Business Planning

VAT / Tax Calculator

Quickly add or remove VAT, GST, sales tax, or another percentage-based tax from job prices and business costs.

Currency

Calculation type

Amount before tax

Enter the price before VAT, GST, sales tax, or another percentage-based tax is applied.

Tax rate (%)

Enter the rate that applies to your transaction. Tax rates vary by country, service, product, and business circumstances.

Estimated Results

Amount before tax

1.000,00 €

Tax amount

230,00 €

Total including tax

1.230,00 €

Tax rate

23%

What this means

Net amount

1.000,00 €

Tax

230,00 €

Customer pays

1.230,00 €

Adding 23% tax to a net amount of 1.000,00 € adds 230,00 € in tax, producing a final price of 1.230,00 €.

At a tax rate of 23%, the tax added to the original amount is 230,00 €.

This calculator performs a mathematical tax calculation only. It does not determine whether you must register for tax, which rate applies, whether a transaction is exempt, or how the amount should be reported.

Understanding Your Result

How VAT and tax are calculated

Formula

Adding tax

Tax amount = net price × tax rate

Gross price = net price + tax amount

Removing tax

Net price = gross price ÷ (1 + tax rate)

Tax amount = gross price − net price

Explanation

Adding tax is straightforward because the percentage is calculated from the original net amount.

Removing tax works differently because the tax-inclusive figure already contains both the original price and the tax. You therefore need to divide by the tax multiplier rather than simply subtract the percentage.

For example, a 20% tax-inclusive price contains tax based on the lower net amount, so removing 20% from the final figure would produce the wrong answer.

FAQ Section

VAT / Tax Calculator FAQs

What does this VAT / tax calculator calculate?+

The calculator can either add a percentage-based tax to a net price or remove tax from a tax-inclusive total. It can be used for VAT, GST, sales tax, or similar percentage-based taxes.

How do I add VAT or tax to a price?+

Choose Add Tax, enter the price before tax, and enter the applicable tax rate. The calculator will show the tax amount and the final tax-inclusive price.

How do I remove VAT or tax from a total price?+

Choose Remove Tax and enter the tax-inclusive amount. The calculator works backwards to show the original net price and the tax contained within the total.

Why can't I just subtract the tax percentage?+

Removing tax is different from simply subtracting the percentage from the final price. For example, removing 20% tax from a tax-inclusive amount requires dividing by 1.20 rather than reducing the total by 20%.

Does this calculator know which tax rate applies to me?+

No. Tax rates and rules vary by country, product, service, and business circumstances. You should enter the percentage that applies to your transaction and confirm your obligations with the relevant tax authority or a qualified adviser.