Free tool for UK businesses

UK VAT
CALCULATOR
2026

Add or remove VAT in seconds. Standard 20%, reduced 5%, zero rate or custom. Free, instant, no sign-up required.

Add VAT to net price
Remove VAT from gross price
All UK VAT rates covered
Copy results instantly
UK VAT Calculator
%
%
£
Net (ex. VAT)
£0.00
VAT amount
£0.00
Gross (inc. VAT)
£0.00
Create a free invoice with these numbers
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UK VAT Rates 2026

Which rate applies to you?

UK businesses registered for VAT must charge the correct rate on all taxable supplies. Here’s a quick guide to the three main rates.

20%
Standard Rate

The default UK VAT rate. Applies to most goods and services sold by VAT-registered businesses unless a specific exemption or reduced rate applies.

Consulting Electronics Clothing Software Design
5%
Reduced Rate

A lower rate applied to certain goods and services as defined by HMRC. Includes domestic energy, children’s car seats and some health products.

Home energy Mobility aids Children’s seats
0%
Zero Rate

VAT-taxable but charged at 0%. You can still reclaim input VAT. Applies to most food, books, children’s clothing and public transport.

Food & drink Books Children’s clothes Exports

VAT rates correct as of 2026. Always verify with HMRC or your accountant. gov.uk/vat-rates →

How to use

Using the calculator

01

Choose your mode

Select Add VAT if you have a net price and want the gross. Select Remove VAT if you have a gross price and want to extract the VAT component.

02

Select the VAT rate

Pick 20% for the standard rate, 5% for reduced, 0% for zero rate, or enter a custom rate for other jurisdictions.

03

Enter the amount & copy

Type your amount and results update instantly. Copy individual values with the copy button, or use them directly when creating an invoice in invly.

FAQ

VAT
questions?

Common questions about UK VAT for freelancers and small businesses.

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As of 2025/26, you must register for VAT if your taxable turnover exceeds £90,000 in any rolling 12-month period. Once registered, you must charge VAT on your sales and can reclaim VAT on business purchases.
Adding VAT (net to gross): you start with the price before VAT and calculate what to charge the customer. Removing VAT (gross to net): you have the final price including VAT and need to find out the original price and VAT amount � useful for reclaiming VAT on receipts.
To add 20% VAT: multiply your net price by 1.20. To remove 20% VAT from a gross price: divide the gross by 1.20. Example: £100 net + VAT = £120 gross. £120 gross ÷ 1.20 = £100 net.
Yes, if you are VAT-registered. You can reclaim VAT paid on business expenses. If you’re not registered, you cannot reclaim or charge VAT. Voluntary registration is possible below the threshold if it benefits your business.
A VAT invoice must include your VAT registration number, the rate of VAT charged, the net amount, VAT amount and gross total. invly automatically formats all of this on every invoice you create.
The Flat Rate Scheme (FRS) lets eligible small businesses pay a fixed percentage of gross turnover to HMRC instead of the difference between output and input VAT. You still charge customers 20% VAT, but pay HMRC a lower sector-specific rate (e.g. 14.5% for IT, 12% for design). The difference is yours to keep, which is the FRS benefit. Use the “Flat Rate” tab above to calculate yours.
Making Tax Digital for VAT has been mandatory for all VAT-registered businesses since April 2022. It requires you to keep digital VAT records and submit returns using HMRC-compatible software. If you’re VAT-registered, you must use MTD-compliant software to file your quarterly returns. Always check the latest HMRC guidance at gov.uk/making-tax-digital.
Yes — invly lets you add VAT percentages per line item, shows VAT breakdowns on your PDF invoices, and Premium users get a full VAT summary dashboard. Start free, no card required.
From calculation to invoice

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CALCULATION
INTO AN INVOICE

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