Add or remove UK VAT in seconds — 20%, 5%, 0% or any rate you throw at it. No more “wait, was that times 1.2 or divided?”
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VAT Rate
Guidance only, not tax advice — check current rates and thresholds on GOV.UK.
Turn £120.00 into an invoice
We'll carry this figure straight into a ready-to-send invoice.
To add VAT to a net price, multiply by 1 + rate. At the standard 20% rate, that's ×1.20:
Gross = Net × 1.20
Example: £100 net × 1.20 = £120 gross
To remove VAT from a gross price, divide by 1 + rate. At 20%, that's ÷1.20:
Net = Gross ÷ 1.20
Example: £120 gross ÷ 1.20 = £100 net
The VAT amount is always the difference between the gross and net figures.
HMRC applies three VAT rates in the UK. Most goods and services fall under the standard rate.
| Rate | % | Applies to |
|---|---|---|
| Standard | 20% | Most goods and services |
| Reduced | 5% | Home energy, some renovation work |
| Zero | 0% | Food, books, children's clothing |
Rates and thresholds change — always confirm the current figures on GOV.UK.
You must register for VAT with HMRC once your VAT-taxable turnover goes over the current registration threshold in any rolling 12-month period, or if you expect to exceed it in the next 30 days alone. The threshold is reviewed periodically — check the current figure on GOV.UK before making registration decisions.
You can only charge VAT on your invoices once you are VAT-registered. Charging VAT while unregistered is not permitted.
This calculator rounds to the nearest penny at the total level, which is correct for estimating. On real invoices, HMRC permits VAT to be rounded down per line, and the rules for line-level versus total-level calculation differ — this tool is guidance, not a substitute for your VAT filing software or accountant.
QuoteInvoice adds VAT to every invoice automatically. Create quotes, convert to invoices, and get paid faster.
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