# 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
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? :)
Thanks Doug.
In the event of tax changes, is there a simple way of calculating the 'multiplier' for any particular tax rate.
'
"Doug Ramage" wrote
Why not simply multiply by 7/40?? :-)
"Therefore 10 (net) has vat of: 10 x 7/40, ie 1.75.
"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).
Or just go to one of the many online VAT calculators?
John.
Brilliant, thanks.Tim and Doug
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. > >'
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.
> 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. > > > >'
I posted my reply to your last post before this one appeared on my server- honest Guv!
Neb
In message , Nebulous writes
You seem a decent enough cove, so I'll believe you ! just this once!
There's a very compelling reason: You'd get the wrong answer. :-(
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.
hth
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.
WELL?
Not worked it out yet?
TOLD YOU SO!
"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! :-)

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