VAT CalculatorFree online financial calculator — instant results, no sign-up
Add or extract value-added tax.
Estimates only, based on the inputs and assumptions shown. This is not financial, investment, tax, or legal advice. Prices, rates and local rules may change; crypto scenarios do not predict returns. Confirm important decisions with a qualified professional.
Sign in to save results and favorites.
About the VAT Calculator
This calculator determines the value-added tax (VAT) added to a net price as well as the total gross price. It also calculates the amount of embedded tax if the entered net amount were instead considered a gross, tax-inclusive price.
- Net price
- The monetary amount before value-added tax is applied (e.g., currency units, typically 0 or greater).
- VAT rate
- The applicable tax percentage added to goods or services, expressed as a percentage (e.g., 20%).
Formula and method
VAT = p × (rate / 100) Gross price = p × (1 + rate / 100) Embedded VAT = p − (p / (1 + rate / 100))
- pEntered base price amount
- rateValue-added tax rate percentage
- VATTax amount added to the net price
- Gross priceTotal cost including the net price and added VAT
- Embedded VATAmount of tax included if the input price is treated as tax-inclusive
The tool multiplies the base price by the tax percentage to find the added tax, and sums them to provide the gross price. It also extracts the portion of tax from a tax-inclusive figure of the same numerical value by subtracting the derived pre-tax amount from the entered price. All outputs are rounded to two decimal places.
Worked example
These are the calculator's starting values and the results it actually produces for them.
Inputs
- Net price100
- VAT rate20 %
Results
- VAT20
- Gross price120
- VAT within gross of same amount16.67
How to use the VAT Calculator
- 1Divide the VAT rate by 100 to convert the percentage to a decimal factor.
- 2Multiply the net price by this decimal factor to determine the added VAT amount.
- 3Add the calculated VAT to the net price to find the total gross price.
- 4Calculate the embedded VAT by dividing the input price by (1 + rate / 100) and subtracting that result from the input price.
Reading your result
The 'VAT' row shows how much additional tax is owed on top of your net base figure. 'Gross price' represents the total final bill payable by the customer. 'VAT within gross of same amount' shows the tax portion already included if your entered amount was already a tax-inclusive total.
Limitations
This calculator assumes a single uniform tax rate applied directly to the entered figure. It does not account for split tax brackets, luxury surcharges, reduced-rate item splits, or regional excise duties.
Common questions
What is the difference between net price and gross price?+
The net price is the cost of goods or services before any tax is added, whereas the gross price is the final amount payable including tax.
How do I extract VAT from a price that already includes tax?+
To extract VAT from a gross amount, divide the total price by 1 plus the tax rate (as a decimal) to find the net price, then subtract that net price from the total. The calculator shows this in the third row using your entered value.
Why does adding 20% tax not equal subtracting 20% to get back to net?+
Because the tax rate applies to the smaller net base, not the larger gross total. For a 20% VAT rate, the tax constitutes 16.67% (1/6) of the gross total, not 20%.
Does the calculator save my information?+
Calculations run in your browser. While signed in, inputs and results are automatically recorded in account history; saving a result creates a separate saved record.
You might also like
Loan Calculator
Payment, total cost and interest on any amortized loan.
Payment Calculator
Monthly payment for a fixed term, or term for a fixed payment.
Currency Calculator
Convert between major currencies (reference rates, update for live rates).
Inflation Calculator
What money is worth after years of inflation.
Sales Tax Calculator
Add or remove sales tax from a price.
Credit Card Calculator
How long to pay off a card at a fixed payment.
Results are estimates for informational purposes and are not financial, medical or legal advice.