🇺🇸 United States

VAT Calculator

Add VAT to a net price, remove VAT from a gross amount, or estimate your VAT return. Enter your own rate — works for any country.

All amounts displayed in selected currency
$
Amount before VAT is added
%
Your local VAT rate as a percentage
Estimates only. Enter your actual local VAT rate for accurate results. This calculator uses pure math — no country-specific tax data.

Try another scenario

Calculate for your country
Found an issue? Send feedback

How to Use This Calculator

Tab "Add VAT"

Enter your net price (the price before tax) and the VAT rate. The calculator shows the VAT amount and the gross price (net + VAT). Use the preset buttons to quickly set common rates like 20% UK, 19% Germany, or 15% New Zealand GST.

Tab "Remove VAT"

Enter the gross price (the price that already includes VAT) and the VAT rate. The calculator extracts the net price and shows how much of the total was VAT. Same preset buttons are available.

Tab "Multi-Rate"

Enter one net price and up to three different VAT rates. The side-by-side table shows the VAT amount and gross price for each rate — useful for comparing the cost impact of different countries or rate tiers.

The Formulas

Adding VAT:
Gross = Net × (1 + VAT rate / 100)
VAT amount = Net × (VAT rate / 100)

Removing VAT:
Net = Gross / (1 + VAT rate / 100)
VAT amount = Gross − Net

VAT as a share of gross:
VAT share = VAT rate / (100 + VAT rate) × 100%
Example: at 20% VAT, the tax is 20/120 = 16.67% of the gross price.

These formulas are universal. They work for any percentage-based consumption tax — VAT, GST, or sales tax. No country-specific rules are applied.

Worked Examples

Example 1 — Add VAT: £500 net at 20% UK VAT

A UK business sells a product for £500 excluding VAT. The standard UK VAT rate is 20%.

Net price£500.00
VAT rate20%
VAT amount£100.00
Gross price£600.00

Calculation: £500 × 0.20 = £100 VAT. Gross = £500 + £100 = £600.

Example 2 — Remove VAT: €119 gross at 19% German VAT

A receipt shows €119 including 19% Mehrwertsteuer (German VAT). What was the net price?

Gross price€119.00
VAT rate19%
Net price€100.00
VAT amount€19.00

Calculation: €119 / 1.19 = €100 net. VAT = €119 − €100 = €19.

Example 3 — Multi-Rate: $1,000 at 10%, 15%, and 20%

Comparing the VAT impact on a $1,000 product across three different rates.

VAT RateVAT AmountGross Price
10%$100.00$1,100.00
15%$150.00$1,150.00
20% ★$200.00$1,200.00

The difference between 10% and 20% VAT is $100 on a $1,000 item. For high-value goods or cross-border purchases, this difference can be significant.

Understanding VAT: Key Concepts

What Is VAT?

Value Added Tax is a consumption tax levied at each stage of the supply chain. Unlike a simple sales tax (collected once at the point of sale), VAT is charged by every business that adds value to a product. Each business pays VAT on its purchases and charges VAT on its sales, remitting the difference to the government. The end consumer bears the full cost.

VAT vs GST vs Sales Tax

GST (Goods and Services Tax) is functionally identical to VAT — used in countries like Australia, New Zealand, India, and Canada. Sales tax (used in the United States) is collected only at the final sale. The arithmetic for calculating the tax amount is the same in all cases: multiply by the rate to add, divide by (1 + rate) to remove.

Standard vs Reduced Rates

Most countries with VAT have at least two rates: a standard rate (applied to most goods and services) and one or more reduced rates for essentials. For example, the UK applies 20% standard, 5% reduced (home energy, child car seats), and 0% (most food, children's clothing). This calculator lets you enter any rate.

VAT-Inclusive vs VAT-Exclusive Pricing

In most of Europe, prices displayed to consumers must include VAT (VAT-inclusive or gross pricing). In B2B contexts and in some countries (notably the US for sales tax), prices are displayed without tax (net pricing). Knowing whether a price includes tax determines whether you need to add or remove VAT.

Frequently Asked Questions

Multiply the net price by (1 + rate/100). For 20% VAT on £500: £500 × 1.20 = £600 gross. The VAT is £500 × 0.20 = £100.
Divide the gross price by (1 + rate/100). For 19% VAT on €119: €119 / 1.19 = €100 net. The VAT is €119 − €100 = €19. A common mistake is to simply subtract the percentage — that gives the wrong answer.
VAT is collected at every stage of the supply chain; each business pays on inputs and charges on outputs. Sales tax is collected once at the final point of sale. The math for calculating the tax on a price is the same. Over 170 countries use VAT/GST; the US uses sales tax.
Because the percentage was applied to the net price, not the gross. If a £120 price includes 20% VAT, the VAT is not £24 (20% of 120). The correct calculation: £120 / 1.20 = £100 net, VAT = £20. The VAT is 20% of the net (£100), which is only 16.67% of the gross (£120).
No. This is a universal calculator that does pure arithmetic. You enter the rate manually. It does not apply country-specific exemptions, reduced rates, thresholds, or filing rules. Use the country links below for country-specific tax calculators.

Related Calculators

Embed This Calculator

Add the sum.money VAT Calculator to your website. Free, responsive, always up to date.

<iframe src="https://sum.money/embed/vat-calculator" width="100%" height="700"></iframe>