0% is the UK's zero VAT rate. Zero-rated (0%) goods still count as taxable but carry no VAT: most food, children's clothes and footwear, books, newspapers and printed matter. Zero-rated is not the same as VAT-exempt. The calculator below starts at 0% — add VAT to a net price or strip it from a gross one.
Enter your data
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 + 0.00% VAT = 100.00 £Zero-rated sales charge no VAT, so net and gross are equal — but they still count as taxable turnover, which matters for VAT registration.
Zero-rated (0%) goods still count as taxable but carry no VAT: most food, children's clothes and footwear, books, newspapers and printed matter. Zero-rated is not the same as VAT-exempt.
| Net amount | VAT | Gross total |
|---|---|---|
| 100.00 | 0.00 | 100.00 |
| 250.00 | 0.00 | 250.00 |
| 500.00 | 0.00 | 500.00 |
| 1,000.00 | 0.00 | 1,000.00 |
| 2,500.00 | 0.00 | 2,500.00 |
| 5,000.00 | 0.00 | 5,000.00 |
Zero-rated means 0% VAT is charged: the gross equals the net. The sale is still taxable (unlike VAT-exempt sales).
Zero-rated (0%) goods still count as taxable but carry no VAT: most food, children's clothes and footwear, books, newspapers and printed matter. Zero-rated is not the same as VAT-exempt.
Yes — zero-rated sales are taxable turnover and count toward the £90,000 registration threshold. VAT-exempt sales do not. That is the practical reason the distinction matters.
Yes. Because zero-rated sales are taxable (at 0%), a business making them can still reclaim the VAT on its own purchases — unlike a business making only exempt sales.