VAT Calculator
Add or remove value added tax at any rate.
How it works
VAT is charged on the net price, so recovering it from a gross price means dividing by 1 + rate rather than subtracting the rate.
At 20% the VAT element of a gross price is one sixth of it, not one fifth. A £120 gross price contains £20 of VAT. Taking 20% off £120 gives £96, which is wrong by £4 — the classic error on hand-written invoices.