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VAT and Sales Tax Calculator

Add or remove VAT and sales tax from any price.

I want to
$
%

Price including tax

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Price before tax
Tax amount

Results are estimates for general information only and are not financial advice. Check important figures with a qualified professional or your lender. Read our disclaimer.

When to use it

Use this calculator whenever you need to add tax to a price or find the price before tax. It is useful for shoppers checking a total, freelancers writing invoices, and small businesses that need to show the net price, the tax and the gross price separately. It works for sales tax, VAT and GST.

How to use it

  1. Choose your Currency.
  2. Under I want to, choose Add tax to a price or Remove tax from a price.
  3. Enter the Price. When removing tax, this is the price that already includes tax.
  4. Enter the Tax rate, or tap one of the quick rates such as 5%, 10% or 20%.
  5. Read the Price including tax, the Price before tax and the Tax amount.

Worked example

Adding tax: you charge $100 for a job and must add 20% VAT. The tax is $20, so the invoice total is $120.

Removing tax: a jacket costs $100 including 20% tax and you need the net price for your records. Choose Remove tax from a price and enter 100. The price before tax is $83.33 and the tax is $16.67. Notice that the tax is not $20. That is because 20% was added to $83.33, not taken from $100.

Tips

  • Check the rate for the place of sale. Rates differ between countries, states and sometimes cities, and some goods such as food or children’s clothes may have a lower rate.
  • Show all three numbers on invoices. Many tax rules ask for the net price, the tax and the total.
  • Work out a budget backwards. If you can spend $200 in total and tax is 8%, use Remove tax from a price with 200 to see the most you can spend before tax: $185.19.
  • Keep the tax amount for your records. Businesses that charge VAT or GST usually need to report the tax they collected.

Common mistakes

  • Taking the rate off a total. Subtracting 20% from a price that includes 20% tax gives too little. Always divide by 1.2 instead, or use Remove tax from a price.
  • Adding tax twice. Make sure the price you start with does not already include tax.
  • Mixing up rates. A rate of 7.5% should be typed as 7.5, not 0.075.

Quick reference

To add tax, multiply by 1 plus the rate: $50 at 8% becomes $50 × 1.08 = $54. To remove it, divide: $54 ÷ 1.08 = $50.

Frequently asked questions

How do I remove tax from a price?

Divide the price by 1 plus the tax rate. For 20% tax, divide by 1.2. Taking 20% off the total gives the wrong answer, because the tax was worked out on the lower, pre-tax price. Choose Remove tax from a price and the tool does this for you.

Does it work for VAT and GST?

Yes. VAT, GST and sales tax are all a percentage added to a price, so the maths is the same. Enter your local rate in the Tax rate box.

What rate should I use in the US?

US sales tax combines state, county and city rates, so it changes from place to place. Look up the combined rate for the address where the sale happens and enter it, for example 8.25.

Why is my receipt a cent different?

Shops often work out tax on each item and round each one, while the calculator works on the total. Small rounding differences of a cent or two are normal.

Can I use a rate with decimals?

Yes. Type rates like 7.5 or 8.875 into the Tax rate box. The quick buttons cover common whole and half rates.

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