VATCalculator UK

Remove VAT from £20

£20 gross contains £3.33 of VAT, leaving £16.67 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 £20 ÷ 1.20 = £16.67 net, and the VAT is £20 − £16.67 = £3.33.

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: £20 ÷ 1.20 = £16.67 net.
  2. VAT element: £20 − £16.67 = £3.33.
  3. Check: £16.67 × 1.20 = £20.
Worked examples
£20 gross − 20% VAT = £16.67 net — the VAT element of the £20 total is £3.33.
Reading a receipt — a £20 VAT-inclusive total breaks down as £16.67 net plus £3.33 VAT.
Why divide, not subtract 20% — the VAT is 20% of the net, not of the gross. Divide the gross by 1.20: £20 ÷ 1.20 = £16.67.
Sources: HMRC VAT rates · retrieved 2026-06-18.

Frequently asked questions

How much VAT is in £20?
£3.33. With 20% VAT included, divide the gross by 1.20 to get the net (£20 ÷ 1.20 = £16.67), then the VAT is the difference: £20 − £16.67 = £3.33.
What is £20 minus VAT?
£16.67 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 £20 that is £20 × 1/6 = £3.33, matching the divide-by-1.20 method.