Reverse Calculators
Reverse VAT Calculator
Enter a gross amount and VAT rate to split out net and tax.
Extract VAT from a gross price
Sometimes you only know the VAT-inclusive total — a till receipt, a consumer price list, or a card payment — and you need the net and VAT components. Reverse VAT divides the gross by (1 + rate) to recover the net, then subtracts to show the tax. It is the everyday cousin of adding VAT, and the same algebra as other reverse-percentage problems. Confirm the rate that applied to that line; mixed baskets need line-by-line treatment. See also VAT inclusive/exclusive for both directions and reverse percentage for non-tax cases. Bookkeeping exports that show only gross sales still need a correct split for reports. Not VAT advice — schemes, reverse charge and exempt supplies follow different rules. When reconciling Shopify or marketplace payouts, check whether the platform’s ‘tax’ column already matches this split before you double-enter figures into a spreadsheet.
Worked example
A £120 VAT-inclusive price at 20% has net 120 ÷ 1.2 = £100 and VAT = £20. At 5%, net = 120 ÷ 1.05 ≈ £114.29 and VAT ≈ £5.71. If a receipt shows £47.99 inclusive at 20%, net ≈ £39.99.
Limits and assumptions
Assumes one rate on the whole amount. Composite supplies and margin schemes need specialist treatment. Not an HMRC filing tool.
Frequently asked questions
How do I reverse out 20% VAT?
Divide the gross by 1.2 for the net; VAT is gross minus net.
Is this the same as reverse percentage?
It is the same structure: whole = part ÷ (1 + rate) when the part includes the percentage.
What if the receipt mixes rates?
Split the lines by rate before reversing; one pass on the total will be wrong.
Can I use this for sales tax abroad?
Enter the local rate; legal filing rules still differ by country.
Why does my accounts software show a penny difference?
Rounding per line versus per document can differ by a cent — follow your software’s method for returns.