ChargeAlign

VAT calculator online

Add VAT to a net price, or work backwards from a VAT-inclusive price to the net amount and the VAT contained in it. Works with any VAT rate and any of the supported currencies.

The four figures

Every VAT calculation moves between the same four values:

  • Net price — the amount before tax, which is what the seller actually earns from the sale.
  • VAT rate — the percentage that applies to the supply, for example 21%, 12% or 0%.
  • VAT amount — the tax itself, collected by the seller and paid on to the tax authority.
  • Gross price — net plus VAT, the amount the customer pays.

Adding VAT to a net amount

VAT amount = net × rate. Gross = net + VAT, which is the same as net × (1 + rate). Use this direction when you price your own work, because the figure you start from is what you want to earn.

Illustrative: adding 21% VAT
Net price
1,000.00
VAT rate
21%
VAT amount
210.00
Gross price
1,210.00

Removing VAT from a gross amount

Net = gross ÷ (1 + rate), and the VAT contained is gross − net. Use this direction when you are handed a price that already includes tax — a receipt, a shelf price, or a quote given as "including VAT".

Illustrative: removing 21% VAT
Gross price
1,210.00
VAT rate
21%
Net price
1,000.00
VAT contained
210.00

A frequent mistake is to subtract 21% from the gross price instead of dividing. On 1,210 that would give 955.90, which is wrong by more than 44.

Working with several rates

Mixed-rate invoices

When one document carries more than one rate, group the lines by rate, calculate VAT on each group's net subtotal, then add the groups. The calculator shows that per-rate summary before the grand total so the breakdown stays auditable.

Rates change

VAT rates are set nationally and are revised from time to time, so the rate that applied to an old invoice is not necessarily today's rate. The calculator does not assume a rate for you; enter the one that applies.

Rounding

Amounts are rounded to two decimal places. Where an invoice rounds VAT per line and you round once on the total, a difference of a cent or two can appear — that is normal, and worth distinguishing from a real error.

Frequently asked questions

How do I calculate VAT on an invoice?
Multiply the net amount by the VAT rate. A net amount of 1,000 at a rate of 21% gives 210 in VAT, and a gross total of 1,210.
How do I get the net amount out of a VAT-inclusive price?
Divide the gross price by 1 plus the rate. A gross price of 1,210 at 21% is 1,210 ÷ 1.21 = 1,000 net, so the VAT contained in it is 210.
Which VAT rate should I use?
The rate depends on the country and on what is being supplied, and rates change over time. Enter the rate that applies to your supply rather than assuming a default.
Why does my VAT differ by a few cents from the invoice?
Usually rounding. VAT can be rounded per line or once on the invoice total, and the two methods can differ by a small amount. A difference of one or two cents is normally a rounding convention, not an error.
Does this VAT calculator provide tax advice?
No. It performs the arithmetic only. Rate eligibility, reverse charge, exemptions and filing are tax matters for a qualified accountant.

This VAT calculator performs arithmetic only. VAT rates, exemptions and reporting rules differ by country and change over time, and nothing here is tax or accounting advice.