Calculate your VAT, GST or sales tax liability for any country. Enter total sales and expenses to see exactly what you owe — or what you're owed back — with colour-coded results.
Reduced rates available for United Kingdom: 5% — change the rate above if your sales qualify
Net figures — VAT will be calculated on top. Typical for B2B invoicing.
Total revenue from VAT-registered sales for this filing period
Business purchases on which you were charged VAT (exclude blocked input tax and non-business expenses)
Enter your sales and expenses above to calculate your VAT liability
Output VAT is the tax you charge your customers on your sales. Input VAT is the tax your suppliers charged you on your business purchases. Your VAT liability is output VAT minus input VAT — you collect tax on behalf of the government, then deduct what you yourself paid.
If your input VAT exceeds your output VAT — common for exporters, or businesses that have invested heavily in equipment — you are in a repayment position. The tax authority owes you money. You still need to file a return to trigger the refund.
You can generally only reclaim input VAT on expenses used wholly and exclusively for business. Entertainment is often blocked. Cars used partly for personal journeys are typically 50% blocked in the UK. Always check your country's blocked input tax rules before entering expense figures.
Most countries only require VAT registration once taxable turnover exceeds a threshold. UK: £90,000. Australia: A$75,000. New Zealand: NZ$60,000. Singapore: S$1 million. Below the threshold you cannot charge VAT, but you also cannot reclaim input VAT on purchases.
B2B invoices usually show net (VAT-exclusive) amounts with VAT added on top. B2C prices are usually VAT-inclusive (the total the consumer pays). Make sure you know which type your figures are before entering them — the toggle in the calculator accounts for both.
Most countries require VAT invoices and records to be kept for 6–10 years. In the UK, Making Tax Digital means records must be kept and submitted digitally. Inadequate records can result in penalties even if your actual liability is correct.
Calculate how much VAT, GST or sales tax you owe — or are owed back — by entering your total sales and total business expenses for the period. Select your country to apply the correct rate and see the relevant tax rules.
UK: £50,000 net sales, £20,000 net expenses at 20%
Output VAT £10,000 − Input VAT £4,000 = Owe £6,000 to HMRC (red)
UK: £30,000 net sales, £40,000 net expenses at 20%
Output VAT £6,000 − Input VAT £8,000 = Refund £2,000 from HMRC (green)
Germany: €80,000 incl. MwSt sales, €25,000 incl. expenses at 19%
Output €12,773 − Input €3,992 = Owe €8,781 to Finanzamt (red)
UK VAT return: £50,000 net sales, £20,000 net purchases at 20%
Pay £6,000 to HMRC
UK VAT return: £30,000 net sales, £40,000 net purchases at 20%
Claim £2,000 refund from HMRC
The UK's VAT generates around £160 billion per year for the Treasury — the third largest source of government revenue after income tax and National Insurance. It was introduced in 1973 when the UK joined the European Economic Community, replacing Purchase Tax. France was the first country to implement a national VAT, in 1954.
The estimate compares the sales tax collected on taxable sales with eligible tax entered on expenses using the rates and figures you provide. It cannot determine whether every transaction is taxable, exempt, zero-rated, deductible, or subject to a special scheme. Reconcile the result with invoices and current tax-authority rules before filing.
No. This calculator is a planning and checking aid, not a filed return or professional tax opinion. Filing periods, registration thresholds, partial exemption, reverse charge, bad-debt relief, imports, rounding, and local schemes can change the amount due. Use the relevant authority’s process and obtain qualified advice for uncertain treatment.
A negative net amount can occur when eligible input tax on expenses exceeds output tax collected on sales for the period. Whether that creates a refund, a credit carried forward, or an adjustment depends on the jurisdiction and the validity of the supporting records. Verify invoices and local rules before treating it as recoverable.
Keep sales and purchase invoices, credit notes, import documents, rate evidence, dates, currency conversions, and records of exempt or private use as required by the jurisdiction. Enter sales and expenses for the same reporting period and on a consistent tax-inclusive or tax-exclusive basis. Retain the authority’s submitted return and payment confirmation separately.