How to add VAT or sales tax to a price
To go from a price without tax to one with tax, multiply by (1 + rate ÷ 100). At 20%: 100 × 1.20 = 120, of which 20 is tax. Pick the “Add tax” tab, enter the amount and the rate (or tap one of the common ones) and you'll get the net amount, the tax and the total.
How to remove tax from a price that already includes it
The most common mistake here is subtracting the percentage directly. You don't calculate 120 − 20%: the tax is 20% of the net amount, not of the total. The right calculation is 120 ÷ 1.20 = 100, so the tax included is 20, not 24. Use the “Remove tax” tab to get it right.
Common rates and other taxes
VAT rates and sales tax vary by country and, in some places, by state or product, so you can type any rate in the rate field. To work out discounts before tax use Discount Calculator, and for any other percentage, Percentage Calculator.
This tool is informational only and is not tax advice.
Frequently Asked Questions
How do I calculate VAT on a price?
Multiply the net amount by the rate divided by 100. At 20%, the tax on 100 is 20 and the total is 120.
How do I remove tax from a price that includes it?
Divide the total by 1 plus the rate: 120 ÷ 1.20 = 100. Don't subtract 20% from the total.
What's the difference between VAT and sales tax?
VAT is charged at each stage of production and shows in the price; US sales tax is added at the till. The math for adding or removing either is the same.
Can I use it with other rates or countries?
Yes. Type the percentage you need; the calculation is the same for any proportional tax.