VAT Calculator
Add or remove VAT from a price.
The VAT Calculator handles both directions of VAT calculation: adding VAT to a net (ex-VAT) price to find the gross price, and removing VAT from a gross (VAT-inclusive) price to find the net price. Enter your amount and set the VAT rate for your country — common rates include 20% in the UK, 19% in Germany, 23% in Poland, 25% in Norway, 10% in Korea (부가가치세), and 10% in Japan (消費税). The tool is used by businesses for invoice preparation, by consumers for understanding the tax component in a listed price, and for inter-country price comparison. VAT applies at each stage of the supply chain in most countries, but the consumer ultimately bears the full tax — making the add/remove calculation essential for accurate pricing.
VAT Calculator
Formula
Examples
Add 10% Korean VAT to ₩500,000 Invoice
B2B invoice in Korea — finding the VAT-inclusive total.
→ VAT (부가가치세): ₩50,000 | Gross total: ₩550,000
Remove 20% UK VAT from £1,200 Gross Price
Consumer product — extracting the pre-VAT price from the listed price.
→ Net (ex-VAT): £1,000 | VAT contained: £200 | Note: £1,200 ÷ 1.20, not £1,200 − (£1,200 × 0.20)
Add 19% German VAT to €850 Product Price
European product pricing — adding standard German VAT.
→ VAT: €161.50 | Gross: €1,011.50
Japanese Consumption Tax — ¥3,000 at 10% and 8%
Comparing standard (10%) and food reduced rate (8%) in Japan.
→ At 10%: Tax ¥300, Total ¥3,300 | At 8% (food rate): Tax ¥240, Total ¥3,240
Tips
- ✓When removing VAT from a gross price, always divide by (1 + rate), not subtract the percentage — the common mistake overstates the net price.
- ✓Korea's VAT is often included in listed prices. Look for "VAT included" (VAT 포함) or "VAT excluded" (VAT 별도) on quotes and invoices.
- ✓Japanese restaurants and shops often display both the pre-tax and tax-inclusive price — use this calculator to verify the tax amount.
- ✓For EU B2B transactions, check whether reverse charge rules apply — in many cases, the buyer accounts for VAT, not the seller.
- ✓Always verify current VAT rates before invoicing — rates change, and some items qualify for reduced rates not shown here.
Frequently Asked Questions
How do I add VAT to a net price?
Gross (VAT-inclusive) = Net × (1 + VAT rate ÷ 100). Example: $200 net + 10% VAT = $200 × 1.10 = $220 gross. The VAT amount = $20.
How do I remove (extract) VAT from a gross price?
Net (ex-VAT) = Gross ÷ (1 + VAT rate ÷ 100). Example: $220 gross at 10% VAT → $220 ÷ 1.10 = $200 net. The VAT contained = $20. Note: do not simply subtract 10% from $220 — that gives $198, which is wrong.
What is the standard VAT rate in Korea?
Korea's standard VAT (부가가치세, bugagachise) rate is 10%. It applies to most goods and services. Certain items are zero-rated or exempt, including unprocessed food, medical services, and educational services.
What is the consumption tax rate in Japan?
Japan's consumption tax (消費税) is 10% standard rate, with a reduced 8% rate applying to food and beverages (excluding alcohol and eating-out) and newspaper subscriptions. Since October 2019, Japan uses a dual-rate system.
What is the difference between VAT and sales tax?
VAT is collected at every stage of production and distribution — each business in the chain pays VAT on their margin and reclaims VAT on their inputs. Sales tax is only collected at the final point of sale. For the consumer the pricing effect is similar, but the mechanism is fundamentally different. VAT is used in most of the world; US-style sales tax is the exception.
What are the standard VAT rates in major European countries?
Standard rates as of early 2026: UK 20%, Germany 19%, France 20%, Italy 22%, Spain 21%, Netherlands 21%, Poland 23%, Sweden 25%, Denmark 25%, Ireland 23%. Most countries also have reduced rates for essentials like food, medicine, and books.
Can businesses reclaim VAT?
In most VAT systems, VAT-registered businesses can reclaim the VAT they pay on business expenses (input VAT), and only remit the difference between VAT collected from customers (output VAT) and VAT paid on inputs. The full VAT burden falls only on the final consumer who cannot reclaim it.
Does the US have VAT?
No. The United States uses sales tax, which is collected only at the point of final sale to the consumer. The US is one of the few developed economies without a federal VAT or GST system. Some proposals for a US federal VAT or consumption tax have been debated over the years but none have been adopted.
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Business & PricingDisclaimer: VAT rates change frequently and vary by country, product category, and transaction type. The rates referenced here are for general information only and may not reflect the most current legislation. This calculator is not a substitute for tax advice. Consult a qualified tax advisor or your local tax authority for compliance guidance.