. Check GOV.UK or an accountant for your situation.