PlainwrenVAT calculator: add or remove VAT
Pick whether your price already includes VAT. To find the price before VAT and the VAT inside a total (reverse VAT), choose Remove VAT. To add VAT to a net price, choose Add VAT.
How to remove VAT (reverse VAT)
If a price already includes VAT, you cannot just take the VAT percentage off the total. The VAT was charged on the smaller net price, so you divide instead:
Net price = Gross price ÷ (1 + rate ÷ 100)
VAT included = Gross price − Net price = Gross × rate ÷ (100 + rate)
For the UAE's 5% rate, that means the net price is the total ÷ 1.05, and the VAT inside any total is exactly 1/21 of it.
Example: UAE 5%
A receipt shows AED 210 including VAT. Net = 210 ÷ 1.05 = AED 200, so the VAT is AED 10. A common mistake is taking 5% off the total: 210 × 0.95 = 199.50, which is 0.50 too low.
Example: Saudi Arabia 15%
A total of SAR 115 including VAT: 115 ÷ 1.15 = SAR 100 net, and SAR 15 VAT.
How to add VAT
VAT = Net price × rate ÷ 100
Gross price = Net price × (1 + rate ÷ 100)
Example: a net price of AED 200 at 5% has VAT of AED 10, for a total of AED 210.
Rates included
| Country | Standard VAT rate |
|---|---|
| United Arab Emirates | 5% |
| Saudi Arabia | 15% |
| Bahrain | 10% |
| Oman | 5% |
| United Kingdom | 20% |
These are the standard rates. Many countries also have zero-rated or exempt goods and services, and some have reduced rates. Rates can change, so check the tax authority's website (for the UAE, the Federal Tax Authority) for anything official. Choose "Custom rate" for any other rate.
FAQ
Why are the results rounded?
Results are shown to 2 decimal places, the way prices are written. On an invoice with many lines, rounding each line and rounding the total can differ by a few fils or cents; follow your accounting system's rule.
Is VAT the same as sales tax?
Both are taxes on spending, and the maths on a single price is the same. The difference is in how they are collected: VAT is charged at each step of the supply chain, with businesses reclaiming the VAT they paid.
Does this tool know if my item is exempt?
No. It only does the arithmetic for the rate you choose.
For quick calculations only. This is not tax advice; for VAT returns or invoices, follow your tax authority's guidance or ask an accountant.