UK VAT Calculator
Choose whether you want to add VAT to a net price or remove VAT from a gross price, enter your amount, and pick the rate. You get the VAT amount and the other price instantly.
Standard VAT in the UK is 20%. Reduced (5%) applies to some goods like energy and sanitary products; some goods are zero-rated (0%).
How the calculation works
We believe numbers should be transparent. Here is the formula behind this calculator.
Worked example
Worked example: adding 20% VAT
Examples at common levels
See how the numbers change at typical input levels, using the updated for tax year 2026/27 rates.
| Scenario | VAT amount to add | Net (VAT-exclusive) price | Gross (VAT-inclusive) price | VAT rate used | VAT as a share of gross |
|---|---|---|---|---|---|
| £100 net + 20% VAT | £20.00 | £100.00 | £120.00 | 20% | 16.7% |
| £1,000 net + 20% VAT | £200.00 | £1,000.00 | £1,200.00 | 20% | 16.7% |
| £500 gross − remove VAT Net of 20% VAT | £83.33 | £416.67 | £500.00 | 20% | 16.7% |
| £100 net + 5% VAT Reduced rate | £5.00 | £100.00 | £105.00 | 5% | 4.8% |
Important assumptions
- Uses the standard, reduced and zero rates. The reduced rate is not a blanket discount — it only applies to specific goods and services.
- Some supplies are exempt from VAT (e.g. most financial services and insurance) rather than zero-rated.
- Businesses can normally reclaim VAT on business purchases if they are VAT registered.
Rates & official sources
Every calculation is based on the official rates and rules published by GOV.UK and HMRC.
Frequently asked questions
How do I remove VAT from a price?
To take 20% VAT out of a gross price, divide the price by 1.2. For example, £120 including VAT ÷ 1.2 = £100 net, with £20 VAT.
Do I need to charge VAT?
You must register for VAT once your taxable turnover exceeds the registration threshold (usually around £90,000 in 2026/27). Some businesses register voluntarily so they can reclaim VAT on their own costs.
Is VAT the same as sales tax?
VAT is a value-added tax charged at each stage of a supply chain, whereas US-style sales tax is charged only at the final point of sale. In practice, end consumers see a similar effect.
What are the UK VAT rates in 2026/27?
The standard rate is 20% and the reduced rate is 5% for certain goods such as domestic fuel and energy-saving materials. Some items are zero-rated (0%) or exempt. See the GOV.UK VAT rates page for the full list.
Related calculators
Related guides
New to the topic? Read a plain-English guide on vat, with worked examples and tips.
These calculations are estimates for guidance only and are not professional financial, tax or legal advice. UK rates and rules change, so always verify important figures with official GOV.UK / HMRC information or speak to a qualified professional. See our full disclaimer.