A value-added tax (VAT) is an indirect tax placed on domestic consumption of goods and services at each stage of the supply chain, from production to the point of sale. More than 160 countries around the world use value-added taxation.
VAT Calculator helps to calculate net amount, VAT amount and gross amount.
Formula used for VAT calculation:
VAT = P * r / 100
P = Vat-exclusive price
r = Vat rate
Vat-inclusive price = Vat-exclusive price + VAT
VAT Calculator is useful for different systems of VAT in different countries. In some countries, VAT is implemented in the form of Goods & Service Tax (GST).
The following table gives an idea about VAT rates in some of the countries:
VAT is designed to tax only the value added by a business on top of the services and goods it can purchase from the market. VAT calculator calculates VAT amount, net amount and gross amount quickly.