VAT Calculator
Calculate VAT for all rates - Standard 20%, Reduced 5%, and Zero 0%
Select the applicable UK VAT rate
Choose whether to add or remove VAT
£
Enter the net amount (excluding VAT)
VAT Calculation Results
Net Amount (Ex VAT)
£0.00
VAT Amount
£0.00
Gross Amount (Inc VAT)
£0.00
Effective VAT Rate
20%
UK VAT Rates
Standard Rate (20%)
Applied to most goods and services in the UK.
Reduced Rate (5%)
Applied to:
- Domestic fuel and power
- Children's car seats
- Sanitary products
- Mobility aids for disabled people
- Certain energy-saving materials
Zero Rate (0%)
Applied to:
- Most food and drink
- Books and newspapers
- Children's clothes
- Public transport
- Prescription medicines
VAT Registration
You must register for VAT if your turnover exceeds £85,000 (2023/24 threshold).
Benefits of VAT Registration:
- Reclaim VAT on business expenses
- Appear more established to customers
- Trade with other VAT-registered businesses
VAT Return Deadlines:
- Quarterly returns: 1 month and 7 days after period end
- Annual returns: 2 months after year end
- Monthly returns: 1 month and 7 days after period end
Common VAT Calculations
Adding VAT (Net to Gross):
Formula: Gross = Net × (1 + VAT Rate)
Example: £100 + 20% VAT = £100 × 1.20 = £120
Removing VAT (Gross to Net):
Net: Net = Gross ÷ (1 + VAT Rate)
VAT: VAT = Gross - Net
VAT: VAT = Gross - Net
Example: £120 ÷ 1.20 = £100 net, £20 VAT
Quick VAT Calculation:
For 20% VAT: VAT = Gross × 20/120 = Gross × 1/6
VAT Exemptions
Some goods and services are exempt from VAT:
- Insurance services
- Postal services
- Financial services
- Education and training
- Healthcare services
- Betting and gaming
- Fundraising events
Note: Exempt supplies don't allow VAT reclaim on related costs.