VAT Calculator South Africa [Free 15% VAT Add/Remove Tool]

Fast, accurate VAT calculations at your fingertips – trusted by SA businesses

South Africa VAT Calculator

Calculate VAT at 15% rate for South African businesses

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Add or remove VAT in a click with our online South African VAT calculator. Simply enter the price and click the button. The current SA VAT rate is 15%.

What Does Adding and Removing VAT Calculations Mean?

Add / Include VAT Calculator

Adding VAT means including the Value Added Tax (VAT) to the original price of a product or service. VAT is a tax added at different stages of the supply chain and is ultimately paid by the end consumer

Remove/ Exclude VAT Calculator

Removing VAT involves deducting the VAT amount from the total price of a product or service. This is done by subtracting the VAT from the total. It helps to determine the base price of an item before VAT is added. Removing VAT helps to understand the actual cost of the product or service by excluding the tax component

VAT Inclusive Vs Reverse VAT Calculator: What’s the Difference?

Let’s take a closer look at the examples: VAT, which stands for Value Added Tax, is a type of consumption tax that is applied to goods and services at various stages of production or distribution.

Calculating the VAT amount can be done using two different approaches: the VAT inclusive formula and the VAT exclusive formula.

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How to calculate VAT Inclusive using the formula?

Tax Amount = ( Original Cost * VAT% ) / 100

Net Price = Original Cost + Tax Amount

VAT Add Calculator
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How to calculate VAT Exclusive using the formula?

Tax Amount = Original Cost – ( Original Cost * ( 100 / ( 100 + VAT% ) ) )

Net Price = Original Cost – Tax Amount

VAT Exclude Calculator

Understanding and correctly utilizing these formulas is crucial for both businesses and consumers. Knowing whether VAT is already included in the price or not allows for accurate calculation of the VAT amount and determination of the total price.

Proper VAT calculation ensures compliance with tax regulations and promotes transparency in financial transactions.

How to Calculate VAT Manually: You need to follow these steps:

Step 1: Determine the VAT Rate

Identify the VAT rate applicable to the goods or services you are selling. For example, if the standard VAT rate is 15%, you will use this percentage in your calculations.

Step 2: Calculate the Net Price

The net price is the original selling price of the goods or services before VAT is added. If the net price of a product is R100, proceed to the next step.

Step 3: Calculate VAT Amount

Multiply the net price by the VAT rate. Using the previous example, R100 multiplied by 15% (0.15) gives you R15. This R15 represents the VAT amount.

Step 4: Calculate Gross Price

Add the VAT amount to the net price to get the gross price, which includes the VAT. In our example, R100 + R15 = R115. Therefore, the gross price is R115.

VAT on R100

Example Calculation

Let’s illustrate the calculation with an example. Suppose you own a small business selling handmade jewelry. You sell a necklace for R1500, and the VAT rate applicable to jewelry is 15%.

  • Step 1: Determine the VAT Rate: 15%
  • Step 2: Calculate the Net Price: R1500
  • Step 3: Calculate VAT Amount: R1500 x 15% = R225
  • Step 4: Calculate Gross Price: R1500 + R225 = R1725

So, the gross price of the necklace, including VAT, is R1725.

VAT on R1500

If you are from Ukraine, you can visit this online калькулятор ПДВ for your VAT calculation.

Official SARS Tax Forms & Guides – Free Instant Download

Everything you need to stay compliant – all in one place

Guide to Complete the Income Tax Return (ITR14) for Companies Download
Comprehensive Guide to the ITR12 Income Tax Return for Individuals Download
Guide to Complete the Lump Sum Tax Directive Application Forms Download
Guide to SARS Mobile Tax Services Download
Guide to Services offered via the SARS MobiApp Download
Guide to submit your Individual Income Tax Return via eFiling Download

Frequently Asked Questions

VAT (Value Added Tax) is a consumption tax imposed on the value added to goods and services at each stage of production or distribution. The VAT percentage varies from country to country. Check out the Global VAT rates.

Value Added Tax (VAT) in South Africa is a consumption tax levied on goods and services. The standard VAT rate is currently 15%, with certain items and services exempt or subject to a zero-rate.

Registered businesses collect VAT on behalf of the government and submit regular returns.

The standard VAT rate in South Africa is currently set at 15% of the taxable value of goods and services. The reduced rates of VAT are 0%.

To work out VAT, multiply the price of the goods or services by the VAT rate (expressed as a decimal). The resulting amount is the VAT to be added to the original price.

In Excel, you can calculate VAT by using the formula: “=Price * VAT rate”. Simply replace “Price” with the value of the goods or services and “VAT rate” with the applicable rate (e.g., 15% as a decimal).

In Maths Literacy, to calculate VAT, multiply the original price by the VAT rate (expressed as a decimal) and then add the resulting VAT amount to the original price. The sum will be the total price inclusive of VAT.

To work out VAT backwards, divide the total price (inclusive of VAT) by 1 plus the VAT rate (expressed as a decimal). Then, subtract the original price from the result to obtain the VAT amount.

Yes, the gross price includes VAT. It represents the total price of goods or services, including the original price and the VAT amount.

To calculate output VAT, subtract the original cost of purchased goods or services from the selling price. The difference is the output VAT amount, which needs to be paid to the tax authorities.

To calculate VAT refund, subtract the total VAT paid on purchases from the total VAT received from sales. The resulting amount will indicate whether you are owed a refund or need to make an additional payment. Check our South Africa VAT Refund Calculator for precise results.

To calculate the amount before VAT, divide the total price (inclusive of VAT) by 1 plus the VAT rate (expressed as a decimal). Then, subtract the VAT amount from the result to obtain the original price.

To calculate VAT for a VAT return, add up the total VAT paid on purchases and subtract the total VAT received from sales. The resulting amount will indicate the VAT payable or refundable.

To calculate duty and VAT on imports, first calculate the duty amount based on the applicable duty rate and the customs value of the imported goods. Then, calculate the VAT amount by applying the VAT rate (e.g., 15%) to the customs value plus the duty amount.

Check our South Africa Import VAT & Duty Calculator for quick calculations.

To calculate VAT payable to the South African Revenue Service (SARS), subtract the total VAT input (VAT paid on purchases)

In South Africa, a VAT vendor refers to a business or individual that is registered for Value Added Tax (VAT) purposes.

Being a VAT vendor means that the business is legally authorized to charge and collect VAT on taxable supplies of goods or services.

VAT vendors are required to comply with specific regulations, such as submitting VAT returns and payments to the South African Revenue Service (SARS) regularly.

Yes, digital services like software, apps, and online subscriptions need VAT in South Africa. The rules are different for selling to businesses (B2B) versus regular customers (B2C).

Use our VAT on Digital Services Calculator for South Africa to work out the correct VAT for your digital sales.

VAT reverse charge means the buyer pays the VAT instead of the seller. This happens when you buy services from suppliers in other countries. The buyer must add the VAT and claim it back on their VAT return.

Our VAT Reverse Charge Calculator helps you calculate this correctly.

Conclusion

Overall, the South African VAT calculator is an essential tool for businesses and individuals alike in South Africa.

With its ability to accurately compute VAT amounts and prices at different stages of the supply chain, this calculator simplifies the complex process of VAT calculation.

It takes into account various factors such as the VAT rate, sales of goods and services, imports, purchases, and more.

Whether you are a business owner, a consumer, or an importer/exporter, this calculator provides a reliable solution for determining VAT liability, removing VAT from amounts, and calculating pre-VAT prices.

It ensures compliance with the VAT Act and helps avoid penalties, interest, and other financial liabilities.

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Mandla

Mandla is a highly skilled financial expert specializing in taxation and VAT. With a Bachelor’s degree in Accounting and professional certifications as a Certified Tax Practitioner (CTP), Mandla possesses a deep understanding of South Africa’s tax system. With over a decade of experience, he has provided valuable guidance to a diverse range of clients, including small businesses and multinational corporations. Mandla’s expertise and analytical approach make him a trusted advisor in navigating the complexities of VAT calculations in South Africa.