Calculating Net and Gross from VAT
Turbo_Dave
Registered Posts: 23
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?
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?
0
Comments
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VAT x 6 = gross (assuming standard rated).2
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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?0 -
Yes but watch the rounding as that doesn't give you an exact decimal.2
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Thanks CeeJay for your help.0
