How to add VAT
To add VAT, multiply the price without VAT by 1 plus the VAT rate.
price with VAT = price without VAT × (1 + VAT rate)
Example with 25% VAT: 100 × 1.25 = 125. The VAT is 25.
How to remove VAT (reverse VAT)
To find the price without VAT, divide the price with VAT by 1 plus the VAT rate.
price without VAT = price with VAT ÷ (1 + VAT rate)
Example with 25% VAT: 125 ÷ 1.25 = 100. The VAT is 125 − 100 = 25.
A common mistake is to take 25% off the price with VAT: 125 − 25% = 93.75. That is wrong, because the 25% was added to the price without VAT, not to the price with it. With 25% VAT, the VAT is 20% of the price you pay.
How much of the price is VAT?
Use this table when you only have the price with VAT and want to know the VAT part quickly.
| VAT rate | Divide by | VAT share of the price with VAT |
|---|---|---|
| 17% | 1.17 | 14.53% |
| 19% | 1.19 | 15.97% |
| 20% | 1.2 | 16.67% |
| 21% | 1.21 | 17.36% |
| 22% | 1.22 | 18.03% |
| 23% | 1.23 | 18.70% |
| 24% | 1.24 | 19.35% |
| 25% | 1.25 | 20.00% |
| 25.5% | 1.255 | 20.32% |
| 27% | 1.27 | 21.26% |
VAT rates in Europe (2026)
The standard VAT rates in the EU countries, the UK, Norway, Iceland and Switzerland. Most countries also have one or more reduced rates for things like food, books and public transport.
| Country | Standard VAT rate |
|---|---|
| Austria | 20% |
| Belgium | 21% |
| Bulgaria | 20% |
| Croatia | 25% |
| Cyprus | 19% |
| Czechia | 21% |
| Denmark | 25% |
| Estonia | 24% |
| Finland | 25.5% |
| France | 20% |
| Germany | 19% |
| Greece | 24% |
| Hungary | 27% |
| Iceland | 24% |
| Ireland | 23% |
| Italy | 22% |
| Latvia | 21% |
| Lithuania | 21% |
| Luxembourg | 17% |
| Malta | 18% |
| Netherlands | 21% |
| Norway | 25% |
| Poland | 23% |
| Portugal | 23% |
| Romania | 21% |
| Slovakia | 23% |
| Slovenia | 22% |
| Spain | 21% |
| Sweden | 25% |
| Switzerland | 8.1% |
| United Kingdom | 20% |
Rates change from time to time. Before you file a VAT return, check the rate with your tax authority.
Selling to other EU countries
If you sell online to consumers in other EU countries, and those sales add up to more than €10,000 a year, you charge the VAT rate of the customer's country. You can report and pay it in one place through the EU One-Stop Shop (OSS), instead of registering in every country. Most shop systems, like Shopify and WooCommerce, can set this up for you.
VAT, discounts and your margin
A discount code is taken off the price the customer pays, VAT included. The VAT then shrinks with the price, so the discount costs you its share of the price without VAT. Always calculate your margin without VAT. Our discount cost calculator shows how much profit a coupon takes, and how many extra sales it needs to pay for itself.
Questions and answers
How do I calculate VAT?
Multiply the price without VAT by the VAT rate. With 25% VAT, a price of 100 has 25 in VAT, and the price with VAT is 100 × 1.25 = 125.
How do I remove VAT from a price?
Divide the price with VAT by 1 plus the VAT rate. With 25% VAT: 125 ÷ 1.25 = 100. Do not subtract 25% of 125, which gives 93.75 and is wrong.
How much of a price is VAT?
With 25% VAT, the VAT is 20% of the price you pay (25 ÷ 125). With 20% VAT it is 16.67%, and with 19% VAT it is 15.97%. The formula is rate ÷ (100 + rate).
What is the VAT rate in Denmark?
The standard VAT rate (moms) in Denmark is 25%. Denmark has no reduced rates, so 25% applies to almost everything that is not exempt. Norway and Sweden also have a 25% standard rate.
Which VAT rate do I charge customers in other EU countries?
When your online sales to consumers in other EU countries are above €10,000 a year in total, you charge the VAT rate of the customer's country and can report it through the EU One-Stop Shop (OSS). Below that, you can use your own country's rate. Sales to businesses with a valid VAT number are usually reverse charged.
Is a discount calculated before or after VAT?
For customers, a discount code is taken off the price with VAT. The VAT is then calculated on the lower price, so a 10% discount also lowers the VAT by 10%. Your profit is always calculated without VAT.