This online calculator shows you how to calculate VAT from a net or gross figure. Simply enter the net or gross value, and the form will automatically calculate the relevant values.
The current system was introduced just after the UK's entry into the European Community on 1st January 1973.
Rates across Europe vary with Germany at 19%, France at 20%, Ireland at 23% and Italy 22%. The lowest tax rate is in Liechtenstein and Switzerland at just 8%.
Most exceptions incur a lower rate of tax as follows:
Businesses not registered for VAT should not charge it. You have to register if your turnover for the previous 12 months or 30 day period is over a certain threshold. The current threshold is £82,000 for the tax year ending April 5th, 2016.
Copy and paste the following code into your website and the widget as shown will appear on your site and work as it is here.
We host this calculator so it won't impact your web performance at all. If the rates ever change we simply update our code and your website will automatically have the changes too!
The code must appear exactly as it does above. Otherwise, it won't work.
If you like this widget, you may also like our mortgage repayment calculator widget that you can also add for free to your website.
If you have a gross amount and want to determine the net value then simply divide the gross value by 1.20 and this provides the net amount. For example, an invoice that includes VAT totalling £150 would have a VAT amount of £25 and the net would be £125. This result is calculated by dividing £150 by 1.2 which gives the net value of £125 with the difference being the tax at 20%.
If you have a figure you want to add VAT against, multiply by 0.20% to find the VAT value or 1.20 to find the gross value including VAT. For example, an invoice of £125 multiplied by 20% provides a VAT figure of £25.
The net amount is the value you use in your accounts for purchases and sales if you're a VAT registered company.
This page was last reviewed on 5th August 2015 and has the latest rates from HMRC.
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