VAT Calculation question

My maths is not up to this...
How can I work backwards from a net price of an article to find out what the
amount of VAT on it was?
i.e.. if I paid 10 for an item what calculation would I need to do to establish
how much of that was VAT.
Thanks,
Keith
Reply to
Keith.F
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the amount of VAT on it was?
establish how much of that was VAT.
For gross - multiply by 7/47. Therefore, 11.75 (gross) has a vat content of 1.75.
For net, multiply by 1.175, then again by 7/47. Therefore 10 (net) = 11.75 (gross), and vat of 1.75.
RR may well have quicker method? :)
Reply to
Doug Ramage
Thanks Doug.
Which leads me onto a follow up.
In the event of tax changes, is there a simple way of calculating the 'multiplier' for any particular tax rate.
'
Reply to
Keith.F
"Doug Ramage" wrote
Why not simply multiply by 7/40?? :-)
"Therefore 10 (net) has vat of: 10 x 7/40, ie 1.75.
Reply to
Tim
"Keith.F" wrote
When rate is 17.5%, you can get 7/47 from :- (17.5 / 117.5) ...
For 15% (say), you would use 15 /
115 = (3 / 23).
Reply to
Tim
In message , Keith.F writes >Thanks Doug. > >Which leads me onto a follow up. > >In the event of tax changes, is there a simple way of calculating the >'multiplier' for any particular tax rate. > >'
Reply to
john boyle
In message , Doug Ramage writes
Why not divide by 1.175?
JB has. Multiply by .175
In both cases express the VAT rate as a decimal equivalent, NOT as a percentage.
Reply to
john boyle
> In message , Keith.F > writes > >Thanks Doug. > > > >Which leads me onto a follow up. > > > >In the event of tax changes, is there a simple way of calculating the > >'multiplier' for any particular tax rate. > > > >'
Reply to
Nebulous
To get 7/47 from this, double 17.5 / 117.5 to get to integers:
Giving 35 /
235
Reduce by dividing each value by 5:
7/47.
One nice thing about this is that you can do it in your head quite easily. Well, easier than multiplying by 0.14893617!
hth
Robin
Reply to
robin
Come off it. The nice thing about it is that you only need six keypresses on a calculator. If you can multiply £987.65 by 7 and then divide it by 47 in your head, as opposed to with the aid of pencil and paper, then I covet your head.
Your time starts NOW.
WELL?
Not worked it out yet?
TOLD YOU SO!
Reply to
Ronald Raygun
"robin" wrote
Why not simply divide each value by 2.5 at the start, rather than doubling originally? You only need one stage rather than two then! :-)
Reply to
Tim

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