Reverse VAT calculator: remove VAT from a price
Have a price that already includes VAT? Enter it to find the price before VAT and the VAT inside it. Pick 20%, 5% or any other rate. The calculator divides by 1 plus the rate, which is the right method, rather than taking a percentage off.
How to use the VAT Calculator
- 1Choose Add VAT if your price excludes VAT, or Remove VAT if it already includes it.
- 2Enter the amount and pick a rate, such as 20%, or type your own.
- 3Read the net price, the VAT and the gross price. The formula is shown underneath.
- 4Copy the result, or use the invoice generator to put it on an invoice.
Frequently asked questions
Why can't I just take 20% off to remove VAT?
Because VAT was added to the net price, not to the total. 20% of £120 is £24, but the VAT in £120 is only £20. Dividing by 1.2 gives the right net price of £100.
How do I reverse-calculate VAT in Excel?
If the gross amount is in A1, the net is =A1/1.2 and the VAT is =A1-A1/1.2 (or =A1/6) at 20%. Replace 1.2 with 1 plus your rate for other rates.
Is reverse VAT the same as the reverse charge?
No. Reverse calculating just means finding the VAT inside a price. The reverse charge is a rule where the buyer, not the seller, accounts for the VAT, used for some services and construction work.
Related free tools
All tools- VAT CalculatorAdd or remove VAT at 20%, 5%, 0% or any rate, with the sums shown.
- UK VAT calculatorUK VAT calculator (20%, 5% and 0%)
- Invoice GeneratorMake a professional PDF invoice with your logo, VAT and discounts.
- Percentage CalculatorX% of Y, X is what % of Y, and percentage increase or decrease.
- Discount CalculatorPrice after a discount, your savings, and stacked discounts.
- Receipt GeneratorMake a PDF payment receipt, on A4 or an 80 mm till-roll layout.
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