United Kingdom VAT Calculator
Work out United Kingdom's VAT in one step: enter a net or gross price in GBP and get the tax amount and the total at 20% or a reduced rate.
United Kingdom VAT
VAT rates in United Kingdom
United Kingdom uses 2 VAT rates: a standard rate of 20%, reduced rate of 5%. The standard rate is close to the Europe average of 20% and shared with 12 other countries in our list.
The 5% reduced rate covers items such as domestic fuel and power, children's car seats and some energy-saving materials. Many basics, including most food, books and children's clothing, are zero-rated (0%), which is different from being exempt.
Official source: gov.uk. Rates checked October 2026.
How to calculate VAT in United Kingdom
Adding VAT to a net price
VAT = net × 20 / 100
Gross = net × 1.2
Removing VAT from a gross price
Net = gross / 1.2
VAT = gross − net
Do not subtract 20% from the total to find the net price — divide by 1.2 instead. Subtracting the percentage removes too much, because VAT is only 16.67% of the gross amount.
VAT examples in GBP
Common amounts with 20% VAT added:
| Net | VAT 20% | Gross |
|---|---|---|
| 10.00 GBP | 2.00 GBP | 12.00 GBP |
| 50.00 GBP | 10.00 GBP | 60.00 GBP |
| 100.00 GBP | 20.00 GBP | 120.00 GBP |
| 500.00 GBP | 100.00 GBP | 600.00 GBP |
| 1,000.00 GBP | 200.00 GBP | 1,200.00 GBP |
| 10,000.00 GBP | 2,000.00 GBP | 12,000.00 GBP |
Removing VAT from gross prices
| Gross | Net | VAT |
|---|---|---|
| 60.00 GBP | 50.00 GBP | 10.00 GBP |
| 120.00 GBP | 100.00 GBP | 20.00 GBP |
| 600.00 GBP | 500.00 GBP | 100.00 GBP |
| 1,200.00 GBP | 1,000.00 GBP | 200.00 GBP |
Questions about VAT in United Kingdom
What is the VAT rate in United Kingdom?
The standard VAT rate in United Kingdom is 20%. Reduced rates of 5% apply to selected goods and services.
How do I add 20% VAT to a price?
Multiply the net price by 1.2. For example 500.00 GBP × 1.2 = 600.00 GBP.
How do I remove VAT from a gross price in United Kingdom?
Divide the gross price by 1.2. For example 600.00 GBP ÷ 1.2 = 500.00 GBP net; the difference is the VAT.
How much of a GBP price is VAT?
At 20%, VAT makes up 16.67% of the gross price (20 ÷ 120).