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VAT calculator

Enter an amount, choose the rate and whether it is net or gross. The calculator shows the net, the VAT and the gross.

The figures behind it · Standard rate
20 %
Reduced rate
5 %
Registration threshold
£90,000 turnover

Your figures

How VAT is calculated

Adding is a multiplication; removing is a division, not a subtraction of the same percentage.

Adding VAT
Net × 1.20 at the standard rate. £1,000 net is £1,200 gross.
Removing VAT
Gross ÷ 1.20. £1,200 gross contains £200 VAT, not £240: taking 20 % off the gross is the common mistake.
Rates
20 % standard; 5 % for domestic energy, children's car seats and some renovations; 0 % for most food, books and children's clothes. Exempt supplies carry no VAT at all.
Source and rules

GOV.UK: VAT rates

Rule set 2026.1, last checked on October 12, 2026.

The result is an estimate based on the statutory rules. Your contract, collective agreement or tax code may change the figures. It is not tax or legal advice.

Frequently asked questions

How do I work out VAT backwards?

Divide the gross by 1.2 to get the net, then subtract to get the VAT. Or multiply the gross by 1/6: £120 gross contains £20 VAT.

When must I register for VAT?

When your taxable turnover passes £90,000 in any 12 months, or will do so within 30 days. Voluntary registration is possible below that.

Which rate applies to my invoice?

Most goods and services are standard-rated at 20 %. Check HMRC's VAT rates list for reduced, zero-rated and exempt items.

What next?

Post a job on Jober and reach candidates while the numbers are fresh.

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