VAT calculator

Add or remove UK VAT in one click.

UK VAT calculator — add VAT or work backwards from a gross figure

Pick a direction, type the amount, set the rate that applies to your supply, and see the net, VAT and gross broken out so you can put the right figures on an invoice.

Free to use · Runs entirely in your browser · No signup required

We are not quoting a VAT rate here

We have not verified the current UK VAT rates against HMRC's published guidance, so we are not going to print a figure and ask you to trust it. Read the rate off GOV.UK and enter it below — the calculator does the rest.

VAT rates — GOV.UK

What do you need to do?

You have the price before VAT and want the total to charge the customer.

Net amount (before VAT)

The VAT-exclusive value of the supply — what the work is worth before tax.

VAT rate

Enter the rate that applies to this supply. Check it on GOV.UK if you are not certain — different work carries different rates, and getting it wrong is your liability, not the customer's.

Enter a VAT rate to see the result.

Enter an amount and a VAT rate to see the net, VAT and gross figures.

What this does and does not do

It is arithmetic on one supply at one rate. It does not decide which rate — or which liability — applies to your work.
Zero-rated and exempt both show £0.00 of VAT and are not the same thing. Zero-rated supplies are taxable at 0%: they count towards your registration threshold and you can normally recover VAT on related costs. Exempt supplies are outside VAT altogether, do not count towards the threshold, and generally block recovery.
It does not handle the construction domestic reverse charge, partial exemption, margin schemes, the flat rate scheme or imports.
Figures are rounded to the penny at each line, which is how they will appear on an invoice. HMRC permits other rounding conventions for VAT on multi-line invoices.

Sources

VAT rates — GOV.UKThe current standard, reduced and zero rates, and what each one covers.
VAT domestic reverse charge for building and construction services — GOV.UKFor construction work the customer may account for the VAT instead of you. Whether it applies depends on the work, whether both parties are VAT and CIS registered, and whether the customer is an end user. This calculator does not make that decision.

Cushty puts the right VAT on every quote and invoice — including the CIS domestic reverse charge — so you are not working it out line by line.

See how invoicing works

When the VAT maths actually matters

Most VAT mistakes in UK service businesses come from one of three places: pulling VAT out of a gross figure with the wrong formula, applying the wrong rate to reduced-rate work, or forgetting that some materials and some services are zero-rated. None of those are complicated once you know the maths — they're just easy to do quickly and get wrong.

If you're VAT registered, this calculator covers the common cases: adding VAT for a quote, removing VAT from a gross figure when reconciling a receipt, and switching between 20%, 5% and 0% rates. Anything more complex (reverse-charge, partial exemption, margin schemes) needs your accountant.

Net + VAT = Gross. Gross ÷ 1.20 = Net (for 20% rate).
Standard UK rate is 20% on most goods and services
Reduced rate is 5% on domestic fuel, some installations, and a few other categories
Zero rate is 0% on children's clothing, most food, books and a few other categories

Common questions

What's the UK VAT threshold?

The VAT registration threshold is based on taxable turnover in any rolling 12-month period. If you cross the current threshold, you must register for VAT; you can also register voluntarily below it. Always check the latest HMRC guidance for the current figure.

What rate does construction work attract?

Most domestic construction work is standard 20%. Some new-build and energy-efficient installations qualify for 5% or 0%. The domestic reverse-charge applies to most CIS-registered B2B construction services — that's a separate flow not covered here.

Why does removing VAT use a different formula?

To remove VAT, you divide by (1 + rate), not subtract the rate. £120 gross at 20% VAT contains £20 of VAT, not £24. Dividing 120 by 1.20 gives the £100 net. This calculator does that automatically.

Should I show VAT on my quotes?

Yes, separately. Quotes should show the net amount, the VAT, and the gross total. This is both clearer for the customer and required for compliant invoicing if you're VAT registered.

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When the VAT maths actually matters

Net + VAT = Gross. Gross ÷ 1.20 = Net (for 20% rate).

Standard UK rate is 20% on most goods and services

Reduced rate is 5% on domestic fuel, some installations, and a few other categories

Zero rate is 0% on children's clothing, most food, books and a few other categories

Add or remove UK VAT in one click.

UK VAT calculator — add VAT or work backwards from a gross figure

What this does and does not do

Sources

When the VAT maths actually matters

Common questions

Other free tools

Invoice generator

CIS deduction calculator

Quote generator

Markup vs margin converter

Ready to take back control of your operations?

Add or remove UK VAT in one click.

UK VAT calculator — add VAT or work backwards from a gross figure

What this does and does not do

Sources

When the VAT maths actually matters

Common questions

Other free tools

Invoice generator

CIS deduction calculator

Quote generator

Markup vs margin converter

Ready to take back control of your operations?