Adding 20% VAT
Net 100 · rate 20%
VAT 20 · gross 120
VAT Calculator
Add VAT to a net price or strip it out of a gross price.
Result
- Net amount
- 100
- VAT (%20)
- 20
- Gross amount
- 120
Formula
Gross amount = Net amount × (1 + 20 ÷ 100)
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About this tool
VAT calculations go in two directions, and mixing them up is the most common pricing error there is. Adding VAT to a net amount is a multiplication; extracting it from a gross amount is a division — and subtracting 20% from a VAT-inclusive price does not give you the net.
At 20%, a 120 gross price contains 20 of VAT, not 24. The net is 120 ÷ 1.20 = 100. This calculator applies the correct operation for the direction you choose and shows the formula it used.
How to use it
- Choose the direction: add VAT to a net amount, or remove it from a VAT-inclusive total.
- Enter the amount.
- Pick a rate. Turkish pages default to the 1%, 10% and 20% bands; any other rate can be typed in.
- Read all three figures — net, VAT and gross — together with the formula.
Examples
Removing 20% VAT
The trap: 20% of 120 is 24, but the VAT inside a 120 gross price is 20. Divide by 1.20, do not subtract 20%.
Gross 120 · rate 20%
Net 100 · VAT 20
Common problems
- The net comes out lower than expected.
- You probably subtracted the rate from the gross instead of dividing. Use the “Remove VAT” direction, which divides by 1 + rate.
- The total differs by a cent from the invoice.
- Rounding. Invoicing systems round each line and then sum, while a single calculation rounds once at the end. On a multi-line invoice the two differ by a few cents.
- You do not know which rate applies.
- The rate depends on the product or service category, and the bands change. Check the current schedule from the tax authority rather than assuming last year's rate.
Frequently asked questions
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