VAT Calculator
Add tax to a net amount or strip tax from a gross total — with presets for common VAT and sales tax rates.
📖 Understand this document
The VAT (Value Added Tax) calculator helps you add or remove VAT from a price. Essential for freelancers in countries where VAT registration is required above a certain turnover threshold.
Key components
- Net amount — the price before VAT.
- VAT rate — the applicable percentage (varies by country).
- VAT amount — the tax itself.
- Gross amount — the total price including VAT.
Net
$100.00
VAT
$20.00
Gross
$120.00
⚠ To remove 20% VAT from a gross amount, do not subtract 20% of the gross — that understates net. Divide by 1.20 (or use Remove Tax mode). This tool applies the correct split.
Works well with
Frequently asked questions
Yes. Change the tax name field to VAT, GST, sales tax, or anything your invoice wording requires. Results rename automatically in the summary.
Tax-inclusive and tax-exclusive prices confuse both clients and new freelancers. Getting the direction wrong can mean under-quoting by a full rate percentage — painful on large projects. This calculator separates net, tax, and gross so you can match how your contracts and platforms display numbers.
Preset buttons cover frequently used percentages, but you can type any rate. Pair the results with our invoice generator or estimate maker when you need paperwork that mirrors the math. For regional context, skim the short tax guides on our resources page, then confirm details with a local advisor.
If you sell digital services across borders, EU VAT and similar rules may affect you even when you are a solo business. Treat calculators as part of documentation hygiene, not the whole compliance story. The freelancer glossary defines VAT, withholding, and related terms in plain language for client conversations.