VATCalculator UK

Remove VAT from £15,000

£15,000 gross contains £2,500 of VAT, leaving £12,500 net. Use the calculator below to extract VAT from any gross amount.

Enter values above to calculate.

To remove UK VAT, divide the gross (VAT-inclusive) amount by 1 + (rate ÷ 100). At the standard 20% rate that is ÷ 1.20, so £15,000 ÷ 1.20 = £12,500 net, and the VAT is £15,000 − £12,500 = £2,500.

A common mistake is to subtract 20% from the gross — that under-removes the VAT, because the 20% was charged on the smaller net figure, not the gross.

How it works.

Formula: net = gross ÷ (1 + rate ÷ 100); VAT = gross − net.

  1. Divide by 1.20: £15,000 ÷ 1.20 = £12,500 net.
  2. VAT element: £15,000 − £12,500 = £2,500.
  3. Check: £12,500 × 1.20 = £15,000.
Worked examples
£15,000 gross − 20% VAT = £12,500 net — the VAT element of the £15,000 total is £2,500.
Expense claim — from a £15,000 gross invoice, a registered business reclaims £2,500 and books £12,500 as the net cost.
Why divide, not subtract 20% — the VAT is 20% of the net, not of the gross. Divide the gross by 1.20: £15,000 ÷ 1.20 = £12,500.
Sources: HMRC VAT rates · retrieved 2026-06-18.

Frequently asked questions

How much VAT is in £15,000?
£2,500. With 20% VAT included, divide the gross by 1.20 to get the net (£15,000 ÷ 1.20 = £12,500), then the VAT is the difference: £15,000 − £12,500 = £2,500.
What is £15,000 minus VAT?
£12,500 net. Removing 20% VAT means dividing by 1.20, not subtracting 20% — subtracting 20% would give the wrong answer because the VAT is a fraction of the net.
What is the VAT fraction for 20%?
One-sixth. At 20%, the VAT in any gross amount is gross × 1/6. For £15,000 that is £15,000 × 1/6 = £2,500, matching the divide-by-1.20 method.