How to use it
Use add VAT when your price excludes tax. Use remove VAT when your total already includes VAT and you need the net amount.
Add VAT to a price or remove VAT from a price that already includes tax.
Use add VAT when your price excludes tax. Use remove VAT when your total already includes VAT and you need the net amount.
Use the related tools and guides when the first answer raises the next question.
To add VAT, multiply the net price by 1 plus the VAT rate. To remove VAT, divide the gross price by 1 plus the VAT rate.
At 20% VAT, a net price of 100 becomes 120. A gross price of 120 divided by 1.2 returns a net price of 100 and a VAT amount of 20.
Removing 20% VAT is not the same as taking 20% off the gross price. VAT is calculated from the net price, so reverse VAT uses division.