A VAT (Value Added Tax) Calculator is a online tool used to calculate the VAT amount based on a given price shop or any other business. VAT is a consumption tax placed on a product or service at each stage of production or onlinee-commerce business. It’s a common tax in many countries and is usually expressed as a percentage of the price.

How a VAT Calculator works:

Given VAT rate and net price: The user enters the VAT rate (usually in percentage) and the net price (the price before tax). The calculator then computes the gross price (the price after adding VAT) and the tax amount. Our tool automatically gives you accurate results to your needs.

• Formula to calculate VAT:
• Formula to calculate Gross Price: Gross Price=Net Price+VAT Amount

Example of Using a VAT Calculator:

If you know the net price and VAT rate:

 Example:

• • Net Price = $100
  • VAT Rate = 20% 

If you know the gross price and VAT rate:

Example:

• • Gross Price = $120
  • VAT Rate = 20%

In short, a VAT calculator helps businesses, sales or consumers quickly figure out how much tax has been added or should be added to the price of goods or services. It’s especially useful for pricing, invoicing, and financial calculations where VAT is applied.

FAQ’s

How do I work out 20% VAT on a price?

To work out 20% VAT on a price, simply input the net price and select a VAT rate of 20% in the calculator above. The tool will instantly calculate the VAT amount and display the total gross price, including VAT.

What is 20% VAT on $600?

To know 20% VAT on $600, enter “600” as the net price and “20%” for the VAT rate column in the calculator above. The tool will quickly calculate the VAT amount ($120) and display the total gross price ($720).

How to calculate VAT in KSA?

To calculate VAT in KSA is easy, to type your net price and select the KSA VAT rate of 15% in the calculator above. The tool will instantly give you results on the VAT amount and total price, including VAT.

How to calculate VAT inclusive?

To calculate an inclusive VAT price, fill in the total price in the above calculator. Select your VAT rate, and this tool will split the net price and VAT amount straightaway, displaying both their values. That gives an overview of what it was pre-VAT.

What is VAT inclusive and VAT exclusive formula?

Here are the formulas for calculating VAT-inclusive and VAT-exclusive amounts:

VAT Inclusive Formula

To find the net price and VAT amount from a VAT-inclusive total:

1. Net Price = Total Price / (1 + VAT Rate)
2. VAT Amount = Total Price – Net Price

For example, if the total price is $120 with VAT at 20%:

• Net Price = $120 / 1.2 = $100
• VAT Amount = $120 – $100 = $20

VAT Exclusive Formula

To calculate the VAT amount and total price starting with a net price:

1. VAT Amount = Net Price × VAT Rate
2. Total Price (VAT-Inclusive) = Net Price + VAT Amount

For example, if the net price is $100 with VAT at 20%:

• VAT Amount = $100 × 0.2 = $20
• Total Price = $100 + $20 = $120