Question 1

How do I use the VAT calculator?

Accepted Answer

Simply enter your product's price and specify whether that price is VAT inclusive or exclusive. Then, fill in the quantity, shipping costs, and any applicable discounts. Select a standard VAT rate from the dropdown or enter a custom one. Click "Calculate VAT" to see a full breakdown, including the subtotal, total VAT amount, and the grand total.

Question 2

What is the difference between "VAT Inclusive" and "VAT Exclusive"?

Accepted Answer

- VAT Inclusive: This is the total price a customer pays, where the VAT is already included in the price tag. The calculator will work backward to show you how much of that total price was the base product cost and how much was the VAT. - VAT Exclusive: This is the base price of the product before any VAT has been added. The calculator will add the correct VAT amount on top of this price to determine the final cost.

Question 3

Can I use a specific VAT rate for my country or product?

Accepted Answer

Yes. The calculator includes common rates like 20% and 5% for quick selection. However, if you need to use a different rate (e.g., 19% for Germany or a special rate for a specific product), simply choose "Custom" from the "VAT Rate (%)" dropdown menu and enter any rate you need in the field that appears.

Question 4

How does the calculator handle discounts?

Accepted Answer

The calculator applies the discount to the VAT-exclusive subtotal before calculating the final VAT amount. This ensures accuracy, as VAT should be calculated on the discounted price, not the original price. You can apply the discount as either a percentage (%) or a fixed dollar ($) amount.

Question 5

Does the calculation include VAT on shipping costs?

Accepted Answer

By default, the calculator assumes VAT is applied to shipping, as this is a requirement in many regions. However, if VAT is not applicable to your shipping charges, you can simply uncheck the "Apply VAT to Shipping" box. The tool will then calculate VAT only on the discounted product subtotal and add the shipping cost separately to the grand total.

VAT Calculator

Grand Total (VAT Inclusive)

What is Kanal?

How the VAT Calculator works

1) Enter your product and price details

2) Select the VAT rate

3) See a full price breakdown

Frequently asked questions

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