VAT invoice calculation: net amounts, tax and totals
For each invoice line, multiply quantity by the net unit price, calculate VAT at that line's rate, then add net and VAT. For an invoice with mixed VAT rates, calculate the tax for each line or rate group separately.
Open the free VAT invoice calculator
Invoice VAT formulas
Line net = quantity × net unit priceLine VAT = line net × VAT rate ÷ 100Line gross = line net + line VATInvoice total = sum of net amounts + sum of VAT amounts
Worked example: an invoice at 20% VAT
Both lines below use an illustrative rate of 20%. Prices exclude VAT; the example does not assign a tax rate to a particular product or service.
| Line | Quantity × net unit price | Net | VAT at 20% | Gross |
|---|---|---|---|---|
| A | 2 × €120.00 | €240.00 | €48.00 | €288.00 |
| B | 1 × €80.00 | €80.00 | €16.00 | €96.00 |
| Totals | — | €320.00 | €64.00 | €384.00 |
Worked example: an invoice with mixed VAT rates
Here, one net amount of €100.00 uses 20% and another €100.00 uses 5%. Total VAT is €25.00. Applying 20% to the entire €200.00 would incorrectly give €40.00 VAT.
| VAT rate | Net | VAT | Gross |
|---|---|---|---|
| 20% | €100.00 | €20.00 | €120.00 |
| 5% | €100.00 | €5.00 | €105.00 |
| Totals | €200.00 | €25.00 | €225.00 |
Calculate an invoice and export the results
- Open the Invoice tab. Check the selected country and the default VAT rate for new rows.
- Enter each description, quantity and unit price excluding VAT. Convert a VAT-inclusive price to net first.
- Set the VAT percentage for each row and add further lines. To reproduce the mixed-rate example, enter one row of 100 at 20% and one of 100 at 5%.
- Check the subtotal, VAT total and grand total. Choose Export CSV to download the lines and results.
Calculate invoice lines and export CSV
You can also import a CSV with four columns: description, quantity, net unit price and VAT percentage. The output is a calculation worksheet; use your invoicing system to issue the final invoice.
Remove VAT from a price before adding a line
At 20%, a price of 120.00 including VAT has a net value of 120 ÷ 1.20 = 100.00. Enter 100.00 as the net unit price. When a total contains mixed rates, you need its breakdown before removing VAT.
How rounding affects invoice totals
This tool rounds each line's net amount and VAT to two decimal places, then sums the rounded results. An invoicing system that rounds once per VAT-rate group can differ by a cent. Compare the same method when checking an invoice against the calculator.
What else does a VAT invoice need?
The numerical calculation is only part of an invoice. Identification details, dates, numbering and applicable tax information are also needed. Check the European Commission's VAT invoicing guidance and the relevant national rules for your transaction.
Frequently asked questions
Can I apply one rate to the invoice total?
Only if all taxable lines use that rate, with a consistent rounding method. For mixed rates, calculate each rate separately.
Does a zero rate cover every transaction without VAT?
No. Exemption and reverse charge have their own treatment. A numerical zero-rate line does not identify why VAT was not charged.