Reverse VAT Calculator for the UK

Enter a VAT-inclusive price to get the net amount and the VAT – with the working shown, so you can check it.

Result

Enter an amount to see the result.

For general information only, not tax advice. Check how VAT applies to your goods or services on GOV.UK.

How to reverse VAT

To remove VAT from a price, divide the VAT-inclusive amount by 1 plus the VAT rate written as a decimal. The answer is the net price. Subtract it from the original amount to get the VAT.

	Formula	Example at 20%
Net price	gross ÷ (1 + rate)	£120 ÷ 1.20 = £100.00
VAT	gross − net	£120 − £100 = £20.00
VAT (shortcut)	gross × rate ÷ (1 + rate)	£120 ÷ 6 = £20.00

Removing 20% VAT

Divide by 1.2. The VAT is always one sixth of the VAT-inclusive price, which is why you will see it called the "VAT fraction" of 1/6.

Removing 5% VAT

Divide by 1.05. The VAT is one twenty-first (1/21) of the VAT-inclusive price: £21 including VAT is £20 net plus £1 VAT.

Why taking off 20% gives the wrong answer

A common mistake is to knock 20% off the total. That understates the net price, because the 20% was calculated on the smaller, net figure. On £120, subtracting 20% gives £96, which is £4 too low. Always divide.

Reverse VAT examples

Net price and VAT contained in common VAT-inclusive amounts, rounded to the nearest penny.

VAT-inclusive price	Net at 20%	VAT at 20%	Net at 5%	VAT at 5%
£10	£8.33	£1.67	£9.52	£0.48
£50	£41.67	£8.33	£47.62	£2.38
£100	£83.33	£16.67	£95.24	£4.76
£120	£100.00	£20.00	£114.29	£5.71
£500	£416.67	£83.33	£476.19	£23.81
£1,000	£833.33	£166.67	£952.38	£47.62

A note on rounding

This calculator rounds the net price to the nearest penny and then takes the VAT as the difference, so the two always add back to the amount you entered. If you work out VAT line by line on an invoice and then add the lines up, the total can differ by a penny or two from the VAT worked out on the invoice total. HMRC's VAT guide (VAT Notice 700) sets out the rounding rules for VAT invoices.

What this calculator does

Remove or add VAT in one place

Remove VAT is the default. One switch changes to Add VAT – no separate page.

Start from any figure

Work from the gross price, the net price or the VAT amount. The other two are calculated for you.

The working, not just the answer

Every result shows the sum, e.g. £120 ÷ 1.20 = £100.00, so you can check it or paste it into a note.

Clear rounding

Results are rounded to the nearest penny, and the net price and VAT always add up exactly to the total you entered.

History and CSV export

Your recent calculations stay in your browser and can be exported. Nothing is stored on our servers.

No sign-up, no uploads

The calculator runs entirely in your browser. There is no account and the numbers you type are not sent anywhere.

How to use the reverse VAT calculator

1.Enter the amount you know
Type the VAT-inclusive price. If you only know the net price or the VAT amount, switch the input to that instead.
2.Pick the VAT rate
Choose 20% (standard), 5% (reduced) or 0% (zero rate), or type a custom rate.
3.Read the result
You get the net price, the VAT and the gross price, plus each step of the sum. Copy the result or the working with one click.
4.Keep a record if you need one
Each calculation is saved in a history list on your device. Export the list as a CSV file to paste into a spreadsheet.

UK VAT rates

Rate	%	Examples
Standard	20%	Most goods and services
Reduced	5%	Some goods and services, such as domestic fuel and power and children's car seats
Zero	0%	Most food, books and newspapers, and children's clothes and shoes

Zero-rated is not the same as exempt. Zero-rated goods are still taxable – the rate is just 0% – and they count towards your VAT taxable turnover. Exempt goods and services, such as most insurance and finance, are outside the VAT system altogether.

A business must register for VAT when its taxable turnover for the last 12 months goes over £90,000, the current VAT threshold.

Source: GOV.UK – VAT rates. This page is general information, not tax advice; check the rate for a specific product on GOV.UK.

Frequently asked questions

How do I calculate reverse VAT?

Divide the VAT-inclusive price by 1 plus the VAT rate. At 20%, divide by 1.2: £120 ÷ 1.2 = £100 net. The VAT is the difference: £120 − £100 = £20. At 5%, divide by 1.05.

Why can't I just subtract 20%?

Because the 20% was added to the net price, not to the total. Taking 20% off £120 gives £96, but 20% of £96 is £19.20, so £96 + £19.20 = £115.20 – not £120. The correct net price is £120 ÷ 1.2 = £100.

What is the VAT fraction (1/6 and 1/21)?

It is a shortcut for finding the VAT inside a VAT-inclusive price. At 20%, the VAT is 20/120 = 1/6 of the gross price, so £120 ÷ 6 = £20. At 5%, it is 5/105 = 1/21, so £105 ÷ 21 = £5.

How much VAT is in £100?

At the standard 20% rate, £100 including VAT is £83.33 net plus £16.67 VAT. At 5%, it is £95.24 net plus £4.76 VAT.

Can I work out the net price from the VAT amount only?

Yes. Divide the VAT by the rate: £20 of VAT at 20% means a net price of £20 ÷ 0.2 = £100 and a gross price of £120. Switch the calculator input to "VAT amount" to do this.

Is reverse VAT the same as the reverse charge?

No. Reverse VAT (or reverse calculating VAT) just means working backwards from a VAT-inclusive price. The reverse charge is a separate rule where the customer, not the supplier, accounts for the VAT – for example under the domestic reverse charge for building and construction services. GOV.UK explains when it applies.

How do I remove VAT in Excel?

If the gross price is in cell A2, use =A2/1.2 for the net price and =A2-A2/1.2 for the VAT at 20%. Our Excel page builds the formula for any cell and rate, including a ROUND version.

What do VAT inclusive and VAT exclusive mean?

A VAT-inclusive (gross) price already contains the VAT – it is what a consumer pays. A VAT-exclusive (net) price is before VAT is added. Shops selling to the public in the UK normally show VAT-inclusive prices.