VAT Calculator - Add or Remove Value Added Tax
Accurately calculate net amounts, gross amounts, and exact VAT figures for any region instantly.
What Is This VAT / GST Calculator?
VAT and GST are consumption taxes collected on the value added at each stage of the supply chain. For buyers and sellers, the core question is always the same: given a price, what is the tax component — and what is the final inclusive or exclusive figure? This tool solves both directions instantly for UAE (5%), Saudi Arabia (15%), Pakistan GST (17%), UK (20%), Bahrain (10%), and any custom rate.
Pakistan's standard GST rate is 17% on most goods and services. The UAE introduced VAT at 5% in January 2018. Saudi Arabia doubled its rate from 5% to 15% in July 2020. Knowing which direction to calculate — and the correct mathematical method — is essential for accurate invoicing and compliance.
How to Use This Calculator
- Enter your price amount — either pre-tax (net) or tax-inclusive (gross).
- Select Add VAT to calculate the final amount from a net price. Select Remove VAT to strip the tax from a gross price.
- Choose your region preset or enter a custom rate.
- Results appear instantly: Net, VAT, and Gross amounts.
The Correct VAT Formula
Adding VAT: Gross = Net × (1 + Rate ÷ 100)
Removing VAT: Net = Gross ÷ (1 + Rate ÷ 100)
Critical distinction: To remove 17% GST from a price, divide by 1.17. Do NOT multiply by 0.83 — that produces a different, incorrect answer. A PKR 1,170 GST-inclusive price has a net of PKR 1,000 (1,170 ÷ 1.17), not PKR 971.10 (1,170 × 0.83).
Worked Examples
- UAE business invoice (5%): Net service AED 20,000. VAT = AED 1,000. Total invoice = AED 21,000.
- Saudi retail purchase (15%): Item priced SAR 575 inclusive. Net = 575 ÷ 1.15 = SAR 500. VAT component = SAR 75.
- Pakistan goods (17% GST): Manufacturer cost PKR 50,000 + GST = PKR 58,500 gross.
- UK e-commerce (20%): Listed price £120 including VAT. Net = 120 ÷ 1.20 = £100. VAT = £20.
Common Mistakes
- Multiplying instead of dividing to remove VAT: This is the most frequent error. Always divide the gross price by (1 + rate) to reverse-calculate the net.
- Charging VAT without being registered: UAE businesses below AED 375,000 annual turnover are not required (or legally permitted) to charge VAT on invoices.
- Applying GST to exempt categories: In Pakistan, certain essential goods, medicines, and educational services may be GST-exempt or zero-rated. Verify the applicable rate with FBR for your specific category.
Frequently Asked Questions
Can businesses reclaim VAT paid on purchases?
Yes. VAT-registered businesses in the UAE and Saudi Arabia can offset input VAT (on purchases) against output VAT (on sales). The net is paid to or refunded by the authority quarterly. Pakistan's GST operates similarly for registered manufacturers and importers.
Is VAT the same as GST?
Functionally yes — both are multi-stage consumption taxes calculated the same way. Pakistan calls it GST; the GCC countries and UK call it VAT. The formula is identical.
Does Pakistan's 17% GST apply to all goods?
No. Pakistan has different rates for different categories: 17% on most standard goods; reduced rates on some items; zero-rating on exports; and full exemptions for certain essentials. Verify with FBR for your specific product or service category.
📅 Last Updated: April 2026
📋 Sources: UAE FTA, GAZT Saudi Arabia, FBR Pakistan, HMRC UK