UK VAT Calculator
Add VAT to a price or calculate VAT included in a total.
Choose a VAT rate appropriate to your goods or services. Zero-rated and VAT-exempt supplies are not the same, and not every transaction is subject to UK VAT.
UK VAT Calculator – Calculate VAT on Goods and Services
Our UK VAT Calculator helps you calculate Value Added Tax (VAT) by adding VAT to a price or removing VAT from a VAT-inclusive total. Enter an amount, select the applicable VAT rate, and calculate the net price, VAT amount and gross price in seconds.
What Is VAT in the UK?
Value Added Tax (VAT) is a consumption tax charged on many goods and services in the United Kingdom. VAT-registered businesses generally charge VAT on taxable sales and account for VAT through their VAT returns, subject to applicable rules.
The VAT rate depends on the type of goods or services being supplied. Some supplies are standard-rated, reduced-rated or zero-rated, while others may be exempt or outside the scope of VAT.
UK VAT Rates
The calculator includes three common VAT rate options and a custom rate option.
| VAT Rate | Category | Example Calculation on £100 |
|---|---|---|
| 20% | Standard rate | £20 VAT |
| 5% | Reduced rate | £5 VAT |
| 0% | Zero rate | £0 VAT |
| Custom | User-entered rate | Depends on selected rate |
These are calculator options, not a complete list of UK VAT treatments. The correct VAT treatment depends on the goods or services and the applicable rules.
How to Add VAT to a Price
Use the Add VAT option when you know the price before VAT and want to calculate the VAT amount and final price.
Net price: £100
VAT: £100 × 20% = £20
Final price including VAT: £120
- Select Add VAT.
- Enter the price excluding VAT.
- Choose 20%, 5%, 0% or a custom rate.
- Click Calculate VAT to view the result.
How to Remove VAT from a Price
Use the Remove VAT option when the amount already includes VAT and you want to identify the original price and VAT component.
Gross price: £120
Net price: £120 ÷ 1.20 = £100
VAT amount: £120 − £100 = £20
Price excluding VAT: £100
- Select Remove VAT.
- Enter the VAT-inclusive price.
- Select the VAT rate included in the price.
- Click Calculate VAT to see the net price and VAT amount.
Who Can Use a UK VAT Calculator?
A VAT calculator can be useful for:
- Business owners: Estimate VAT on taxable sales and prices.
- Freelancers: Understand VAT-inclusive and VAT-exclusive charges.
- Retailers: Calculate the VAT component of selling prices.
- Customers: Understand how much VAT is included in a purchase.
- Accountants: Perform quick VAT calculations for general estimates.
Important Difference Between Zero-Rated and VAT-Exempt Supplies
Zero-rated supplies are taxable supplies charged at 0% VAT. VAT-exempt supplies are treated differently under VAT rules. This distinction can affect a business's ability to recover input VAT. Selecting 0% in this calculator performs a mathematical calculation only; it does not determine whether a supply qualifies for zero-rating or exemption.
Benefits of Using Our VAT Calculator
- Calculate VAT by adding it to a net price.
- Remove VAT from a VAT-inclusive amount.
- Choose standard, reduced, zero or custom rates.
- View the net price, VAT amount and gross price separately.
- Get results in pounds sterling (£).
- Use the calculator on desktop, tablet or mobile devices.
Frequently Asked Questions About UK VAT
What is the standard VAT rate in the UK?
The standard UK VAT rate is 20%. Some goods and services may qualify for reduced rates, zero-rating or exemption, depending on the applicable VAT rules.
How do I calculate 20% VAT on £100?
Multiply £100 by 20% to calculate £20 VAT. Add £20 to the original £100 to get a total price of £120.
How do I remove 20% VAT from a price?
Divide the VAT-inclusive amount by 1.20 to calculate the net price. For example, £120 divided by 1.20 equals £100, meaning the VAT component is £20.
What is the difference between net and gross price?
The net price is the amount before VAT. The gross price is the amount after VAT has been added.
Can I calculate VAT at 5% or 0%?
Yes. Select the 5% reduced rate or 0% zero rate from the calculator. You can also enter a custom rate for a mathematical estimate.
Is zero-rated VAT the same as VAT exempt?
No. Zero-rated supplies are taxable at 0%, whereas exempt supplies are outside the taxable VAT categories. The distinction can affect VAT recovery and reporting.
Does this calculator determine whether my product is VAT taxable?
No. It calculates VAT using the rate you select. You must determine the correct VAT treatment for your goods or services using the relevant HMRC guidance.
Is this UK VAT calculator free to use?
Yes. You can use this calculator to perform general VAT calculations without manually working through the formulas.
VAT Calculation Disclaimer
This UK VAT Calculator provides mathematical estimates based on the amount and VAT rate entered. It does not determine the correct VAT treatment of a transaction, confirm VAT registration obligations or replace professional accounting advice. Always check the latest HMRC guidance for the applicable VAT rules.