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adam b
How do you calculate the VAT content of a purchase ?
with UK VAT now at 15% how do I work out how to calculate the VAT proportion of a product.
                     
 




Onestep downfrom God
http://www.hmrc.gov.uk/vat/rates-explained.htm


suerye
Rating
I disagree with the previous answer. If VAT is included in the price, you work out the VAT portion:
price x 3/23


raysor
Rating
there are various ways. One is to divide by 115 and multiply by 15 to get the vat. The gross amount (or cost) is 115%


mikeouk2000
Rating
take whatever the total price is and muliply it by 6 then divide by 46, this gives you the vat content at 15%

eg £672 mulitiplied by 6 = 4032
4032 divided by 46 = £87.65

£672 minus £87.65 = £584.35

£584.35 x 15% = £672

david c,,do your maths, £8.50 plus 15% is £9.77, your getting mixed up with the differance between 15% on top of a price and 15% in a price


SimonC
If the price of the item already includes VAT then the amount of VAT included will be 3/23 of the selling price. IE price divided by 23 then mutiplied by 3 to get the amount of VAT.

If the price of the item does not include VAT then the amount of VAT to be added will be 3/20 of the ex VAT price. IE price divided by 20 then multiplied by 3. 3/20 = 0.15, so you could just multiply by 0.15 instead to get the same answer.


Derke N
Rating
Multiply the total cost by 3 and divide that by 23 to give the VAT portion. So a price of £35 includes £4.56 VAT.
But if the price before VAT is £35 the amount of VAT can be found by multiplying by 3 then dividing by 20 (or 0.15). i.e. £5.25 giving a total price of £40.25


Inner City Sumo
Rating
Price x 0.15 = VAT


dave by the sea
15% is 15p in £1.00 so £10 would be + £1.50 = £11.50
If the total is £10.00 then £1.50 is vat making the product £8.50 + 15%
Hope this is what you mean


Bonita
Rating
Price x 15% (much easier than all that complicated stuff above. Just do it on a calculator)


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