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VAT Calculator UK

This calculator handles the three things people most often need a UK VAT calculator for: adding VAT to a net price, removing VAT from a gross (VAT-inclusive) price, or working out exactly how much VAT is included in a price you've already paid. Choose a direction, enter an amount, pick a rate (the 20% standard rate, the 5% reduced rate, the 0% zero rate, or type in a custom rate), and the calculator shows the net amount, the VAT amount and the gross amount together, so you never have to run the calculation twice to see all three figures.

UK VAT rates explained

The United Kingdom currently has three VAT rates. The standard rate is 20% and applies to most goods and services sold in the UK, this is the rate the calculator defaults to. The reduced rate is 5% and applies to a specific list of items, including domestic fuel and power, children's car seats, and some energy-saving materials installed in homes. The zero rate is 0%, meaning VAT is technically chargeable but at nil, and applies to most food, books and newspapers, children's clothing, and public transport. A small number of items are entirely exempt from VAT (insurance, some financial services, and some education and health services), which is a separate legal category from zero-rated, though the practical calculator result is the same: no VAT is added.

The 20% standard rate has been in place since 4 January 2011, when it rose from 17.5%. Before that it had been 15% for a temporary period during 2008-2009, and 17.5% for most of the years before that. If you're working with historical invoices from before 2011, remember the rate that applied at the time may be different from today's 20%, that's exactly why this calculator includes a custom rate option rather than only offering today's three statutory rates.

How to add VAT to a price

To add VAT to a net (VAT-exclusive) price, multiply the net amount by 1 + (VAT rate ÷ 100). At the standard 20% rate, that means multiplying by 1.20. For example, a net price of £500 becomes £500 × 1.20 = £600 gross, meaning £100 of that £600 is VAT. Select "Add VAT" above, enter your net amount, choose the rate, and the calculator does this multiplication instantly while also showing the VAT amount on its own, so you can see exactly how much of the total is tax rather than just the final figure.

At the 5% reduced rate the same £500 net price becomes £500 × 1.05 = £525 gross (£25 VAT). At the 0% zero rate, the gross price equals the net price exactly, since no VAT is added at all.

See how to calculate VAT by hand for the full step-by-step method.

How to remove VAT from a price

To remove VAT from a gross (VAT-inclusive) price and find the underlying net figure, divide the gross amount by 1 + (VAT rate ÷ 100), rather than simply subtracting 20%, which is a common mistake. At the standard 20% rate, that means dividing by 1.20. For example, a gross price of £600 becomes £600 ÷ 1.20 = £500 net. Subtracting 20% of £600 (which would give £480) is the wrong method and a genuinely common error, because 20% of the gross price is not the same figure as the VAT amount that was originally added to the net price to reach that gross total.

Select "Remove VAT" above, enter the gross (total, VAT-included) amount you have, and the calculator handles the division correctly, showing the net figure, the VAT amount that was included, and the original gross amount all together.

The step-by-step guide also covers this direction in detail, including the most common mistake people make.

How to find the VAT included in a price you've already paid

Sometimes you don't need the net price itself, you just need to know how much of a price you've paid was VAT, for example when reconciling a receipt or claiming back expenses. This uses the same division as removing VAT (gross ÷ (1 + rate/100) to get the net figure), but the VAT amount, not the net figure, is the number you actually want front and centre. Select "Find VAT" above, enter the total (gross) amount, and the calculator highlights the VAT amount as the headline result, with the net and gross figures shown alongside it for reference.

For example, on a gross price of £120 at the standard 20% rate, the VAT included is £120 - (£120 ÷ 1.20) = £120 - £100 = £20.

Three worked examples, start to finish

Seeing a few complete examples side by side makes the three directions click faster than reading about them separately, so here are three, one for each mode.

Add VAT: a freelancer invoices a net fee of £1,000 for standard-rated work. Adding 20% VAT: £1,000 × 1.20 = £1,200 gross, with £200 of that being VAT charged to the client.
Remove VAT: a retailer's till receipt shows a gross total of £84 for a standard-rated item. Removing 20% VAT: £84 ÷ 1.20 = £70 net, meaning £14 of the £84 paid was VAT.
Find VAT (reduced rate): a household energy bill shows a gross total of £52.50, charged at the 5% reduced rate that applies to domestic fuel. The VAT included is £52.50 - (£52.50 ÷ 1.05) = £52.50 - £50.00 = £2.50.

Common VAT terms, in plain English

A quick glossary for the terms this calculator (and most UK invoices) use: Net price is the price before VAT is added, also called the price excluding VAT or ex-VAT price. Gross price is the total price after VAT is added, also called the price including VAT, inc-VAT price, or simply "the total." VAT-registered describes a business that charges VAT on its sales and can reclaim VAT on its purchases, generally required once taxable turnover passes the current VAT registration threshold. A business that isn't VAT-registered doesn't charge VAT at all, so there's nothing to add, remove or find on its invoices.

For the full breakdown of which rate applies to which goods and services, see the UK VAT rates reference page.

Who charges VAT, and when does a business need to register

Only VAT-registered businesses charge VAT on their sales, and can reclaim VAT on their own purchases. A UK business must register for VAT once its taxable turnover (total sales of standard, reduced and zero-rated goods and services, not counting exempt sales) passes the current VAT registration threshold in any rolling 12-month period, and can choose to register voluntarily even below that threshold, which some small businesses do so they can reclaim VAT on startup costs and equipment.

If you're a customer dealing with a business that isn't VAT-registered, there's no VAT to add, remove or find on their invoice at all, the price you see is simply the price, with nothing to calculate. If you're not sure whether a supplier is VAT-registered, their VAT registration number is normally printed on the invoice itself, usually a nine-digit number, sometimes with a two-letter country prefix like GB. An invoice with no VAT number and no VAT line generally means the seller isn't charging VAT, rather than that they've forgotten to add it.

VAT on invoices: what a compliant invoice should show

A VAT-registered business issuing a full VAT invoice is required to show, among other things, its VAT registration number, the net amount for each item, the VAT rate applied, and the VAT amount, usually broken out as a separate line rather than folded silently into a single total. This is exactly the same net/VAT/gross breakdown this calculator produces, which makes it useful for double-checking an invoice you've received: enter the net figure shown, select the rate the invoice claims to use, and confirm the VAT and gross figures on the invoice actually match what the maths produces.

Simplified VAT invoices, commonly used for smaller retail transactions under a set value, are allowed to show less detail, sometimes just a single VAT-inclusive total per rate rather than a itemised net/VAT/gross breakdown. In that case, the "Find VAT" mode above is the useful one: enter the total shown and the calculator works out exactly how much of it was VAT, without you needing the invoice to have broken it out for you.

Whichever direction you're working in, the same calculator handles it: no separate tools, no switching pages, just one control that changes what the amount you enter represents.

Frequently asked questions

What is the current UK VAT rate?

The UK standard VAT rate is 20%, in place since 4 January 2011. A 5% reduced rate applies to specific items like domestic fuel and power, and a 0% zero rate applies to most food, books, newspapers and children's clothing. Some items are VAT-exempt entirely, a separate legal category that also results in no VAT being charged.

How do I calculate 20% VAT on a price?

To add 20% VAT to a net price, multiply by 1.20 (net × 1.20 = gross). To remove 20% VAT from a gross price, divide by 1.20 (gross ÷ 1.20 = net), do not simply subtract 20%, since that gives the wrong answer. This calculator's "Add VAT" and "Remove VAT" modes do both calculations for you automatically.

Why can't I just subtract 20% to remove VAT from a price?

Because 20% of the gross (total) price is a different, larger number than the VAT that was originally added to the net price. For example, £600 gross at 20% VAT has a net price of £500 (since £500 × 1.20 = £600), but subtracting 20% of £600 gives £480, not £500. The correct method is to divide the gross price by 1.20, not subtract 20% from it.

What items are zero-rated or reduced-rate for VAT in the UK?

Zero-rated (0%) items include most food, books, newspapers, children's clothing and public transport fares. Reduced-rate (5%) items include domestic gas and electricity, children's car seats, and certain energy-saving home installations. Most other goods and services are standard-rated at 20%. This calculator lets you select whichever rate applies to your item.

What is the difference between net price and gross price?

The net price is the amount before VAT is added (also called the VAT-exclusive or ex-VAT price). The gross price is the total after VAT is added (also called the VAT-inclusive or inc-VAT price, or simply "the total"). This calculator always shows both figures together, along with the VAT amount itself, whichever direction you're calculating in.

Can I use this calculator for a VAT rate other than 20%, 5% or 0%?

Yes. Select "Custom rate" from the VAT rate dropdown and type in any rate from 0% to 100%. This is useful for historical UK rates (such as 17.5%, which applied before January 2011) or for checking figures against another country's VAT or sales tax rate.

Does this calculator store the amounts I enter?

Only in your own browser's localStorage, so the fields are pre-filled next time you visit, never on our servers. All the maths runs locally in your browser using JavaScript; your figures are never sent anywhere over the network. See the privacy policy for full details. See the privacy policy for full details.

How do I find out how much VAT is in a receipt total?

Select "Find VAT" above, enter the total (gross) amount shown on the receipt, and choose the VAT rate that applied. The calculator shows the exact VAT amount included in that total, along with the underlying net figure.