Add or remove VAT or GST and calculate the net position for a return.
Removing tax from a gross figure requires dividing by one plus the rate rather than subtracting the rate, which is the most common error. A 20 per cent rate means the tax is one sixth of the gross. VAT is a tax on the value added, which is why registered businesses remit only the difference between output and input tax rather than the full amount charged.
VAT/GST
Net = gross ÷ (1 + rate); tax = net × rate; payable = output tax − input tax
Tax treatment depends on jurisdiction, registration status, place of supply and the nature of the goods or services. This is a general calculation and not tax advice. Consult a qualified tax adviser for your obligations.
Net = gross ÷ (1 + rate); tax = net × rate; payable = output tax − input tax Removing tax from a gross figure requires dividing by one plus the rate rather than subtracting the rate, which is the most common error. A 20 per cent rate means the tax is one sixth of the gross.
VAT is a tax on the value added, which is why registered businesses remit only the difference between output and input tax rather than the full amount charged.
This calculator takes 4 inputs: Amount, VAT or GST rate, Amount already includes tax, Input tax paid on purchases. The pre-filled defaults are a realistic starting point — replace them with figures from your own environment for a result you can act on.