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VAT Calculator 2024-25

Add or remove UK VAT instantly. Supports standard (20%), reduced (5%), zero rate and custom rates.

UK VAT Calculator — Add or Remove VAT
£
VAT Amount
£0.00
Net Price (ex. VAT)
£0.00
VAT Amount
£0.00
Gross Price (inc. VAT)
£0.00
VAT Rate Applied
20%

UK & EU VAT Rates Reference

CountryStandard RateReduced Rate
🇬🇧 United Kingdom20%5%
🇩🇪 Germany19%7%
🇫🇷 France20%5.5% / 10%
🇮🇹 Italy22%5% / 10%
🇪🇸 Spain21%10%
🇳🇱 Netherlands21%9%
🇸🇪 Sweden25%6% / 12%
🇮🇪 Ireland23%9% / 13.5%
🇵🇱 Poland23%5% / 8%
🇦🇹 Austria20%10% / 13%

How to Calculate VAT

Adding VAT (price excluding VAT):

VAT Amount = Net Price × (VAT Rate ÷ 100)
Gross Price = Net Price + VAT Amount

Example: Item costs £100.00 excl. VAT at 20%: VAT = £20.00, Total = £120.00

Removing VAT (price including VAT):

Net Price = Gross Price ÷ (1 + VAT Rate ÷ 100)
VAT Amount = Gross Price − Net Price

Example: Item costs £120.00 incl. VAT at 20%: Net = £100.00, VAT = £20.00

UK VAT Rates Explained

  • Standard Rate (20%): Applies to most goods and services in the UK.
  • Reduced Rate (5%): Applies to things like home energy, children's car seats, and some health products.
  • Zero Rate (0%): VAT is charged at 0% on items such as most food, children's clothing, books, and newspapers. Businesses still record zero-rated sales.
  • Exempt: Some services are exempt from VAT entirely (e.g. insurance, education, health). Exempt businesses cannot reclaim VAT on purchases.
  • VAT Registration: UK businesses must register for VAT when their taxable turnover exceeds £90,000 (2024-25 threshold).

Frequently Asked Questions

The standard UK VAT rate is 20%, which has been in place since January 2011. There is also a reduced rate of 5% (for items like domestic energy and children's car seats) and a zero rate of 0% (for most food, books, and children's clothes).
To remove 20% VAT from a gross price: divide the gross by 1.20 to get the net price. The difference is the VAT amount. For 5% VAT, divide by 1.05. Use the "Remove VAT" mode above and enter your gross (VAT-inclusive) price.
VAT-exclusive (net price): The price before VAT is added — often shown in B2B invoices.
VAT-inclusive (gross price): The final price the customer pays, with VAT already included — typically shown to consumers.
In the UK, you must register for VAT if your taxable turnover exceeds £90,000 in any 12-month period (2024-25). You can also register voluntarily if your turnover is below this threshold, which may allow you to reclaim VAT on business purchases.
VAT and sales tax are similar but differ in how they're collected. VAT is collected at each stage of the supply chain, with businesses reclaiming VAT on their inputs. US sales tax is only collected at the final point of sale. Both are consumption taxes ultimately paid by the end consumer.