VAT Calculator — Add or Remove VAT from Any Amount
Free VAT calculator to add VAT or remove VAT from any amount. Calculate VAT at 20%, 5%, or any custom rate instantly — works out VAT payable in seconds.
- Pre-Tax Price$100.00 · 83%
- VAT Amount$20.00 · 17%
VAT adds $20.00 on top of the $100.00 net price — 20% more than the pre-tax price.
- Gross (incl. VAT)$120.00
ƒShow your work
- 1VAT = $100.00 × 20% = $20.00
About the Free VAT Calculator
VAT (value-added tax) works differently from US sales tax in a way that trips people up constantly: it's collected at every stage of production, not just the final sale, and — critically — the price you see on a shelf in most VAT countries already includes it. That means the everyday question isn't usually "how much tax gets added" but "how much of what I'm already paying is VAT," which is the reverse of how most Americans are used to thinking about sales tax.
It's used by online shoppers and freelancers invoicing clients in VAT countries who need to add VAT to a net price, by businesses reconciling receipts where VAT needs to be extracted for accounting or reclaim purposes, and by travelers trying to work out how much of a purchase is VAT they might be able to claim back at the airport.
The prices and invoice amounts you run through this are yours to work with privately — nothing about what you're buying, selling, or invoicing is transmitted anywhere, the calculation happens entirely on your device.
How it’s calculated
Adding VAT to a net (pre-tax) price is simple multiplication: gross = net × (1 + rate). Extracting VAT from a gross price that already includes it is different — dividing by (1 + rate) recovers the net price, and the VAT amount is the difference between the two. This second calculation is the one people get wrong most often, since a gross price of $120 at 20% VAT does not mean $24 of VAT; it means the net price was $100 and $20 of VAT was added.
Frequently asked questions
What's the actual difference between VAT and US sales tax?
VAT is collected incrementally at each stage of a product's supply chain and is typically already included in the displayed price. US sales tax is collected once, at the final sale to the consumer, and is usually added on top of the sticker price at checkout rather than baked into it.
Can tourists get a VAT refund?
In many countries, yes — non-residents can often reclaim VAT on goods they're taking home, usually by keeping receipts and filing paperwork at the airport before departure, though minimum purchase amounts and eligible categories vary a lot by country.
Why do VAT rates differ across products and countries?
Most countries with VAT set a standard rate for most goods and services but apply reduced rates (or zero-rate) to categories like food, books, or children's clothing, and every country sets its own standard rate — it's not a single global figure.
How do I calculate the price before VAT was added?
Divide the VAT-inclusive price by 1 plus the VAT rate as a decimal — for a $120 price at 20% VAT, that's $120 ÷ 1.20 = $100 net price, with $20 being the VAT portion.
Do businesses pay VAT, or does it only fall on the final customer?
Businesses collect and remit VAT at each stage but typically reclaim the VAT they paid on their own purchases, so the actual cost lands on the final consumer, who can't reclaim it — that's what makes it a consumption tax in practice, despite passing through business hands along the way.
How do I calculate VAT payable for a return?
VAT payable is output VAT (what you charged on sales) minus input VAT (what you paid on purchases) for the period. This calculator works out the VAT on individual transactions — run each sale and purchase through it, then take the difference between the two totals to get what's actually owed.
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