Updated on June 28, 2022
Many retailers operate promotions in which they give their consumers a VAT credit. But how can you figure out the VAT on a goods where the tax has already been factored in? If the rate is 23%, simply divide the price by 1.23; if the rate is different, simply multiply the price by the relevant amount. A PC that costs $590 with VAT included can be purchased for $490 by doing the following:. Is the promotion worth it?
If, on the other hand, you want to know how much a given item costs without VAT, all you have to do is perform the reverse procedure, which means multiplying instead of dividing. For example, if you wish to buy a tablet for $320 excluding VAT, the calculation to use is:. Using the calculators below can help if you’re still having trouble figuring it out.
Calculate VAT (excluded in prices)