VAT Calculator

Calculate the total gross pay and tax amount due to the value added tax using this VAT calculator. This calculator evaluates the total tax amount and the corresponding gross price.

VAT Formula

The formula for the value added tax is the same as for any other tax.

Final Price (Gross) = Net Price + Net Price * VAT (%)/100

  • Where the final price is the gross price
  • Net price is the initial price
  • and VAT is percentage of tax

The difference in VAT as opposed to GST is that the value added tax is used on the final consumption of goods. That is, it’s entirely linked to the consumers point of purchase, or moment of sale.

How to calculate VAT

Let’s look at an example of how you might use this calculator to evaluate your final price and tax amount.

Let’s assume you are looking at buy a new kitchen table. After going through the options, you find one that is selling for $1,000.00.

Next, we need to determine what the VAT is. Let’s assume that the tax is 4%. Now we plug these values into the formula above.

Gross Price = $1,000.00 + $1,000.00*4/100 = $1040.00.

The total tax amount you paid is therefore, $40.00.

vat calculator

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