VAT (value added tax) appears on almost every invoice in Europe. Whether you are a freelancer, a shop owner or a customer who wants to know the real price, you need to add or remove VAT correctly. This guide explains the formulas and shows how to use a calculator.
Add VAT: Gross = Net × (1 + rate). For 100 € at 22%: 100 × 1.22 = 122 €.
Remove VAT: Net = Gross ÷ (1 + rate). For 122 € at 22%: 122 ÷ 1.22 = 100 €. A very common mistake is to subtract 22% from 122, which gives the wrong answer.
Many countries also have reduced rates for goods such as food, books or public transport. Use the manual rate field when a reduced rate applies.
Rates change, and special rules apply to cross-border sales, digital services and small business exemptions. This calculator is a helper, not tax advice. Always confirm with your tax authority or accountant before filing.
Once you know the amounts, you can create a document for your customer with the Invoice Generator.
Adding VAT in Germany (19%): a freelancer charges 500 € net. VAT is 500 × 0.19 = 95 €, so the customer pays 595 €.
Removing VAT in Spain (21%): a gross price is 121 €. Net = 121 ÷ 1.21 = 100 €, and VAT is 21 €.
Italy (22%): a net price of 80 € becomes 80 × 1.22 = 97.60 € gross.
Many countries apply lower rates to items such as food, books, medicines or public transport. For example, Italy has reduced rates of 4%, 5% and 10%, and Germany has a reduced rate of 7%. Rules change, so confirm the correct rate on the website of your tax authority before you invoice.
Whether you must charge VAT depends on your country and your turnover. Some countries have special schemes for very small businesses that are exempt from VAT, and then the invoice must carry a note explaining the exemption. If you sell to customers in other EU countries, the place-of-supply rules and the reverse charge can change which country's VAT applies. A tax adviser can explain the best setup for your situation.
Choose Add VAT when you start from a net price and need the total to invoice. Choose Remove VAT when you start from a shop receipt or gross price and want to know the net amount and the VAT contained. Enter the amount, pick the country and read the three results: net, VAT and gross. Everything runs in your browser and nothing is stored or uploaded.
Keep copies of every invoice you issue and receive, because tax authorities usually require records for several years. Note the date, number, net amount, VAT rate and VAT amount of each invoice. A simple spreadsheet with columns for these values makes VAT returns much easier. Round each invoice according to your country's rules, and keep the same method consistently.
To add 20% VAT, add one fifth of the net price. To add 22% VAT, multiply by 1.22 or add a fifth and a little more. To remove 21% VAT from a gross price, divide by 1.21 or multiply by about 0.826. The calculator saves you from mistakes when the amount matters.
Net is the price without VAT. Gross is the price with VAT included.
Divide the gross price by 1 plus the VAT rate, for example by 1.22 for 22%.
Use the rate that applies to your product or service and your country. Check with your tax authority.
Yes. You can type any rate manually.
Standard rates are included for 2026, but rates can change, so always verify before invoicing.
Yes. It is free and works in your browser.