Calculate Value Added Tax (VAT) instantly with our free online VAT calculator for UK businesses. Perfect for businesses, freelancers, and individuals to compute accurate VAT amounts for all tax rates.
Value Added Tax (VAT) is an indirect tax levied on most goods and services sold in the UK. It's a consumption tax that's ultimately paid by the end consumer, but collected by businesses at each stage of the supply chain.
VAT (Value Added Tax) is an indirect tax levied on most goods and services in the UK. It's calculated as a percentage of the transaction value. The standard rate is 20%, with reduced rates of 5% and 0% for specific items.
The UK has three VAT rates: 0% (zero-rated items like most food and books), 5% (reduced rate for items like domestic fuel and children's car seats), and 20% (standard rate for most goods and services).
You must register for VAT if your annual turnover exceeds £85,000. You can also voluntarily register for VAT even if your turnover is below this threshold, which can be beneficial if you make regular VAT-able purchases.
Yes, our VAT calculator is completely free to use. You can calculate VAT for any amount and any applicable rate without any charges or registration requirements.
Absolutely! Our VAT calculator is designed for both personal and business use. It's perfect for invoicing, pricing calculations, and tax planning for UK businesses of all sizes.