VAT Calculator
The VAT Calculator helps you calculate Value Added Tax for the UK, Europe, Canada, and Australia. Add or remove VAT from any amount instantly.
VAT Calculation
For UK, Europe, Canada, Australia
UK: 20%, Germany: 19%, France: 20%, Italy: 22%, Canada: 5%
VAT Breakdown
About VAT Calculator
The Value Added Tax (VAT) Calculator helps you calculate VAT for transactions in the UK, Europe, Canada, and Australia. Whether you need to add VAT to a price or remove VAT from a VAT-inclusive price, this calculator gives you instant results.
VAT is a consumption tax applied to most goods and services. Businesses charge VAT on their sales (output VAT) and can reclaim VAT on their purchases (input VAT). The difference is paid to or refunded by tax authorities.
VAT Calculation Formula
Add VAT
Gross Amount = Net Amount × (1 + VAT Rate/100)
Example: ₹1000 × 1.20 = ₹1200 (VAT ₹200)
Remove VAT
Net Amount = Gross Amount ÷ (1 + VAT Rate/100)
Example: ₹1200 ÷ 1.20 = ₹1000 (VAT ₹200)
VAT/GST Rates by Country
| Country | Standard Rate | Reduced Rate | Zero Rate |
|---|---|---|---|
| United Kingdom | 20% | 5% | 0% |
| Germany | 19% | 7% | 0% |
| France | 20% | 5.5% | 0% |
| Italy | 22% | 10% | 0% |
| Spain | 21% | 10% | 0% |
| Netherlands | 21% | 9% | 0% |
| Canada (GST) | 5% | 0% | 0% |
| Australia (GST) | 10% | 0% | 0% |
Note: Some countries have provincial or state-level VAT/GST in addition to federal rates.
Important Things to Know
- •VAT rates vary by country and product — Some items like food, books, and children's clothing may have reduced or zero rates.
- •Businesses must register for VAT — If your annual turnover exceeds the VAT threshold in your country, you must register and charge VAT.
- •VAT is different from sales tax — VAT is charged at each stage of production, while sales tax is only charged at the final sale.
- •Consult a tax professional — This calculator provides estimates. For official VAT calculations, consult a qualified accountant.
Frequently Asked Questions
VAT (Value Added Tax) is a consumption tax applied to goods and services at each stage of production and distribution. Unlike GST, VAT is collected at every step where value is added, not just at the final sale. Most countries have VAT rates between 5-25%.
VAT and GST are similar but have key differences. VAT is collected at each stage of production, while GST is a unified tax that replaced multiple indirect taxes in countries like India, Canada, and Australia. VAT is more common in European countries and the UK.
To add VAT: Total Price = Original Price × (1 + VAT Rate/100). Example: ₹1000 at 20% VAT = ₹1000 × 1.20 = ₹1200. To remove VAT: Original Price = Total Price ÷ (1 + VAT Rate/100). Example: ₹1200 ÷ 1.20 = ₹1000.
UK: 20% standard (5% reduced), Germany: 19%, France: 20%, Italy: 22%, Spain: 21%, Netherlands: 21%, Canada: 5% GST (provincial rates extra), Australia: 10% GST, New Zealand: 15% GST.
Businesses with annual taxable turnover exceeding the VAT threshold must register. UK threshold is £85,000, Germany is €22,000, France is €85,800. Once registered, businesses must charge VAT on sales and can reclaim VAT on purchases.
VAT-registered businesses must file VAT returns quarterly or monthly (depends on country). They report output VAT (collected from customers) and input VAT (paid on purchases). The difference is paid to or refunded by tax authorities.
About the VAT Calculator
The VAT Calculator helps you calculate Value Added Tax for the UK, Europe, Canada, and Australia. Add or remove VAT from any amount instantly.
Formula
Reference Table
| Category | Value |
|---|---|
| United Kingdom | 20% |
| Germany | 19% |
| France | 20% |
| Italy | 22% |
| Canada (GST) | 5% |