Reverse VAT formula
Calculate VAT Backwards
Calculate VAT backwards when the final price already includes VAT. The calculator returns the net price, VAT amount, and total so you can check receipts, invoices, and tax-inclusive listings quickly.
At 20% tax, €120.00 gross equals €100.00 before tax and €20.00 tax. View formula
Backwards VAT formula
Net price = VAT-inclusive total / (1 + VAT rate / 100)
VAT amount = VAT-inclusive total - net price
For a total of 120 at 20% VAT, the backwards calculation is 120 / 1.20 = 100 net price. The VAT amount is 120 - 100 = 20.
FAQ
What does calculate VAT backwards mean?
It means starting with a VAT-inclusive total and working backwards to calculate the net price and VAT amount.
What is the backwards VAT formula?
Net price equals gross total divided by 1 plus VAT rate divided by 100. VAT amount equals gross total minus net price.
Can I calculate backwards from any VAT rate?
Yes. Use the manual VAT rate field for standard, reduced, older, or special rates shown on your invoice.