UK VAT, made clearer

UK VAT Calculator
Less tax maths. More clarity.

Calculate VAT in seconds with a simple UK VAT calculator. Understand your results with practical guides, worked examples and information based on current HMRC guidance.

Free to use · No account needed · Clear formulas

Live calculation · GBP
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Illustrative estimate. Check the rate and scheme eligibility for your transaction. No amounts are sent by this calculator.

01 / Find your tool

Start with the calculation you need.

Explore the numbers

One price. Three parts.

Move the rate slider to see how VAT changes a £100 net price.

01 / NET£100Before VAT
02 / VAT£20Added tax
03 / GROSS£120Customer pays

£100 + £20 VAT = £120 total

This slider explains the arithmetic. It does not determine the legal rate for your sale.

02 / Understand the rules

Learn the essentials of UK VAT.

All guides →

How to Use This VAT Calculator

Our free UK VAT calculator works three ways. Add VAT: enter a net amount and it adds 20% (or 5%) to give the gross price. Remove VAT: enter a VAT-inclusive price and it strips out the VAT to show the net amount. Reverse check: enter either figure to verify a supplier's invoice in seconds. Every result shows the net amount, the VAT amount and the gross total separately, so you always know exactly what goes where on your records.

UK VAT Rates Explained

The UK has three VAT rates. Use the right one — charging the wrong rate is one of the most common small-business VAT mistakes.

RateApplies toExample
20% standardMost goods and services£100 net → £20 VAT → £120 gross
5% reducedHome energy, child car seats, mobility aids£100 net → £5 VAT → £105 gross
0% zero-ratedMost food, children's clothes, books£100 net → £0 VAT → £100 gross

Some supplies are exempt (insurance, finance, health services) — no VAT is charged and you generally cannot reclaim VAT on related costs. Zero-rated is different from exempt: with zero-rated sales you charge 0% VAT but can still reclaim VAT on your business purchases.

VAT Calculation Worked Examples

Example 1 — adding VAT: A designer quotes £1,000 + VAT for a project. VAT at 20% = £1,000 × 0.20 = £200. The client pays £1,200.

Example 2 — removing VAT: A supplier invoice shows £2,400 including VAT at 20%. Net amount = £2,400 ÷ 1.20 = £2,000. VAT = £400.

Example 3 — quick check: 20% VAT is exactly one-sixth of a VAT-inclusive price. On a £600 invoice, VAT = £600 ÷ 6 = £100, net = £500.

When Do You Need to Register for VAT?

You must register for VAT when your VAT-taxable turnover exceeds £90,000 in any rolling 12-month period (2026/27 threshold). You can also register voluntarily below the threshold — useful if your customers are VAT-registered businesses and you want to reclaim VAT on your costs. Read our full guide: Can a Sole Trader Claim VAT Back?. Filing your return? See what goes in each box.

Frequently Asked Questions

How do I calculate 20% VAT on a price?

Multiply the net price by 0.20 for the VAT amount, then add it to the net price. £250 net → £50 VAT → £300 gross.

How do I take VAT off a VAT-inclusive price?

Divide by 1.20. A £1,200 invoice includes £200 VAT and £1,000 net.

What is the current UK VAT rate?

The standard rate is 20%, the reduced rate is 5% and the zero rate is 0%. The VAT registration threshold is £90,000 of taxable turnover for 2026/27.

Is this VAT calculator accurate for HMRC returns?

It is a guide for quick estimates. Always confirm figures in MTD-compatible software before submitting a VAT return, and keep valid VAT invoices for everything you reclaim.

What would you like to work out?