Welcome to our website which was created to provide a simple and effective way to add or remove VAT from any sales figure. Many small businesses and sole traders, such as Amazon and eBay sellers, are often asked to provide a VAT invoice for the supply of goods or services where VAT is required to be listed separately. Our online VAT calculator provides a quick and easy way to do this. We also added a slider to our calculator so the rate of value added tax can be changed depending on your needs. For example, VAT rates vary throughout the EU and our VAT calculator can be adjusted if you needed to calculate the value added tax in Germany or Spain.
Most goods and services in the UK are taxed at the standard rate of 20%. Some items such as children’s cars seats or gas fired boilers are charged at a reduced rate of 5%. Whilst other items such as books, children’s shoes and babywear are zero rated, i.e. 0%. See here for more information on VAT rates.
VAT or value added tax is essentially a consumption tax added to the cost of goods or services by VAT registered businesses. It’s considered a consumption tax because it charged to the consumer rather than the business. It’s either a voluntary or mandatory requirement imposed by government – depending on your annual turnover. VAT registered businesses are given a VAT number and have to show VAT charged to customers on their invoices. VAT generates huge revenues for the Government, the Institute for Fiscal Studies projects that in 2016/17, VAT revenues will reach approximately £120billion.