The VAT calculator can compute the value-added tax (VAT) amount and net or gross price from the given VAT rate.
The following formulas are used:
Net Price = Gross Price ÷ (1 + VAT Rate ÷ 100)
VAT Amount = Net Price × (VAT Rate ÷ 100)
Gross Price = Net Price × (1 + VAT Rate ÷ 100)
VAT Rate (%) = (VAT Amount ÷ Net Price) × 100
A product costs $550 before tax. The VAT rate is 20%. Find the VAT amount and the gross price.
Apply the values in the formula:
= 550 × (20 ÷ 100)
= 550 × 0.2
VAT amount = $110
Gross price = $550 + $110 = $660
The item price is $75, including 20% VAT. Find the original price.
= 75 ÷ (1 + 20 ÷ 100)
= 75 ÷ 1.2
Net price = $62.5
The price before tax is $2,300, and the VAT rate is 15%. Find the price after tax.
= 2,300 × (1 + 15 ÷ 100)
= 2,300 × 1.15
Gross price = $2,645
The net price is $300, and the VAT amount is $15. Find the VAT rate.
= (15 ÷ 300) × 100
= 0.05 × 100
= 5%