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VAT Calculator

Calculate VAT on goods and services

Additional Information and Definitions

Amount Type

Select whether the amount you are entering is inclusive or exclusive of VAT.

Amount

Enter the amount for which you want to calculate VAT.

VAT Rate

Enter the VAT rate applicable to the goods or services.

Easily Calculate Your VAT

Estimate VAT amounts for different rates and regions

£
%

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Understanding VAT Terms

Key terms to help you understand VAT calculations

VAT:

Value Added Tax - A consumption tax levied on the value added to goods and services.

VAT Exclusive:

An amount that does not include VAT; VAT will be added to this amount.

VAT Inclusive:

An amount that includes VAT; VAT will be deducted from this amount to find the net amount.

Net Amount:

The amount before VAT is added.

Gross Amount:

The amount after VAT has been added.

5 Surprising Facts About VAT

Value Added Tax (VAT) is a common tax, but there are some surprising facts about it.

1.VAT Origins

VAT was first introduced in France in 1954 by Maurice Lauré, a French economist.

2.Global Adoption

Over 160 countries around the world use VAT or similar consumption taxes.

3.Impact on Prices

VAT can significantly impact the final price of goods and services, especially in countries with high VAT rates.

4.Revenue Generation

VAT is a major source of revenue for governments, contributing significantly to public finances.

5.Digital Goods

Many countries now apply VAT to digital goods and services, reflecting the growing digital economy.