How to calculate VAT in the UK?

How to calculate VAT exclusion?

To calculate VAT First, you need to find the Net Amount. To calculate the net Amount you should divide the gross Amount by (1 + VAT Percent/100). You will get the Net amount (Excluding VAT).

Example: Exclude 20% VAT from 400.

Formula to calculate Net amount = Amount/(1+ VAT Percent/100)
Substituting values in the formula,
= 400/(1 + 20/100)
= 400/(1 + 0.20)
= 400/(1.20)
= 333.33
VAT amount excluded from the gross amount
= Gross amount — Net Amount
= 400–333.33
= 66.67
Therefore, Amount after exclusion of VAT = 333.33 and
VAT amount excluded from gross Amount = 66.67

Calculate VAT Online using this free VAT calculator UK

How to calculate VAT inclusive?

To calculate VAT inclusive, you need to calculate the gross amount. To calculate gross amount you should multiply an amount by (1 + VAT Percent/100). You will get a gross amount (i.e amount after the inclusion of VAT).

Example: Include 20% VAT to 400.

Formula to calculate the gross Amount (Amount after addition of VAT)= Amount x (1+ VAT Percent/100)

Substituting values in the formula,
Gross amount = 400 × (1 + 20/100)
Gross amount = 400 × (1 + 0.20)
Gross amount = 400 × (1.20)
Gross amount = 480 (amount after including VAT)

Calculate VAT Online using this free VAT calculator UK