FilesCalcs

Reverse VAT calculator

Start from a price that already includes VAT and find what it was before VAT, plus the VAT inside it. Set to 20% by default.

Worked out in your browser. Nothing is sent anywhere.

£
That amount is
UK VAT rate
Before VAT
VAT at 20%
Total including VAT

Example figures. Type your own amount and everything updates as you go.

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How to use the reverse VAT calculator

  1. Type the total that includes VAT, for example the figure on a receipt.
  2. Leave the rate on 20%, or switch to 5%, 0% or a custom rate.
  3. Read the price before VAT and the VAT amount.
  4. Tap copy to paste either figure into your spreadsheet or expenses form.

Why £120 x 0.8 gives the wrong answer

VAT is added on top of the net price, so it is a percentage of the smaller number. When you take it back off, the percentage has to come off the net price too, and you do not know that yet. Taking 20% off the total overshoots.

Worked through: £100 plus 20% VAT is £120. Multiply £120 by 0.8 and you get £96, which is £4 short. Divide £120 by 1.2 and you get £100, which is right. The VAT inside £120 is £20, and that is one sixth of the total, not one fifth.

The same logic applies at 5%. £210 including 5% VAT is £210 / 1.05 = £200 before VAT, with £10 of VAT. Taking 5% off £210 would give £199.50.

Worked examples from real receipts

  • A £1,500 laptop including VAT: £1,500 / 1.2 = £1,250 before VAT, with £250 of VAT.
  • A £49.99 subscription: £49.99 / 1.2 = £41.66 (rounded), with £8.33 of VAT.
  • A £63 energy bill at 5%: £63 / 1.05 = £60, with £3 of VAT.

Pennies can differ by one from a supplier's invoice because of rounding. HMRC allows VAT to be rounded per line or on the invoice total, so a bill with many lines may not match a single calculation exactly. If you are claiming VAT back, use the VAT figure printed on the VAT invoice.

Is this the same as the reverse charge?

No. "Reverse VAT" here means working backwards from a gross price. The VAT reverse charge is a separate HMRC rule where the customer accounts for the VAT instead of the supplier, used for some construction services and some cross-border services. If an invoice says "reverse charge", read HMRC's guidance on GOV.UK.

Questions people ask

How do I remove 20% VAT from a price?

Divide the price by 1.2. £90 including VAT is £75 before VAT, and the VAT is £15.

How do I find just the VAT in a total?

At 20%, divide the total by 6. At 5%, divide it by 21. £72 including 20% VAT contains £12 of VAT.

What does ex VAT mean?

Ex VAT (or excluding VAT, or net) is the price before VAT is added. Inc VAT (or gross) is the price the customer pays with VAT included.

How do I reverse 5% VAT?

Divide by 1.05. A £105 bill at the reduced rate is £100 before VAT, with £5 of VAT.

Can I reclaim the VAT on a receipt?

Only if you are VAT registered, the purchase is for your business, and you have a valid VAT invoice or receipt. HMRC sets out the conditions on GOV.UK.