Add or remove VAT from any price instantly. Works for UK, EU, and any custom VAT rate.
UK VAT rates
20% — Standard rate (most goods and services)
5% — Reduced rate (energy, children's car seats)
0% — Zero rated (food, books, children's clothes)
To add 20% VAT to a net price, multiply by 1.20. For 5% VAT, multiply by 1.05. This calculator does the maths instantly — just enter your net amount and select the rate.
To extract VAT from a VAT-inclusive price at 20%, divide by 1.20 (not by 0.80). Dividing by 0.80 gives the wrong answer. Switch to 'Remove VAT' mode and the calculator handles it correctly.
UK businesses must register for VAT once their annual taxable turnover exceeds £90,000 (2024/25 threshold). Voluntary registration is possible below this — useful if your customers are VAT-registered and can reclaim input VAT.
Zero-rated goods (food, books, children's clothes) are subject to VAT at 0%, so VAT is nil but the sale is still 'VATable'. Exempt supplies (medical, financial services) fall outside the VAT system entirely — a crucial distinction for partial exemption rules.
Since January 2021, UK exports to the EU are generally zero-rated. However, EU VAT may apply on the buyer's side. Always check the country-specific rates and import thresholds — this tool supports custom rates for any country.
VAT-registered businesses must keep VAT records for at least 6 years. Making Tax Digital (MTD) for VAT requires most registered businesses to keep digital records and submit returns via compatible software.
Instantly add or remove VAT from any price. Supports UK standard (20%), reduced (5%), zero (0%), EU rates, and custom rates for any country.
Adding 20% VAT to £500
VAT: £100.00 · Gross: £600.00
Removing 20% VAT from £120
Net: £100.00 · VAT: £20.00
Adding 5% VAT (reduced rate) to £200
VAT: £10.00 · Gross: £210.00
Removing 23% Irish VAT from €615
Net: €500.00 · VAT: €115.00
Adding VAT manually
Gross price: £480.00
Removing VAT manually (back-calculation)
Net price: £400.00
VAT (Value Added Tax) was introduced in the UK on 1 April 1973 at a single rate of 10%, replacing the old Purchase Tax. The standard rate has changed several times — it was briefly cut to 15% in 2008 to stimulate the economy during the financial crisis, then raised to 17.5% in 2010 and finally to 20% in January 2011, where it has remained ever since.
Enter the net (ex-VAT) price, choose your VAT rate — 20% for UK standard — and select 'Add VAT'. The calculator instantly shows the VAT amount and the gross price including VAT.
The UK standard VAT rate is 20%. A reduced rate of 5% applies to items like home energy and children's car seats. Food, books, and children's clothing are zero-rated at 0%.
Switch to 'Remove VAT' mode, enter the gross (VAT-inclusive) price, and select your rate. The calculator splits out the net price and VAT amount. For 20% VAT, the net is simply the gross divided by 1.2.
UK businesses must register for VAT once annual taxable turnover exceeds £90,000. Below that threshold, registration is optional — but registering voluntarily lets you reclaim VAT on business purchases.