Guide

How to Remove VAT from a Price

Learn the correct way to remove VAT from a VAT-inclusive price.

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Quick answer

To remove VAT, do not simply subtract the VAT rate. Divide the gross price by 1 plus the VAT rate. This gives the net price, and the difference is the VAT amount.

Step-by-step

  1. Write down the values you already know.
  2. Use the correct formula and keep the units consistent.
  3. Calculate the result and check whether it makes practical sense.

Use the calculator

The easiest way to avoid mistakes is to use the related calculator and then review the formula shown on the page.

Open VAT Calculator →

Common mistakes

  • Using the wrong unit or percentage format.
  • Rounding too early.
  • Forgetting extra costs, waste, taxes, or allowances where they apply.

Related calculators

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