VAT Calculator (UK)

Add VAT to a net price or remove VAT from a gross total at the 20% standard, 5% reduced or 0% zero rate. Free, no sign-up, runs entirely in your browser.

£120.00
Net amount£100.00
VAT @ 20%£20.00

Figures rounded to 2 decimals (pence). Verify the correct VAT rate for your goods or services against current HMRC guidance.

How to add or remove VAT

To add VAT to a net price, multiply by (1 + rate/100): a £100 invoice at the 20% standard rate becomes £120 gross, with £20 of VAT. To remove VAT from a price that already includes it, divide by the same factor instead of multiplying: £120 ÷ 1.2 = £100 net. Dividing by 1.05 removes the 5% reduced rate, and a zero-rated item simply has no VAT to remove.

A common mistake is subtracting 20% of the gross figure, which understates the net amount. VAT is calculated on the net price, so the VAT portion of a 20% gross total is one-sixth, not one-fifth.

UK VAT rates

RateCommonly applies to
20% (standard)Most goods and services
5% (reduced)Domestic fuel and power, children's car seats, some energy-saving home improvements
0% (zero-rated)Most food and drink, children's clothes and footwear, books, newspapers and magazines
ExemptInsurance, postage stamps, certain education and financial services (no VAT charged, and exempt sales do not count towards the registration threshold)

You must register for VAT once your VAT-taxable turnover exceeds £90,000 in any rolling 12-month period (threshold effective since 1 April 2024), or if you expect to exceed it in the next 30 days alone. Zero-rated sales count towards the threshold; exempt sales do not.

Frequently asked questions

What is the current VAT rate in the UK?

The standard rate is 20%, covering most goods and services. A 5% reduced rate applies to items such as home energy and children's car seats, and most food, children's clothing, books and newspapers are zero-rated at 0%.

How do I remove VAT from a gross amount?

Divide the gross figure by 1.2 for 20% VAT (or 1.05 for 5%). £120 ÷ 1.2 = £100 net and £20 VAT. Switch this calculator to "Remove VAT" mode to do it in one step.

When do I need to register for VAT?

When your VAT-taxable turnover exceeds £90,000 in any rolling 12-month period, or when you expect it to exceed £90,000 in the next 30 days alone. The £90,000 threshold has applied since 1 April 2024.

What do the reduced and zero rates apply to?

5% reduced: domestic fuel and power, children's car seats. 0% zero-rated: most food and drink, children's clothes, books and newspapers. Exempt supplies such as insurance are different again: no VAT is charged and they do not count towards the registration threshold.

Is this VAT calculator free?

Yes. Free, no sign-up, and every calculation runs locally in your browser. Nothing you type is uploaded.

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