What is the standard VAT rate in the UK?

The standard UK VAT rate is 20%. A reduced rate of 5% applies to some goods like home energy and children's car seats. Some items like food and children's clothing are zero-rated.

What is the difference between VAT and sales tax?

Sales tax is collected only at the final sale to the consumer. VAT is collected at every stage of production, with businesses reclaiming the VAT they paid on inputs — the net effect on the final consumer is similar.

How do I reclaim VAT as a business?

VAT-registered businesses can reclaim the VAT they paid on business purchases (input tax) by deducting it from the VAT they collected on sales (output tax) in their VAT return.

Do I need to register for VAT?

In the UK, registration is required when your taxable turnover exceeds £90,000 in 12 months. Voluntary registration is also possible below this threshold.

Is VAT the same as GST?

They are very similar in concept — both are consumption taxes collected at each stage. GST (Goods and Services Tax) is the term used in countries like Australia, India, Canada, and New Zealand.

Finance

↵ to calculate

VAT Calculator - Value Added Tax UK India Online Tool

Add or remove VAT from any price with customizable tax rates.

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How to use this calculator

👉 Fill in the boxes below and your answer appears instantly — no maths needed, we do it all for you! 🎉

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In plain English — what does this do?

💵 A money helper! It works out things like how much to save, how much you owe, or how much you’ll have in the future. Just fill in the boxes and you’ll get your answer.

📌 Direct Answer & Summary

A VAT (Value Added Tax) calculator lets you quickly add VAT to a net price to get the gross price, or remove VAT from a gross price to find the net amount. VAT is a consumption tax used in over 160 countries, applied at each stage of the supply chain.

Net Price

VAT Rate (%)

What is VAT Calculator - Value Added Tax UK India Online Tool?

How to use it

1️⃣ Enter the price amount.
2️⃣ Set the VAT rate (common rates: 5%, 10%, 20%, 25%).
3️⃣ Choose whether to Add VAT to a net price or Remove VAT from a gross price.
4️⃣ The calculator instantly shows VAT amount, net price, and gross price.

Formula

Add VAT: Gross = Net × (1 + VAT%). Remove VAT: Net = Gross / (1 + VAT%). VAT Amount = Gross - Net.

💡 See it in action — a real example

A product priced at £100 net with 20% VAT has a gross price of £120. The VAT amount is £20. Reverse: a £120 gross price contains £20 VAT and £100 net.

❓ Common questions

What is the standard VAT rate in the UK?: The standard UK VAT rate is 20%. A reduced rate of 5% applies to some goods like home energy and children's car seats. Some items like food and children's clothing are zero-rated.
What is the difference between VAT and sales tax?: Sales tax is collected only at the final sale to the consumer. VAT is collected at every stage of production, with businesses reclaiming the VAT they paid on inputs — the net effect on the final consumer is similar.
How do I reclaim VAT as a business?: VAT-registered businesses can reclaim the VAT they paid on business purchases (input tax) by deducting it from the VAT they collected on sales (output tax) in their VAT return.
Do I need to register for VAT?: In the UK, registration is required when your taxable turnover exceeds £90,000 in 12 months. Voluntary registration is also possible below this threshold.
Is VAT the same as GST?: They are very similar in concept — both are consumption taxes collected at each stage. GST (Goods and Services Tax) is the term used in countries like Australia, India, Canada, and New Zealand.

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Tax Calculator Discount Calculator GST Calculator