Use this when…
- Check how much VAT is included in a £120 customer price.
- Add VAT to a £100 net quotation.
- Calculate totals for a batch of identical items.
UNITED KINGDOM · VAT 2026
VAT calculator: add or remove UK VAT
Calculate UK VAT-inclusive and VAT-exclusive prices, tax per item and totals for multiple items using standard 20%, reduced 5%, zero rate or a verified custom rate.
NEW TO THIS CALCULATOR?
UK VAT on a quote or receipt: finding net, tax and gross
Need to check the VAT shown on a shop receipt or add VAT to a quote for a customer? This calculator separates the tax from the price. It does not determine which rate is legally correct for your product.
Start with these numbers
- 1. Enter the unit price and quantity.
- 2. Choose whether that price already includes VAT.
- 3. Select a rate only after confirming the treatment with HMRC.
What the result means
Net is the selling value before VAT, the VAT amount is the tax element, and gross is the customer total. Your VAT return involves additional information.
Try this example
A £120 price including standard 20% VAT has £100 net value and £20 VAT. A £100 net quote becomes £120 including VAT.
Watch out for this mistake Subtracting 20% of £120 is not how to remove included VAT. Divide by 1.20. Zero-rated and VAT-exempt are also different.
More detailed explanations appear below the calculator ↓
Enter a price
Choose how the price is entered
Choose an illustrative rate
2026 UK standard VAT is 20%, reduced VAT 5% and some supplies are zero-rated. Zero-rated and exempt are NOT interchangeable; product/service classification and VAT registration rules depend on the transaction. Do not use this calculator as a VAT return, VAT liability or place-of-supply determination.
Your VAT breakdown
Total price including VAT£120.00VAT amount: £20.00
How the formula works
Net price before VAT£100.00
VAT amount£20.00
Total price including VAT£120.00
One unit before VAT£100.00
VAT on one unit£20.00
One unit including VAT£120.00
UNDERSTAND VAT
How to add or remove VAT from a UK price
- 01
Enter the unit selling price and the number of identical items. This is a simple single-rate transaction calculation, not a mixed-rate invoice.
- 02
Choose whether the entered unit price already includes VAT. For example, £120 including VAT at 20% contains £20 VAT and £100 net.
- 03
Select an appropriate statutory rate only after confirming whether your supply qualifies for standard, reduced or zero rating. You can input a custom percentage if needed.
- 04
Review VAT per item, total VAT and the before/after VAT totals. Check your invoicing rules and HMRC guidance for rounding, registration, exemptions and cross-border sales.
How the formula works
2026 UK standard VAT is 20%, reduced VAT 5% and some supplies are zero-rated. Zero-rated and exempt are NOT interchangeable; product/service classification and VAT registration rules depend on the transaction. Do not use this calculator as a VAT return, VAT liability or place-of-supply determination.
From a VAT-inclusive price, the net price is the gross price divided by (1 + VAT rate / 100). From an exclusive price, VAT is the net price multiplied by the tax rate. All figures are estimates; invoice rounding rules may differ.
VAT questions
How do I remove 20% VAT from £120?
Divide £120 by 1.20 to get £100 excluding VAT. The VAT already included is £20, not £24.
Is zero-rated the same as VAT-exempt?
No. Both may have no VAT on a sale, but they can have different implications for input-tax recovery and registration.
Does this tell me which VAT rate my product qualifies for?
No. You must classify the actual supply using HMRC guidance. Rates in the selector are numerical options, not a tax ruling.
HMRC / GOV.UK — VAT rates
2026 UK standard VAT is 20%, reduced VAT 5% and some supplies are zero-rated. Zero-rated and exempt are NOT interchangeable; product/service classification and VAT registration rules depend on the transaction. Do not use this calculator as a VAT return, VAT liability or place-of-supply determination.
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IN-DEPTH CALCULATOR GUIDE
UK VAT on a quote or receipt: finding net, tax and gross
Need to check the VAT shown on a shop receipt or add VAT to a quote for a customer? This calculator separates the tax from the price. It does not determine which rate is legally correct for your product.
01
Who uses a UK VAT calculation?
A shop owner may be preparing shelf labels, while a freelancer may be writing a quote and a buyer may be checking a receipt. The first question is always whether the quoted figure already includes tax.
An actual VAT invoice also depends on the nature of the supply and the seller's VAT registration. Mixed-rate baskets require more than a single calculation.
02
The £120 example and the reverse VAT calculation
A £120 gross amount at 20% represents 120% of the net value. Divide £120 by 1.20 to obtain £100 net. The £20 difference is the VAT included in the sale.
Going the other way, multiply a £100 net amount by 1.20. Quantity multiplies the values for identical items, although actual invoice rounding may differ by a penny.
03
Which UK VAT rate should you enter?
The standard rate is 20%, a 5% reduced rate covers certain supplies, and some supplies are zero-rated. The correct treatment depends on the transaction, not on the rate that produces the cheapest price.
Exempt supplies and zero-rated supplies have different consequences for registration and recovery of input VAT. Confirm product rules on GOV.UK.
04
Why this is not an HMRC VAT return
A business's net VAT due can depend on output tax, input tax reclaimed, adjustments and VAT accounting schemes. The tax on one price does not determine the final tax liability.
This page's CSV download is only a numerical record. It does not verify VAT registration, issue a legally complete invoice or file a VAT return.
Educational planning only. Verify relevant official records and lender or tax documents before making decisions.