Inclusive vs exclusive
Some countries (like Australia) quote prices with tax included, while others (like many US states) add it at the till. Always check which convention a site or store uses.
Display quirks
VAT & Sales Tax Calculator (UK · EU · US)
Setup
Choose UK/EU for VAT, or US for sales tax. You can always override the rate.
Enter the net amount (tax-exclusive). Switch action above to remove tax from a gross amount.
Tap a preset (standard/reduced/zero) or enter your own rate. Your number always wins.
Results
Net—
Tax—
Gross—
All calculations run in your browser.
Tip: Enter an amount, choose a preset, or type a custom rate—results update instantly.
💸 5 Fun Facts about VAT & Sales Tax
Reduced rates are everywhere
Books, children’s clothes, or food often use reduced/zero VAT in the UK/EU. Switching to a lower band can cut the tax slice dramatically.
Policy choice
Reverse math is tricky
Removing VAT isn’t just “minus 20%”; it’s dividing by 1.20. That’s why this tool uses Net = Gross ÷ (1 + rate) to avoid under-refunding tax.
Back-out rule
US rates stack locally
State + county + city rates can combine into unusual totals (e.g., 8.875% in NYC). If you know a precise local rate, override the preset.
Local layers
Digital services rules vary
Streaming or SaaS can be taxed differently across borders—some regions apply VAT on buyer location, others exempt certain digital goods.
Digital twist
How it works
Pick your region and (if applicable) a country/state. Choose Add Tax to go from net (before tax) to gross (after tax), or Remove Tax to extract tax from a gross price. Select a preset rate or type your own—your value always wins.
Formulas
- Add Tax: Gross = Net × (1 + rate)
- Remove Tax: Net = Gross ÷ (1 + rate)
- Tax amount is the difference between gross and net.
Notes
- UK/EU: VAT presets include standard and reduced/zero tiers for convenience.
- US: We show a state selector and an editable rate. Combined state + local rates vary—please override if you know the precise value.
- Everything is calculated locally in your browser for privacy.
About VAT & Sales Tax
Value Added Tax (VAT) and sales tax are both forms of consumption tax charged on goods and services, but they work in slightly different ways. VAT is common in the UK and EU, and is collected at each stage of production or distribution, with businesses reclaiming the tax they paid on purchases. Sales tax, used in the US, is typically applied only once—at the point of final sale to the consumer.
VAT basics
- Standard rate: Applies to most goods and services.
- Reduced rate(s): Applied to essentials like food, medicine, or public transport (varies by country).
- Zero rate: Certain goods/services are taxed at 0% but still count as taxable supplies.
Sales tax in the US
- State-level tax: Each state sets its own rate, ranging from 0% to over 9%.
- Local taxes: Cities and counties often add their own percentage on top of the state rate.
- No sales tax: A few states, like Oregon and Delaware, do not levy sales tax.
Why this matters
Knowing whether a price is net (before tax) or gross (after tax) helps businesses and consumers compare costs accurately. This calculator lets you add or remove VAT/sales tax instantly, using presets for UK, EU, and US, or any custom percentage you choose.