VAT calculator
Type an amount, choose the rate and whether it already includes VAT. The calculator shows the net, the VAT and the gross figure straight away.
Gross, including VAT
£1,200.00
- Net amount
- £1,000.00
- VAT at 20%
- £200.00
- Gross amount
- £1,200.00
Figures used, 2026/27
- Standard rate 20%
- Reduced rate 5%
- Zero rate 0%
England, Wales and Northern Ireland. Rates reviewed . An estimate, not advice: your own position may differ.
How the calculator works
To add VAT, the calculator multiplies the net amount by the rate. At the 20% standard rate, a net price of 100 pounds carries 20 pounds of VAT, so the gross price is 120 pounds.
To remove VAT from a gross figure, it divides by one plus the rate rather than taking a percentage off. A gross price of 120 pounds divided by 1.2 gives a net of 100 pounds and VAT of 20 pounds. Taking 20% off 120 pounds would wrongly give 96 pounds.
The standard rate of 20% applies to most goods and services in the UK. The reduced rate of 5% covers items such as domestic fuel, children's car seats and some energy-saving installations. Zero-rated items, including most food, books and children's clothing, are still VAT-able supplies but carry no VAT.
If you are VAT registered you must charge VAT on your taxable sales and can usually reclaim the VAT on business purchases. Businesses must register once taxable turnover passes the registration threshold in any rolling 12-month period, and can register voluntarily below it.
Frequently asked questions
Divide the gross amount by 1.2 for the 20% rate (or 1.05 for the 5% rate) to get the net amount. The difference between gross and net is the VAT. For example, 600 pounds gross divided by 1.2 is 500 pounds net, so the VAT is 100 pounds.
The standard rate is 20%. A reduced rate of 5% applies to some goods and services, such as domestic energy, and a zero rate applies to items like most food, books and children's clothing. Some supplies, such as insurance and most financial services, are exempt rather than zero-rated.
You must register when your VAT-taxable turnover goes over the registration threshold in any rolling 12-month period, or if you expect to pass it in the next 30 days. You can also register voluntarily, which lets you reclaim VAT on purchases and can suit businesses whose customers are VAT registered.
No. On the Flat Rate Scheme you still charge customers the normal rate but pay HMRC a fixed percentage of your gross turnover based on your trade sector. The calculator shows what you charge; your accountant can confirm what you owe under the scheme.
Only on purchases used for making taxable supplies, and only with a valid VAT invoice. VAT on business entertainment and most cars cannot be reclaimed, and purchases used partly for private purposes need to be apportioned.
Guides on this topic
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