VAT Calculator 2026/27
Updated for the 2026/27tax year · Last updated
Add VAT to a net price or strip VAT from a gross figure — at standard (20%), reduced (5%), or zero rate. Switch between “add” and “remove” using the dropdown.
Gross (inc-VAT)
£1,200.00
VAT amount
£200.00
| Net (ex-VAT) | £1,000.00 |
| VAT at 20% | £200.00 |
| Gross (inc-VAT) | £1,200.00 |
VAT registration threshold: £90,000 turnover/year.
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How this calculator works
Adding VAT: gross = net × (1 + rate/100). VAT amount = gross − net.
Removing VAT: net = gross ÷ (1 + rate/100). VAT amount = gross − net. A common mistake is multiplying the gross by the rate — that overstates the VAT. Always divide to extract VAT from a VAT-inclusive figure.
Frequently asked questions
You must register for VAT when your taxable turnover exceeds £90,000 in any rolling 12-month period (increased from £85,000 in April 2024). You can also register voluntarily below this threshold — useful if you want to reclaim VAT on business purchases.
The standard rate is 20% and applies to most goods and services. The reduced rate of 5% applies to things like domestic energy and children's car seats. Zero rate (0%) applies to most food, books, children's clothing, and some construction work. Some supplies are VAT-exempt entirely (financial services, insurance, postage stamps).
To find the net amount, divide the gross by 1.2 (for 20% VAT). The VAT amount is the difference between gross and net. This calculator does the maths for you — just select 'Remove VAT from gross amount' and enter the gross figure.
Under the FRS, you charge customers VAT at the standard rate (20%) but pay HMRC a lower sector-specific rate on your gross turnover. The difference is your FRS 'saving'. Use the Flat Rate VAT Calculator for a full FRS comparison.