Calculators

Free calculator of inverted taxes for United Kingdom

£ + = = £

Formulas to calculate the United Kingdom VAT

Here is how the total is calculated before VAT:
Amount with VAT / (1+(VAT rate/100)) = Amount without VAT
Amount without sales tax * VAT rate = VAT amount

Reverse Value Added tax is used in some provinces in the UK to collect tax on purchases from sellers who are not subject to the tax authority’s jurisdiction. It makes simple the VAT costs and by effect decreases the related governmental costs. Additionally this helps to get rid of some of the corporate violations like tax fraud and by doing control and preventing the “missing dealer frauds “. The reverse VAT applicable on all the product and services offered to UK based organizations by foreign providers.

Free calculator of inverted taxes for United Kingdom

Reverse VAT calculator computes the amount without tax i.e. the value exclusive of VAT amount. This empowers you to rapidly and effectively figure out the cost amount you should book and furthermore the VAT amount you should account on a different line. In other words, you are calculating the sales tax in reverse.

This calculator works on the existing United Kingdom VAT rate of 20%. Simply enter the Amount with VAT you want to work with, select the VAT appropriate rate from dropdown. If you have the last cost included with the tax, and you know the tax rate; with this calculator, you get the cost before tax.

Calculating VAT tax with the appropriate rate in 2018

There are different types of VAT in the UK: standard, reduced, and zero rates. Each rate is applicable on a category of products and services.

  • Standard rate: The standard rate 20% is applied on anything unspecified taxable goods and services.
  • Reduced Rate: The reduced VAT tax rate 5% is applied on products and services like children’s car seats, certain social housing, some social services, etc.
  • Zero rates: Some products and services have 0% VAT tax rates that include children’s clothing and footwear, prescribed pharmaceutical products etc.

Signup With Newsletter

Keep up to date!

Quarterly newsletter to keep up with changes in calculations / rates and improvements.