Is 'sales tax' the same as VAT?

The maths of adding or removing a percentage is identical. The tax mechanics differ: VAT is charged and reclaimed at every stage of the supply chain, while US-style sales tax is charged only at the point of sale.

Which rate should I use for the UK?

For most business-to-consumer sales it's 20%. Check HMRC's guidance if you sell food, energy, or specific reduced/zero-rated categories.

Can I use this for reverse-charge invoices?

Yes — enter the net amount and the local rate. The gross figure it produces matches what the customer would pay if VAT applied.

VAT & Sales Tax Calculator

Add VAT to a net amount or remove VAT from a gross amount. Works for any rate.

Your details

Net amount

Rate preset

Rate

Mode

Gross (with VAT)

£120.00

VAT amount

£20.00

Net

£100.00

How this is calculated

To add VAT to a net price: gross = net × (1 + rate). To remove VAT from a gross price: net = gross ÷ (1 + rate). VAT itself is always the difference between gross and net.

The UK standard rate is 20%. A reduced 5% rate applies to some items (like children's car seats and home energy), and a 0% rate applies to most food, books, and children's clothing. Most EU countries sit between 19% and 25%.