Value Added Tax (VAT) is a consumption tax added to goods and services at each stage of production/distribution. The end consumer bears the full tax.

VAT Calculator

Amount

VAT Rate (%) VAT Option

VAT Calculator — Free Value Added Tax Tool 2026

💰 VAT Calculator — Free Value Added Tax Tool 2026

Free VAT Calculator — Calculate Value Added Tax instantly. Add or remove VAT, try different rates, and see net, gross, and VAT amounts. Perfect for invoices and business math.

✓ Add VAT / Remove VAT ✓ Preset Rates ✓ Custom Rate ✓ Net / Gross / VAT ✓ Instant Results

➕ Add VAT

➖ Remove VAT

💰 Net Amount (excl. VAT)

📊 VAT Rate (%)

20%

📊 Gross Amount (incl. VAT)

$0.00

VAT Amount

$0.00

Net Amount

$0.00

📌 Calculation Details

Enter net amount to add VAT

📘 VAT Guide — Everything You Need to Know

🔹 What is VAT?

Value Added Tax (VAT) is a consumption tax added to goods and services at each stage of production and distribution. The end consumer bears the full tax, while businesses can reclaim VAT on their purchases.

🔹 How to Calculate VAT (Add Mode)

VAT Amount = Net Amount × VAT Rate. Gross Amount = Net Amount + VAT Amount. Example: $100 net at 20% VAT = $20 VAT, $120 gross.

🔹 How to Remove VAT (Reverse)

Net Amount = Gross Amount ÷ (1 + VAT Rate). VAT Amount = Gross Amount - Net Amount. Useful for invoices that include tax.

🔹 Common VAT Rates Worldwide

Hungary: 27% (highest), Sweden/Denmark: 25%, Germany: 19%, France: 20%, UK: 20%, Canada (GST/HST): 5-15%, Australia: 10%, India: 5-28% depending on goods.

🔹 Who Needs to Register for VAT?

Businesses exceeding a turnover threshold (e.g., UK: £90,000, EU varies) must register, charge VAT, and file returns. Thresholds vary by country.

🔹 VAT vs Sales Tax

Sales tax is only charged at final sale to consumer. VAT is charged at every production stage, with credits for previous VAT paid. Most countries outside the US use VAT.

❓ Frequently Asked Questions

What is VAT and how is it different from sales tax? +

VAT is collected at every stage of production, with businesses claiming credits for VAT they've paid. Sales tax is only charged at final sale to consumer. Most countries use VAT; the US uses sales tax.

How to calculate VAT from net amount? +

VAT = Net amount × VAT rate. Gross = Net + VAT. Enter net amount, choose rate, and our calculator shows both automatically.

How to remove VAT from gross amount? +

Net = Gross ÷ (1 + VAT rate). VAT = Gross - Net. Switch to "Remove VAT" mode, then enter the gross amount.

What are common VAT rates worldwide? +

EU: 15-27% (Hungary 27%, Germany 19%, France 20%), UK: 20%, Canada: GST/HST 5-15%, Australia: 10%, India: 5-28% depending on goods.

What is the VAT registration threshold? +

Thresholds vary by country. Example: UK £90,000, Germany €22,000, France €85,800. Below threshold, registration is voluntary.

⭐ Pro tip: Use preset rate buttons for quick calculations. Switch between Add/Remove VAT mode depending on whether you have net or gross amount. Always check your local VAT rate.