UK VAT Calculator 2026/27
Add VAT to a net price, or extract VAT from a gross price. Switch between 20% standard, 5% reduced and 0% zero-rated. Verified against HMRC gov.uk rates. VAT registration threshold remains £90,000 from 1 April 2024 onwards.
UK VAT rates 2026/27
| Rate | % | Applies to (examples) |
|---|---|---|
| Standard | 20% | Most goods and services |
| Reduced | 5% | Domestic fuel, mobility aids for 60+, children's car seats, certain energy-saving installations |
| Zero | 0% | Most food, books and newspapers, children's clothing, public passenger transport, new-build housing |
Worked examples (20% standard rate)
- £100 net + 20% VATGross £120VAT £20 - Net £100
- £250 net + 20% VATGross £300VAT £50 - Net £250
- £1,000 net + 20% VATGross £1,200VAT £200 - Net £1,000
- £5,000 net + 20% VATGross £6,000VAT £1,000 - Net £5,000
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Frequently asked questions
- What is the standard UK VAT rate?
- The standard UK VAT rate is 20%, applied to most goods and services. It has been at 20% since 4 January 2011 and remains unchanged for the 2026/27 tax year.
- What is the reduced VAT rate (5%) for?
- The 5% reduced rate covers domestic fuel and power (electricity and gas for home use), mobility aids for people aged 60+, children's car seats, certain energy-saving materials installed in homes, and a few other categories. Most household consumer goods are at the 20% standard rate.
- What is zero-rated VAT?
- Zero-rated supplies have a VAT rate of 0%, meaning no VAT is charged but the supply is still VAT-able (so input VAT can be reclaimed by the seller). Zero-rated categories include most food, books and newspapers, children's clothing and footwear, public passenger transport, and new-build residential property. Zero-rated is not the same as VAT-exempt.
- How do I work out VAT from a gross price?
- To extract VAT from a gross price at the 20% standard rate, divide the gross by 1.20 to get the net, then subtract the net from the gross to get the VAT. Or use the "VAT fraction" of 1/6: VAT = gross x (1/6). At the 5% reduced rate, divide gross by 1.05 (VAT fraction 1/21).
- What is the UK VAT registration threshold?
- A business must register for VAT with HMRC when its taxable turnover over a rolling 12-month period exceeds £90,000 (in force from 1 April 2024 onwards). Voluntary registration is available below the threshold and can be tax-advantageous when most customers are themselves VAT-registered (input VAT recoverable).
- Do I charge VAT to customers outside the UK?
- Generally no for goods exported outside the UK (zero-rated) and varies for services depending on the place-of-supply rules. EU customers are treated as exports since Brexit. Detailed VAT rules on cross-border supplies depend on the specific transaction type - consult HMRC guidance or a VAT specialist.