myvatcalc.uk

UK VAT Calculator

Calculate VAT quickly and accurately for any amount. Add or remove VAT at standard, reduced, or zero rates.

VAT Calculator

£

VAT Quick Reference Table

Net Price+VAT (20%)Total Price
£10.00£2.00£12.00
£25.00£5.00£30.00
£50.00£10.00£60.00
£75.00£15.00£90.00
£100.00£20.00£120.00
£150.00£30.00£180.00
£200.00£40.00£240.00
£250.00£50.00£300.00
£500.00£100.00£600.00
£1,000.00£200.00£1,200.00
£2,500.00£500.00£3,000.00
£5,000.00£1,000.00£6,000.00

This table shows the VAT calculation at the standard UK rate of 20% for common price points. Use our calculator for custom amounts and for other rates.

How VAT Works

Understanding VAT calculations is essential for businesses and consumers. Here are the key formulas you need to know.

Add VAT to net price

Gross = Net × (1 + VAT rate)

Example: £100 × 1.20 = £120

Multiply the net amount by 1 plus the VAT rate (as a decimal) to get the gross amount including VAT.

Remove VAT from gross price

Net = Gross ÷ (1 + VAT rate)

Example: £120 ÷ 1.20 = £100

Divide the gross amount by 1 plus the VAT rate (as a decimal) to get the net amount excluding VAT.

Zero-rated items

VAT = £0.00

Example: Food, books, newspapers

Zero-rated items have a VAT rate of 0%, meaning no VAT is charged, but the seller can still reclaim VAT on business expenses.

Reduced rate items

VAT rate = 5%

Example: Domestic fuel, children's car seats

Some goods and services qualify for a reduced VAT rate of 5% instead of the standard 20% rate.

UK VAT rates explained

The UK has three VAT rates. Understanding which rate applies to your goods or services is crucial for accurate pricing and compliance.

20%
Standard Rate

The standard VAT rate applies to most goods and services in the UK.

Examples:
  • •Electronics and appliances
  • •Clothing and footwear
  • •Restaurant meals
  • •Hotel accommodation
  • •Professional services
5%
Reduced Rate

A reduced VAT rate applies to certain goods and services deemed essential or beneficial.

Examples:
  • •Domestic fuel and power
  • •Children's car seats
  • •Mobility aids for elderly
  • •Energy-saving materials
  • •Smoking cessation products
0%
Zero-Rated

Zero-rated items have a VAT rate of 0%. Businesses can still reclaim VAT on related costs.

Examples:
  • •Most food and drink
  • •Books and newspapers
  • •Children's clothes
  • •Public transport
  • •Prescription medicines

Frequently asked questions

Common questions about VAT calculations and UK VAT rates.

VAT (Value Added Tax) is a consumption tax levied on most goods and services in the UK. It is charged at each stage of production and distribution, with businesses collecting VAT on behalf of HMRC. The standard rate is currently 20%, though reduced rates of 5% and 0% apply to certain items.
To add VAT to a net price, multiply the amount by 1.20 (for 20% VAT). For example, £100 × 1.20 = £120. To remove VAT from a gross price, divide by 1.20. For example, £120 ÷ 1.20 = £100. The VAT amount is the difference between gross and net prices.
The UK has three VAT rates: Standard rate (20%) applies to most goods and services, Reduced rate (5%) applies to items like domestic fuel and children's car seats, and Zero rate (0%) applies to items like most food, books, and newspapers. The standard rate of 20% has been in effect since January 2011.
VAT-registered businesses can reclaim VAT on purchases related to their business activities. This is done through VAT returns submitted to HMRC, typically quarterly. You can reclaim VAT on business expenses, equipment, and stock, but not on items for personal use or non-business purposes.
Zero-rated items include most food and drink (excluding hot takeaways and restaurant meals), books and newspapers, children's clothes and footwear, public transport, prescription medicines, and certain medical equipment. While no VAT is charged on these items, businesses can still reclaim VAT on related costs.
The 5% reduced VAT rate applies to domestic fuel and power, children's car seats, mobility aids for elderly people, energy-saving materials, smoking cessation products, and certain renovations of residential properties. This reduced rate helps make essential goods and services more affordable.