E-commerce Calculators

VAT Calculator

Add value added tax (VAT) to a net price, or work out the VAT inside a VAT-inclusive price. Enter the rate that applies to your product and country.

Calculation
$
%
Price including VAT$300.00
VAT
$50.00
Net (excl. VAT)
$250.00
Gross (incl. VAT)
$300.00
Step-by-step working
  1. VAT = $250.00 × 20% = $50.00
  2. Gross = $250.00 + $50.00 = $300.00

VAT rates depend on the country and the type of goods or service, and reduced rates apply to some items. Check the current rate with your tax authority.

How to use the VAT Calculator

  1. Choose whether to add or remove VAT.
  2. Enter the amount and the VAT rate.
  3. Press Calculate.

Formula

Add VAT: gross = net × (1 + rate)

Remove VAT: net = gross ÷ (1 + rate); VAT = gross − net

Examples

  • 250 net at 20%: VAT 50, gross 300.
  • 300 including 20% VAT: net 250, VAT 50. Taking 20% off 300 (60) would be wrong.

Frequently asked questions

Why can’t I just take the rate off the gross price?

Because VAT was added to the smaller net price. Divide the gross by (1 + rate) to reverse it.

Is VAT the same as GST or sales tax?

They are similar consumption taxes. Use the GST Calculator for India’s CGST/SGST/IGST split or the Sales Tax Calculator for US-style sales tax.