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Financial

VAT Calculator

Free online VAT calculator for all EU countries, UK, Switzerland and Norway. Add or remove VAT instantly. Supports all standard, reduced, and super-reduced rates.

€

100,00 €

Net (excl. VAT)

20,00 €

VAT amount

120,00 €

Gross (incl. VAT)

100,00 € + 20,00 € (20%) = 120,00 €

VAT Rates: 🇧🇬 Bulgaria
Rate typeRateApplies to
Standard rate20%Standard rate
Reduced rate9%Hotel & accommodation


VAT Calculator

What Is VAT and How It Works in Europe

VAT (Value Added Tax) is an indirect tax included in the final price of goods and services. In the European Union, standard rates range from 17% in Luxembourg to 27% in Hungary. Most countries also apply reduced rates to essential goods such as food, medicines, and books.

Formulas

How to Add and Remove VAT

Add VAT: Gross = Net × (1 + VAT rate / 100). For example: €100 net with 20% VAT = €100 × 1.20 = €120 gross.

Remove VAT: Net = Gross / (1 + VAT rate / 100). For example: €120 gross with 20% VAT = €120 / 1.20 = €100 net. A common mistake is multiplying directly (€120 × 0.20 = €24) — this is wrong because VAT is calculated on the net amount.

Special Mechanisms

Reverse Charge and the EU OSS Scheme

When a business in one EU country purchases services from a supplier in another, the reverse charge mechanism applies — the buyer self-accounts for VAT at the rate in their own country. This is common for digital services, consulting, and cross-border B2B transactions.

Since July 2021, the EU OSS (One-Stop Shop) scheme allows businesses selling to consumers in other EU countries to declare and pay VAT in a single member state. The threshold is €10,000 in annual cross-border EU sales.

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Useful Tools

For related financial calculations, see our{' '} percentage calculator,{' '} loan calculator, and{' '} fuel cost calculator.

Practical Use Cases

When Do You Need a VAT Calculator

01

Issuing invoices

Adding VAT to quote prices before sending invoices to clients.

02

Checking the tax base

Extracting the net amount from a gross amount shown on a receipt.

03

International trade

Checking compliance with local rates when trading internationally across the EU.

04

Input VAT

Businesses registered for VAT can reclaim input VAT on purchases for taxable activities.

05

VAT exemptions

Financial services, healthcare, education, and postal services are commonly exempt.

06

EU VAT rates

Average standard rate ~21%. Luxembourg 17%, Hungary 27%, UK 20%, Switzerland 8.1%.

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Frequently Asked Questions

What is VAT?

VAT (Value Added Tax) is a consumption tax applied to goods and services at each stage of production and distribution. In the EU, each member state sets its own VAT rates within EU-mandated limits. Standard rates range from 17% (Luxembourg) to 27% (Hungary).

How do I add VAT to a price?

To add VAT to a net price, multiply the net amount by (1 + VAT rate / 100). For example: 100 net with 20% VAT = 100 x 1.20 = 120 gross.

How do I remove VAT from a price?

To remove VAT from a gross price, divide the gross amount by (1 + VAT rate / 100). For example: 120 gross with 20% VAT = 120 / 1.20 = 100 net.

What are reduced VAT rates?

Most EU countries apply reduced VAT rates to essential goods and services such as food, medicines, books, and hotel accommodation. For example, Bulgaria applies a 9% reduced rate to hotels and restaurants, compared to the standard 20%.

Does this calculator work for non-EU countries?

Yes. In addition to all 27 EU member states, the calculator includes the United Kingdom (20%), Switzerland (8.1%), and Norway (25%).