Calculate VAT quickly from net or gross price and get the VAT amount and total instantly—no downloads needed.
Add VAT to a net price, remove VAT from a gross price, or reverse-calculate the VAT amount from any total. The XConvert VAT Calculator runs entirely client-side — no sign-up, no upload, no data ever leaves your browser. Pick a country preset or type your own rate, and the gross, net, and VAT components update instantly.
Most invoicing mistakes come from mixing up gross and net or applying the wrong rate to cross-border sales. This tool keeps the math simple so you can focus on the pricing decisions: standard rate vs. reduced rate, VAT-inclusive vs. VAT-exclusive quoting, and whether the transaction even falls inside scope.
The tool also handles reverse-charge scenarios in the documentation below: if you're a B2B buyer self-accounting for VAT on an EU service import, you can calculate both the input and output VAT side at the same rate.
VAT (Value Added Tax) is a percentage applied to the net price. The gross is what the customer pays; the VAT amount is what the seller remits to the tax authority.
gross = net × (1 + rate). At UK 20%, £100 net × 1.20 = £120 gross, with £20 VAT.net = gross ÷ (1 + rate). At UK 20%, £120 gross ÷ 1.20 = £100 net, leaving £20 VAT.vat = gross − (gross ÷ (1 + rate)). At UK 20%, £120 − (£120 ÷ 1.20) = £20.The common mistake is multiplying the gross by 20% to "remove" VAT — that gives £24 on a £120 total, which is wrong by £4. VAT must be removed by division, not multiplication, because the 20% was added to the net, not the gross.
Tax Foundation, January 2026 data. EU minimum standard rate is 15% by directive; the EU-wide average is 21.9%.
| Country | Standard | Common Reduced | Notes |
|---|---|---|---|
| United Kingdom | 20% | 5%, 0% | £90,000 registration threshold (2026/27) |
| Germany | 19% | 7% | Lowest of the large EU economies |
| France | 20% | 10%, 5.5%, 2.1% | Multiple reduced rates by product class |
| Ireland | 23% | 13.5%, 9%, 4.8% | 9% applies to gas/electricity until end-2025 |
| Netherlands | 21% | 9% | Reduced rate on food, books, medicines |
| Spain | 21% | 10%, 4% | "Super-reduced" 4% on essentials |
| Italy | 22% | 10%, 5%, 4% | |
| Belgium | 21% | 12%, 6% | |
| Poland | 23% | 8%, 5% | |
| Austria | 20% | 13%, 10% | |
| Portugal | 23% | 13%, 6% | Lower rates apply on Madeira and Azores |
| Greece | 24% | 13%, 6% | |
| Sweden | 25% | 12%, 6% | |
| Denmark | 25% | (none) | No reduced rates — flat 25% on most goods |
| Finland | 25.5% | 14%, 10% | Raised from 24% in September 2024 |
| Hungary | 27% | 18%, 5% | Highest standard rate in the EU |
| Luxembourg | 17% | 14%, 8%, 3% | Lowest in the EU |
| Property | VAT (EU, UK) | Sales Tax (US) | GST (Australia, Canada, India, NZ) |
|---|---|---|---|
| Where collected | Every stage of the supply chain | Only at the final retail sale | Usually every stage (multi-stage) |
| Input tax credit | Yes — businesses reclaim VAT paid on inputs | No — paid by end consumer only | Yes (in most GST systems) |
| Typical rate | 17%–27% in EU; 20% UK | 0%–~10% combined state + local | 5% Canada / 10% Australia / 18% India (standard slab) |
| Price tags | Usually inclusive of VAT | Usually exclusive of sales tax | Mixed by country |
| Cross-border B2B | Reverse-charge mechanism | Generally no equivalent | Some GST systems use reverse-charge |
| Threshold | EU country-by-country (£90K UK, varies elsewhere) | State-by-state economic nexus rules | Country-specific (e.g., AUD 75,000 in Australia) |
The single biggest behavioral difference: VAT is embedded in the price you see on the shelf in Europe, whereas US sales tax is added at the register. A €120 product in Germany already contains €19.16 of VAT; a $100 product in California has $7.25–$10.75 of sales tax added on top depending on the city.
UK VAT has three rate bands. Other EU countries follow similar patterns but with different items in each band.
| Band | Rate | Examples |
|---|---|---|
| Standard | 20% | Most goods, services, electronics, clothing for adults, restaurant meals |
| Reduced | 5% | Domestic gas and electricity, children's car seats, energy-saving materials, mobility aids for the elderly, nicotine patches |
| Zero | 0% | Most groceries (excl. hot takeaway), children's clothing and footwear, books and newspapers (including e-books since May 2020), public transport, prescription medicines, exports outside the UK |
| Exempt | n/a | Financial services, insurance, postal services, education, healthcare — outside VAT scope entirely |
The difference between zero-rated and exempt matters for businesses: zero-rated businesses can still reclaim input VAT on their costs; fully exempt businesses cannot. A bookshop charging 0% VAT on books still recovers VAT on its rent and stationery; a private tutor providing exempt education does not.
VAT-exclusive (the "net" price) is the amount before VAT is added. VAT-inclusive (the "gross" price) is what the customer pays — net plus the VAT component. Most EU consumer prices are quoted gross (VAT-inclusive); B2B quotes and US-style listings are usually net (VAT-exclusive). When in doubt, the invoice should show both lines plus the VAT amount and rate separately.
Divide the gross by 1 + rate, then subtract the result from the gross. For a £120 receipt at UK 20%: £120 ÷ 1.20 = £100 net, and £120 − £100 = £20 VAT. A common error is multiplying the gross by 20% directly, which gives £24 — that's wrong because the original VAT was 20% of the net (£100), not of the gross (£120).
Reduced rates apply to goods governments want to tax more lightly — typically food, books, children's items, energy, and medicines. Zero rate (0%) is technically still inside VAT scope, so businesses can reclaim input VAT on their costs. Exempt supplies (financial services, insurance, healthcare) are outside VAT entirely — no VAT charged, no input VAT recoverable. The XConvert calculator accepts any custom rate including 0 and the various reduced bands (5%, 9%, 13.5%, etc.).
VAT is collected at every stage of the supply chain, with businesses reclaiming VAT paid on inputs — so only the value added at each step is taxed. US sales tax is collected only on the final retail sale, paid entirely by the consumer, with no input credit. GST (Australia, Canada, India, NZ, etc.) is usually a VAT-style multi-stage tax with input credits, just under a different name. The math the calculator does is identical for VAT and GST — just substitute your country's rate.
Reverse-charge shifts the obligation to account for VAT from the seller to the buyer. It applies mainly to (1) cross-border B2B services within the EU, (2) certain domestic supplies prone to fraud (construction, mobile phones, scrap metal in some jurisdictions), and (3) imports of services from non-EU suppliers. The buyer self-charges both the input VAT and output VAT on their own VAT return at the same rate — net cash effect is zero, but the transaction is properly recorded.
Below €10,000 net total cross-border B2C sales per calendar year (across all EU countries combined), you keep charging your home country's VAT rate. Above €10,000 you must either register for VAT in each destination country or use the One-Stop Shop (OSS) and charge each buyer their own country's rate — 19% for German buyers, 25% for Swedish buyers, etc. — then file one quarterly OSS return covering all EU sales.
The UK VAT registration threshold is £90,000 of taxable turnover on a rolling 12-month basis (2026/27 tax year, unchanged since April 2024). HMRC checks the previous 12 months at the end of every month, and you have 30 days to register once you cross the threshold. The deregistration threshold is £88,000. Voluntary registration below the threshold is also allowed and is often worthwhile if your customers are VAT-registered businesses who can reclaim what you charge.
Yes — VAT is always a percentage of the net amount, so the currency is cosmetic. Enter the number in USD, AED, JPY, ZAR, INR, or any other currency and the math works identically. Just remember that the rate to apply is determined by the supply rules in the country of taxation, not by the invoice currency.
It is — by 20% of the net, not 20% of the gross. £100 net + 20% VAT = £120 gross. But going the other direction, the £20 VAT is only about 16.67% of the £120 gross (because the gross has the larger denominator). This is why "Remove VAT" requires dividing by 1.20, not multiplying the gross by 20%.
No. The VAT Calculator runs entirely client-side in JavaScript. No amounts, rates, or country choices are transmitted to any server. You can open browser DevTools → Network tab and confirm zero outbound requests when you press calculate. This makes it safe for sensitive pricing data you wouldn't paste into a hosted spreadsheet.
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