How to add VAT
Multiply the price before VAT by the rate. At 20%, a 250 job has 50 VAT, making 300 in total. A quick way is to multiply by 1.2 for 20%, 1.05 for 5%, or 1.1 for 10% GST.
How to remove VAT
Divide the total by 1 plus the rate — for 20%, divide by 1.2. A common mistake is to take 20% off the total, which removes too little VAT. The calculator above does it the right way.
Common rates
The UK standard rate is 20%, with a 5% reduced rate for some goods and services. Ireland’s standard rate is 23%, South Africa and New Zealand charge 15%, and Australia’s GST is 10%. Rates change, so check your tax authority before you invoice.
Building in the UK? Some construction work uses the domestic reverse charge instead — see the CIS calculator and our CIS invoice guide.
A calculator, not tax advice. It does not decide whether VAT applies to you.