The formulas
There are only two, and the second is the one people get wrong.
Adding VAT to a net price:
VAT = net × rate / 100 gross = net + VAT
Extracting VAT from a gross price:
net = gross / (1 + rate / 100) VAT = gross − net
The common mistake is to take the gross price and simply subtract the percentage — multiplying €119 by 19% gives €22.61, not the correct €19.00. The percentage is calculated on the net amount, so you have to divide rather than subtract.
Worked example
A German customer is quoted a gross price of €119.00 including 19% VAT.
- net = 119.00 / 1.19 = €100.00
- VAT = 119.00 − 100.00 = €19.00
Going the other way, a net price of €100.00 at the Polish standard rate of 23% gives VAT of €23.00 and a gross price of €123.00. The same goods, the same net price, a gross price four euros apart — which is exactly why the destination country matters when you set prices for a marketplace listing.
Rounding
VAT is normally calculated and rounded per invoice, to two decimal places. Rounding each line item separately and then summing can produce a total that differs by a cent or two from rounding the total — both approaches are accepted in most member states, but you must apply one consistently.
This calculator rounds the final figures to two decimals and keeps full precision internally, so the three numbers shown always add up.
Which country’s rate should you use?
For B2C sales of goods shipped to another EU country, the destination country’s rate applies once your total cross-border sales exceed €10,000 in a calendar year. Below that, you may keep charging your own country’s rate. Above it, most sellers register for the One Stop Shop (OSS) and declare all EU VAT through a single return instead of registering in each country.
For B2B sales to a customer with a valid VAT number in another member state, the reverse charge normally applies and you invoice without VAT.
Frequently asked questions
Divide the gross price by 1 plus the rate as a decimal. At 19%, divide by 1.19; at 23%, divide by 1.23. The result is the net price, and the difference is the VAT. Subtracting the percentage from the gross price gives the wrong answer.
The standard rate applies unless your goods fall into a category the destination country has explicitly reduced. Those categories are set nationally and differ widely — the rate table shows which rates exist in each country, but only the national tax authority can confirm which one your specific goods fall under.
Below €10,000 of annual cross-border B2C sales across the EU, you may charge your domestic rate. Above it, you charge the rate of the customer’s country. The threshold is a single EU-wide figure covering all your cross-border sales combined, not a separate allowance per country.
Yes — the maths is the same regardless of currency. Enter the amount in whatever currency you invoice in, and the result is in that currency. Poland, Czechia, Hungary, Sweden, Denmark, Romania and Bulgaria all use their own currency.
No. The calculation runs in your browser and nothing is transmitted or stored.