How to Calculate VAT in the UK
The three VAT rates, how to add VAT to a net price, and why taking 20% off a gross figure gives the wrong answer.
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The arithmetic behind the tools, explained properly: worked examples, the mistakes worth avoiding, and links to the official guidance so you can check anything that matters.
The three VAT rates, how to add VAT to a net price, and why taking 20% off a gross figure gives the wrong answer.
Read the guideWhat a VAT invoice must show, how to lay out the VAT line, and how to handle mixed rates on a single invoice.
Read the guideStandard, reduced, zero-rated and exempt — what each one means, and why the difference affects what you can reclaim.
Read the guideGross and net margin explained, the formula, a worked example, and the numbers margin quietly leaves out.
Read the guideThe same profit, expressed two ways — how they diverge as prices rise, and how to convert between them.
Read the guideWhy dividing a salary by 2,000 hours undersells you, and the step-by-step calculation that gets it right.
Read the guideTurning an annual target into a defensible day rate, including the non-billable days most people forget.
Read the guideThe details that make an invoice look credible, get paid on time and keep your records clean.
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