Free tool

VAT calculator.

Work out VAT in seconds. Add VAT to a net figure or remove VAT from a gross figure at the UK standard rate, the reduced rate, or any custom rate you like. No sign-up, no fuss.

Add or remove VAT

Calculate your VAT.

Choose whether to add or remove VAT, enter your amount and rate, and the net, VAT and gross figures update as you type.

Amount excluding VAT
Net (excl. VAT) £100.00
VAT at 20% £20.00
Gross (incl. VAT) £120.00

UK VAT rates are 20% standard and 5% reduced. Some goods and services are zero-rated or exempt. This tool is for guidance only, so always check your own VAT position.

The maths

How the VAT calculation works.

Two quick formulas cover almost every VAT sum you'll ever need.

Adding VAT

Start with a net price, then add the VAT on top to get the gross price your customer pays.

  • VAT = net × (rate ÷ 100)
  • Gross = net + VAT
  • Example: £100 + 20% = £20 VAT, £120 gross

Removing VAT

Start with a gross price that already includes VAT, then work backwards to find the net price and the VAT within it.

  • Net = gross ÷ (1 + rate ÷ 100)
  • VAT = gross − net
  • Example: £120 at 20% = £100 net, £20 VAT
Quick reference

UK VAT rates at a glance.

20%
Standard rate, most goods and services
5%
Reduced rate, e.g. home energy and some conversions
0%
Zero rate, e.g. most food, books and children's clothes
£90k
Turnover threshold for compulsory VAT registration
Did you know?

Interesting facts about VAT.

A little light relief from the numbers. Here are a few things you might not know about Value Added Tax.

01

Born in France

VAT was first introduced in France in 1954 and made its UK debut on 1 April 1973.

02

It has crept up

The UK rate started at 10% and rose over the years to 20% in 2011, where it has stayed ever since.

03

Hungary tops the table

Hungary has the highest standard VAT rate in the world at 27%, followed by Iceland at 25.5%.

04

Some skip it entirely

A handful of places charge no VAT at all, including the Bahamas, Hong Kong, Saudi Arabia and Qatar.

05

A serious earner

In the 2022/23 tax year, UK VAT receipts came in at nearly £160 billion, up from around £60 billion in 2000/01.

06

Cake or biscuit?

Jaffa Cakes famously won their case by proving they are cakes, which are zero-rated, rather than chocolate-covered biscuits, which are not.

Common questions

VAT calculator FAQ.

How do I add VAT to a price?
Multiply the net price by the VAT rate to get the VAT amount, then add it to the net price. At the 20% standard rate, £100 net becomes £20 VAT and £120 gross. Switch the calculator to "Add VAT" to do it for you.
How do I remove VAT from a price?
Divide the gross price by 1 plus the rate as a decimal. At 20%, divide by 1.2 to get the net price, and the difference is the VAT. So £120 gross is £100 net and £20 VAT. Use "Remove VAT" mode to calculate it instantly.
What is the current UK VAT rate?
The UK standard rate is 20% and applies to most goods and services. A reduced rate of 5% applies to some items such as domestic energy, and a zero rate applies to things like most food, books and children's clothing.
When do I need to register for VAT?
You must register for VAT if your VAT-taxable turnover goes over the £90,000 threshold in any rolling 12-month period, or you expect it to in the next 30 days. You can also register voluntarily below the threshold.
Can I use a custom VAT rate?
Yes. The quick buttons cover the UK 20%, 5% and 0% rates, but you can type any rate into the VAT rate box, which is handy for other countries or historic rates.
Does Clear Books handle VAT returns?
Yes. Clear Books is HMRC-recognised software for Making Tax Digital for VAT. It calculates your VAT as you go and lets you submit your VAT returns to HMRC directly. See MTD for VAT.
Stop calculating VAT by hand

Let Clear Books do your VAT.

Clear Books is award-winning, HMRC-recognised accounting software that calculates VAT automatically and submits your MTD VAT returns in a few clicks.