Calculating Net and Gross from VAT

Turbo_Dave

Hello,

I am new to the forums and I am just wondering how you can calculate net and gross if you are only given the VAT.

The way I have been doing it for 20% rate:

VAT/0.2 = Net
Net + VAT = Gross

Are there any other ways behind the maths involves?

CeeJaySix

VAT x 6 = gross (assuming standard rated).

Turbo_Dave

Thanks CeeJaySix for your help that's an easier method!
When I did a bookkeeping course I was taught to divide the gross by 6 to find out the VAT but they never taught us why.

I assume it's to do with 1.2/0.2 = 6

If you are using 17.5% vat would it still be the same as to say 1.175/0.175 = 6.71?

CeeJaySix

Yes but watch the rounding as that doesn't give you an exact decimal.

Turbo_Dave

Thanks CeeJay for your help.