UK VAT Calculator — Add or Remove VAT at 20%, 5% or 0%
Work out VAT on any UK price in seconds. Enter an amount, choose whether you are adding VAT to a net price or taking VAT out of a gross price, and pick the rate that applies — 20% standard, 5% reduced or 0% zero-rated. You get the net amount, the VAT amount and the gross total, with every step of the calculation shown so you can check it against your invoice or VAT return.
Your amount is the price excluding VAT (net). We add VAT on top.
Standard rate — applies to most goods and services in the UK.
Step-by-step calculation
Do you need to register for VAT? The £90,000 check
You must register for VAT with HMRC if your taxable turnover goes over £90,000 in any rolling 12-month period — not just the tax year. Enter your last 12 months of taxable sales to see where you stand.
Worked examples
| You start with | Rate | Net | VAT | Gross |
|---|---|---|---|---|
| £100 excluding VAT — add VAT | 20% | £100.00 | £20.00 | £120.00 |
| £120 including VAT — remove VAT | 20% | £100.00 | £20.00 | £120.00 |
| £100 excluding VAT — add VAT | 5% | £100.00 | £5.00 | £105.00 |
| £105 including VAT — remove VAT | 5% | £100.00 | £5.00 | £105.00 |
| £100 of zero-rated food or books | 0% | £100.00 | £0.00 | £100.00 |
Check the maths: £100 × 20% = £20 VAT, so £100 + £20 = £120 including VAT. Going the other way, £120 ÷ 1.20 = £100 excluding VAT — the VAT inside a £120 price is £120 − £100 = £20. Try both in the calculator above.
UK VAT rates and thresholds for 2026/27
Standard rate
Applies to most goods and services sold in the UK unless a reduced or zero rate specifically applies.
Reduced rate
Covers things like domestic fuel and power, children's car seats, and certain renovation and conversion work on homes.
Zero rate
Covers most food, books and newspapers, children's clothing, and the construction of new-build homes. Zero-rated sales still count as taxable turnover.
Registration threshold
Register with HMRC if taxable turnover exceeds £90,000 in any rolling 12 months, or is expected to in the next 30 days alone.
Deregistration threshold
If you are registered and your taxable turnover falls below £88,000, you can usually apply to cancel your VAT registration.
Flat rate scheme limit
You can join the VAT flat rate scheme if your taxable turnover is £150,000 or less (excluding VAT). You must leave if it rises above £230,000 including VAT.
How it works
Enter the amount
Type the price you are working from — either the price before VAT or the full price the customer paid, depending on your mode.
Pick add or remove
Add VAT takes a net price to a gross price. Remove VAT works backwards from a gross price. VAT amount only isolates just the tax on a net price.
Choose the rate
20% for most sales, 5% for reduced-rate items such as domestic energy, and 0% for zero-rated goods like most food and children's clothes.
Read the breakdown
Results update as you type: net, VAT and gross, plus the exact formula used — handy for checking invoices, quotes and VAT returns.
The formulas: adding VAT is gross = net × (1 + rate). Removing VAT is net = gross ÷ (1 + rate), so at 20% you divide by 1.20 and at 5% you divide by 1.05. The VAT inside a gross price at 20% is one-sixth of the total.
Frequently asked questions
How do I add 20% VAT to a price?
Multiply the net price by 1.20. For example, £100 × 1.20 = £120 including VAT, of which £20 is VAT. In the calculator, choose “Add VAT”, select 20%, and enter the price excluding VAT.
How do I work out the price excluding VAT?
Divide the VAT-inclusive price by 1.20 for the standard rate (or 1.05 at the reduced rate). So £120 ÷ 1.20 = £100 excluding VAT. A common mistake is taking 20% off the gross price — that gives £96, which is wrong, because VAT was charged on the net price, not the gross.
What is the current UK VAT registration threshold?
For 2026/27 the threshold is £90,000 of taxable turnover in any rolling 12-month period. It is a rolling test, not a tax-year or calendar-year test, so check your last 12 months at the end of every month. The deregistration threshold is £88,000.
Which goods and services are charged at 5% or 0%?
The 5% reduced rate mainly covers domestic fuel and power, children's car seats, and some energy-saving installations and home renovations. The 0% zero rate covers most food, books, children's clothing and new-build homes. Some supplies are exempt (such as most financial, health and education services) — exempt is not the same as zero-rated, and exempt sales do not count towards the £90,000 threshold.
What is the VAT fraction for taking VAT out of a total?
At 20%, the VAT contained in a VAT-inclusive price is 1/6 (one-sixth) of the total — so a £120 receipt contains £20 of VAT. At the 5% reduced rate the fraction is 1/21, so a £105 total contains £5 of VAT. The calculator's “Remove VAT” mode does this for you.
What is the VAT flat rate scheme and who can join?
Under the flat rate scheme you pay HMRC a fixed percentage of your VAT-inclusive turnover for your business type, instead of working out VAT on every sale and purchase. You can join if your taxable turnover is £150,000 or less excluding VAT, and you must leave if your total income rises above £230,000 including VAT. You still charge customers the normal VAT rates on invoices.
More free tools on ToolNly
United Kingdom
Canada
Popular worldwide tools