Guide · VAT Calculator
How to use the Irish VAT Calculator
The TakeHomePay.ie VAT calculator helps you add or remove VAT from any price instantly. Whether you're a business preparing an invoice, a sole trader checking a quote, or anyone wanting to see how much VAT is included in a price, this calculator handles it all in seconds.
It covers the most commonly used Irish VAT rates — 23%, 13.5%, 9% and 0% — and shows a breakdown of every rate at once so you can compare them side by side. The "Remove VAT" mode functions as a reverse VAT calculator — useful when you need to remove 23% VAT from a price or extract the VAT element at any rate from a VAT-inclusive total.
What you need: Just the price — either the net price (excluding VAT) if you want to add VAT, or the gross price (including VAT) if you want to remove it. Select the mode and rate, and the result updates instantly.
Choose your mode — Add or Remove VAT
The first thing to select is which direction you want to calculate VAT. There are two modes:
Use this when you have a net price (excluding VAT) and want to find out what the customer will pay. This is the most common use for businesses issuing invoices — you enter your price before VAT and the calculator shows the VAT amount and the gross (VAT-inclusive) total.
Use this when you have a gross price (VAT already included) and want to find the original net price and the VAT element. This is sometimes called "reverse VAT" or "back-calculating VAT." Useful when checking a receipt, working out input VAT to reclaim, or confirming a supplier's pricing.
Common mistake: Using "Add VAT" when you already have a gross price — or "Remove VAT" when you have a net price — gives the wrong answer. Always be clear on whether your starting price includes VAT or not before selecting the mode.
Select the correct VAT rate
Ireland uses several VAT rates. The calculator covers the four most commonly used rates. Selecting the wrong rate is the most common source of error — here is a guide to which applies to what:
Zero-rated ≠ VAT-exempt: Zero-rated goods are subject to VAT legislation at 0% — businesses selling them can still reclaim input VAT on costs. VAT-exempt goods and services (financial services, insurance, education, health) are outside the VAT system entirely — no VAT is charged and no input VAT can be reclaimed. Always verify the correct treatment for specific goods and services with Revenue.ie.
Not sure which rate applies? Revenue's VAT rates database at revenue.ie lets you search by product or service description to find the correct rate.
Enter your price
Enter the price in euros. If you selected Add VAT, enter the net (ex-VAT) price. If you selected Remove VAT, enter the gross (VAT-inclusive) price. The calculator accepts decimal values — for example, 49.99 or 1250. Results update instantly as you type.
The calculator also shows a summary table at the bottom of the results displaying the VAT amount and gross/net price across all four rates simultaneously. This is useful when you're comparing options or when a rate hasn't been confirmed yet.
Read your results
The results panel shows three key figures:
The price before VAT — what the supplier or seller receives as their base revenue. This is the figure you would use on a VAT invoice as the "net amount."
The VAT element only. If you are VAT-registered, this forms part of the output VAT you report on your VAT return. You pay Revenue the difference between output VAT collected and input VAT reclaimed.
The total amount the customer pays — net price plus VAT. This is the price that must appear on receipts and retail price displays.
Worked examples
Example 1 — Adding 23% VAT to a consultancy fee
A consultant charges €500 net for a day's work. Their client needs to know the VAT-inclusive amount to pay.
Add VAT · 23% rate · Net price €500
Example 2 — Removing 13.5% VAT from a builder's invoice
A homeowner receives a building services invoice for €2,460 including VAT at 13.5% and wants to know the net amount and VAT element.
Remove VAT · 13.5% rate · Gross price €2,460
Example 3 — Comparing rates on a €100 meal
A restaurant checks what €100 net revenue looks like at each applicable rate.
9% — Restaurant meals
23% — Alcohol (same venue)
Note that within the same restaurant, food and non-alcoholic drinks are charged at 9% while alcohol remains at 23% — meaning mixed bills must apply different rates to different line items.
How to remove 23% VAT from a price (reverse VAT)
One of the most common VAT questions in Ireland is: "I have a VAT-inclusive price — how do I work out the VAT amount?" This is known as a reverse VAT calculation, back-calculation, or VAT extraction.
The key rule: never simply multiply by 0.77 to remove 23% VAT. This gives the wrong answer because VAT is calculated on the net price, not the gross. The correct method is always to divide by 1.23.
Remove 23% VAT · Gross price €123
The same principle applies at every rate — divide the gross price by (1 + rate): by 1.135 for 13.5%, by 1.09 for 9%. Our reverse VAT calculator does this automatically — just select "Remove VAT", choose your rate, and enter the VAT-inclusive price.
Reverse VAT calculator tip: If you receive a receipt or invoice where the VAT rate isn't stated, you can use the all-rates comparison table in the calculator to see what the VAT amount would be at each rate and work backwards to confirm which one was applied.
The VAT formulas explained
The calculator uses two straightforward formulas depending on which direction you are calculating:
Why divide — not multiply by the inverse? A common mistake is to remove 23% VAT by multiplying by 0.77 (i.e. 1 − 0.23). This gives the wrong answer because VAT is calculated on the net, not the gross. Dividing by 1.23 is the only correct method. The calculator handles this automatically.
Irish VAT registration thresholds 2026
VAT registration is mandatory once your annual turnover exceeds the threshold for your type of business. As of 2026, the VAT registration thresholds are:
| Business type | Annual threshold | Notes |
|---|---|---|
| Services | €42,500 | Applies to businesses supplying services only (e.g. consultants, freelancers) |
| Goods | €85,000 | Applies where 90%+ of turnover is from supply of goods |
| Mixed (goods and services) | €42,500 | The lower services threshold applies when a mix of goods and services are supplied |
| Voluntary registration | Any level | You can register below the threshold to reclaim input VAT on business costs |
Voluntary registration: If you are below the threshold but your suppliers charge VAT, registering voluntarily allows you to reclaim that input VAT on your VAT returns. This is especially useful for businesses with significant VAT-able costs at the startup stage. Speak to an accountant before registering, as it also creates ongoing compliance obligations.
Once registered, you must charge VAT on all applicable sales, file VAT returns (usually bi-monthly), and pay the net VAT (output VAT minus input VAT) to Revenue. Failure to register when required can result in penalties and interest charges.
Common VAT questions
What is the difference between output VAT and input VAT?
Output VAT is the VAT you charge your customers on your sales. Input VAT is the VAT you pay to your suppliers on your purchases. On your VAT return, you pay Revenue the difference: output VAT minus input VAT. If your input VAT exceeds your output VAT (for example, a business with large capital expenditure), Revenue owes you a refund.
Do I charge VAT on services to clients outside Ireland?
Generally no — B2B services supplied to VAT-registered customers in other EU countries fall under the "reverse charge" mechanism, where the customer accounts for VAT in their own country. B2B services to customers outside the EU are generally zero-rated for Irish VAT purposes. B2C services follow different rules depending on the nature of the service. Always seek professional advice for cross-border transactions.
Do prices in shops have to include VAT?
Yes — under EU and Irish consumer law, prices displayed to consumers must be VAT-inclusive. The price shown on a shelf or menu is what the consumer pays. Only B2B transactions can legitimately quote prices excluding VAT, provided it is clearly stated.
What is the VAT rate on mixed supplies?
When a single price covers goods or services at different VAT rates, Revenue may require the consideration to be apportioned between those rates. For example, a restaurant meal and a glass of wine on the same bill typically attract different rates — 9% on the food and 23% on the alcohol.
Can I reclaim VAT on a car?
Generally no — the VAT on the purchase price of a car used for business and private purposes cannot be reclaimed. There is a very narrow exception for vehicles used solely and exclusively for business (e.g. taxis, driving instruction vehicles, stock-in-trade for car dealers). Always confirm with an accountant or Revenue before attempting to reclaim VAT on a vehicle.
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