Online VAT Calculator

Tired of spending hours manually calculating VAT for your business transactions? There’s an easier way.

Our new online VAT calculator (UK edition) helps work out how much tax you need to add to your prices. It’s simple and easy to use, so you can accurately calculate your VAT amount in just a few clicks.

Try our calculator below to make hassle-free VAT calculations now!

VAT Calculator

Add or Remove Value Added Tax

Calculation Type *



Please enter an amount
Calculator

VAT Calculator

20% VAT Excluded

Amount Entered : £500,000.00

VAT Excluded Amount : £83,333.33

Net Amount : £416,666.67

Key :
Amount Entered
VAT Excluded Amount
Net Amount

How It Works:

  1. Enter Transaction Details: Input the transaction amount, select the applicable VAT rate and whether you want to add or exclude VAT
  2. Click ‘Calculate VAT’: Our calculator will then calculate the data instantly
  3. Get Results: We’ll provide you with an accurate VAT breakdown

 


VAT FAQ’s

Value Added Tax (VAT) can be confusing as not every business charges VAT – only those turning over enough to be VAT-registered. The rate of VAT then depends on the product you’re selling or service you’re providing.

The standard rate of VAT is currently 20%. This rate should be used unless the goods or services are classed as reduced (5% VAT) or zero-rated.

Some products are also exempt from VAT, things like postage stamps and insurance.

Read HMRC’s guide to VAT rates on different goods and services for the full list (link to HMRC page: https://www.gov.uk/guidance/rates-of-vat-on-different-goods-and-services)

Small businesses and freelancers need to keep track of their finances. Accurately calculating VAT is essential to making sure you’re pricing your products and services competitively, whilst remaining compliant with UK tax regulations.

Using our reliable and easy-to-use online VAT calculator can provide businesses with an accurate breakdown of the total price, including VAT amount. This is handy when generating invoices for your customers.

VAT is added at every step of the supply chain and then passed on to the final customer – it isn’t a tax on profits.

For example, when a VAT-registered business buys supplies or materials from a VAT-registered supplier, they’ll need to pay VAT (this is input VAT) which they can then claim back from HMRC.

When that business then uses those supplies or materials to create a product, they’ll charge VAT on top of the price of the product (this is output VAT).

Businesses must then include the output VAT in their VAT return to HMRC.

Yes, our calculator can work out 5% VAT.

If your business turns over more than £85,000 a year then it is compulsory to register. If your business turnover is less than that then you can still voluntarily register for VAT. 

Visit the HMRC website to register for VAT.