VAT Calculator (Value Added Tax)
Easily calculate VAT inclusive or exclusive prices. Essential for invoicing and tax returns.
VAT/GST Tool
International? Convert currency first with the Currency Calculator.
Understanding Value Added Tax (VAT)
Value Added Tax (VAT) is a consumption tax assessed on the value added to goods and services. It applies to more than 160 countries worldwide, including the European Union, United Kingdom, and many Asian countries. Unlike Sales Tax, which is collected only at the point of sale, VAT is collected at every stage of the supply chain.
How to Calculate VAT
1. Adding VAT (Net to Gross)
Use this to calculate the final price to charge a customer.
Formula: Gross Price = Net Price × (1 + VAT Rate/100)
Example: $100 Net + 20% VAT = $120 Gross.
2. Removing VAT (Gross to Net)
Use this to find the pre-tax price from a receipt.
Formula: Net Price = Gross Price / (1 + VAT Rate/100)
Example: $120 Gross / 1.20 = $100 Net.
Common VAT Rates Around the World
| Country | Standard Rate |
|---|---|
| United Kingdom | 20% |
| France | 20% |
| Germany | 19% |
| Australia (GST) | 10% |
| Japan | 10% |
| Vietnam | 10% (Standard) |
Disclaimer & Legal Notice
General Estimations: This calculator works for standard VAT calculations. It does not handle complex scenarios like reduced rates for specific goods (e.g., food, books), zero-rated items, or exempt services.
Rounding: Calculations are rounded to 2 decimal places (standard currency format). Slight discrepancies may occur in high-volume accounting due to rounding methods.
Not Tax Advice: Please consult a certified accountant or tax professional for official VAT returns and invoicing.