£40 plus VAT
£40 plus 20% VAT is £48. The standard-rate VAT on £40 is £8. Change the amount or rate in the calculator below.
To add UK VAT, multiply the net amount by 1 + (rate ÷ 100). At the standard 20% rate that is × 1.20, so £40 × 1.20 = £48, of which £8 is VAT.
UK VAT rates: 20% standard (most goods and services), 5% reduced (domestic energy, children's car seats), 0% zero-rated (most food, books, children's clothes). Zero-rated still appears on VAT returns; exempt supplies (insurance, finance, education) do not.
How it works.
Formula: net × (1 + rate ÷ 100) = gross.
- Convert the rate: 20 ÷ 100 = 0.20.
- VAT amount: £40 × 0.20 = £8.
- Gross: £40 + £8 = £48 (or £40 × 1.20).
Worked examples
£40 + 20% VAT = £48 — the standard-rate VAT is £8, added on top of the £40 net price.
On a receipt — a £40 item shown ex-VAT rings up at £48 once 20% VAT is added at the till.
At the 5% reduced rate (domestic energy, children's car seats): £40 + 5% = £42, a VAT amount of £2.
Sources:
HMRC VAT rates
· retrieved 2026-06-18.
Frequently asked questions
How much is 20% VAT on £40?
The VAT is £8. Multiply the net amount by 0.20: £40 × 0.20 = £8. Add it to the net price and the gross (VAT-inclusive) total is £48.
What is £40 plus VAT?
£48. To add standard-rate VAT, multiply by 1.20: £40 × 1.20 = £48. The 1.20 multiplier is the same as adding 20%.
What if the reduced 5% rate applies to £40?
Some supplies (domestic energy, children's car seats, some mobility aids) are charged at 5%, not 20%. At 5%, the VAT on £40 is £2 and the gross is £42.