Add or remove VAT with the UK rates (20% standard, 5% reduced, 0% zero-rated). Instantly get the net amount, the VAT and the gross total, at any rate.
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Choose whether to add VAT to a net amount or extract it from a gross total. The default rate is 20%.
The standard UK rate is 20%, with a reduced rate of 5% (e.g. domestic energy, children's car seats) and a zero rate of 0% (most food, children's clothes, books, newspapers).
100.00 + 20.00% VAT = 120.00 £Indicative tax figures, not advice. Last updated: 11 July 2026. We use the UK VAT rates in force in 2026, but the law can change — always check gov.uk/vat-rates and HMRC guidance. Instant in-browser calculation, no account, no data sent.
Last updated: 11 July 2026 Source: HMRC — VAT rates
⚖︎ Results are for informational purposes and do not constitute tax advice. For specific situations, consult a licensed accountant or the relevant tax authority.
To add VAT you multiply the net amount by the rate; to remove it you divide the gross total by 1 plus the rate:
For £100 excl. VAT at 20%: VAT = £20, gross = £120. Conversely, from £120 incl. VAT: net = £120 ÷ 1.20 = £100, so the included VAT is £20.
The standard VAT rate is 20%, with a reduced rate of 5% and a zero rate of 0%. The 20% standard rate applies to most goods and services.
Multiply the net amount by the rate. For example, for £100 at 20%: VAT = £100 × 0.20 = £20, and the gross total payable is £120.
Divide the gross total by 1 plus the rate. For a price of £120 with 20% VAT: net = £120 ÷ 1.20 = £100, so the included VAT is £20.
The 5% reduced rate applies to items such as domestic fuel and power (household gas and electricity), children's car seats, and certain energy-saving materials. Check gov.uk for the full list.
Zero-rated (0%) goods still count as taxable but carry no VAT. They include most food, children's clothes and footwear, books, newspapers and printed matter. Zero-rated is not the same as VAT-exempt.
For the VAT, multiply the net amount by 0.20; for the VAT-inclusive total, multiply by 1.20. To strip VAT from a gross total, divide by 1.20.
VAT (value added tax) is a consumption tax. Businesses collect it on sales and pay it to HMRC, but it is ultimately borne by the final consumer, being included in the shelf price.
A business must register for VAT with HMRC once its VAT-taxable turnover exceeds £90,000 in any rolling 12-month period, or if it expects to exceed it in the next 30 days. You can also register voluntarily below the threshold.
At the standard 20% rate, the VAT on £1,000 excl. VAT is £200, and the gross total payable £1,200. At the reduced 5% rate, the VAT is £50 and the gross total £1,050.
Output VAT is what you add to sales and owe HMRC; input VAT is what you paid on purchases and can reclaim. You pay HMRC the difference between the two.
It is an optional HMRC scheme where VAT becomes due only when your customer pays you, rather than when you issue the invoice. It helps small firms with cash flow but has specific eligibility rules and turnover limits.
VAT-registered businesses submit a VAT Return to HMRC, usually every quarter, through Making Tax Digital software, declaring the output VAT, the input VAT and the amount to pay or reclaim.
Divide the VAT by the rate as a fraction: £1,000 of VAT at 10% gives a net of 1,000 ÷ 0.10 = £10,000, and a gross of £11,000. Pick the "From VAT" mode and enter the VAT amount.