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VAT calculator (UK)

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Add VAT to a net price or take it off a gross price at the UK standard 20% rate, the reduced 5% rate or the zero rate – or type any other rate.

Rules applied

Checked on 2026-10-20 · tax year 2026/27

Standard 20%, reduced 5% and zero rate as listed by HMRC.

Every rate and threshold used in the calculation was checked against the official sources above.

How to use

  1. Choose whether to add VAT to a net price or remove it from a price that includes VAT.
  2. Pick 20%, 5% or 0%, or enter a different rate.
  3. Read the VAT and the net and gross amounts, rounded to the nearest penny.

Formula

  • Add VAT: VAT = net × rate ÷ 100, gross = net + VAT
  • Remove VAT: VAT = gross × rate ÷ (100 + rate) – at 20% that is gross ÷ 6
  • Net = gross − VAT

Worked example

£250.00 + 20% VAT = £300.00 (VAT £50.00). £120.00 including 20% VAT → net £100.00, VAT £20.00.

FAQ

Which rate applies to my goods or services?

Most goods and services are standard-rated at 20%. Some, such as home energy and children’s car seats, are reduced-rated at 5%, and some, such as most food and children’s clothes, are zero-rated. HMRC’s VAT rates guidance lists the categories.

Is zero-rated the same as exempt?

No. Zero-rated supplies are taxable at 0%, so VAT-registered businesses still report them. Exempt supplies are outside VAT altogether.

How is rounding done?

VAT is rounded to the nearest penny for the whole amount entered. Businesses may round per line on an invoice, which can make a penny of difference.

Data sources

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