🧮 VAT Calculator

About this VAT Calculator

VAT and sales tax cause the same mix-up everywhere: is this price with tax or without? This calculator settles it both ways in one click — it adds the tax to a net price to get the gross, and also strips the tax out of a gross price to reveal the net and the exact tax portion. The strip-out uses the correct division formula, not simply subtracting the percentage, which is the mistake most people make.

How to use it

1. Enter the amount you are working with.
2. Enter the VAT or sales tax rate as a percentage — 18% is prefilled as a common standard rate; change it to your local rate.
3. Click Calculate VAT.
4. Read the first block if your amount is before tax, and the second block if your amount already includes tax.

Example

At 18%, a net price of 10,000 becomes 11,800 gross with 1,800 of VAT; and a gross price of 10,000 contains a net of about 8,474.58 with 1,525.42 of VAT inside it.

Frequently asked questions

Why is removing VAT not just subtracting the percentage?

Because the percentage was charged on the smaller net price. Subtracting 18% from the gross removes too much; dividing the gross by 1.18 recovers the true net.

What rate should I use?

Use the rate that applies to your goods or services in your country — standard rates differ (for example 18% general sales tax in Pakistan, 20% VAT in the UK). When in doubt, check your tax authority current rate.

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