VAT Calculator South Africa

How to Calculate VAT in South Africa (15%)

VAT in South Africa is 15%. This guide shows you exactly how to calculate VAT — whether you need to add VAT to a net amount, remove VAT from a VAT-inclusive total, or work VAT backwards. Includes the formulas, worked examples, and a free calculator.

Quick Answer

To add 15% VAT: multiply the net amount by 1.15

To remove 15% VAT: divide the VAT-inclusive amount by 1.15

VAT amount: the difference between the gross and net amounts

Example — Add VAT:

R1,000 × 1.15 = R1,150

Example — Remove VAT:

R1,150 ÷ 1.15 = R1,000

The VAT Formulas

Add VAT (VAT-Exclusive → Inclusive)

VAT = Net × 0.15

Gross = Net × 1.15

Remove VAT (Inclusive → Exclusive)

Net = Gross ÷ 1.15

VAT = Gross − Net

How to Calculate VAT: Step-by-Step

  1. 1

    Identify the amount type

    Decide whether your starting amount is VAT-exclusive (does not yet include VAT) or VAT-inclusive (already includes the 15% VAT). Check your invoice or quote — most invoices specify "excl. VAT" or "incl. VAT".

  2. 2

    Choose the right formula

    If the amount is VAT-exclusive and you need to add VAT, multiply by 1.15. If the amount is VAT-inclusive and you want to find the net price, divide by 1.15.

  3. 3

    Calculate the VAT portion

    The VAT amount is the difference between the gross and net values. For example, if Gross = R1,150 and Net = R1,000, then VAT = R150.

  4. 4

    Round per SARS rules

    SARS requires VAT amounts to be rounded down to the nearest cent (two decimal places). Our calculator does this automatically.

Try It: 15% VAT Calculator

Need more features? Use the full VAT calculator with history, export, and custom rates.

Worked Examples

Example 1 — Adding VAT to a R5,000 invoice

You quote a client R5,000 for services (VAT-exclusive). Total to invoice including VAT:

  • VAT = R5,000 × 0.15 = R750
  • Gross = R5,000 × 1.15 = R5,750

Example 2 — Removing VAT from a R2,300 till slip

A till slip shows R2,300 (VAT-inclusive). To find the net price and VAT portion:

  • Net = R2,300 ÷ 1.15 = R2,000
  • VAT = R2,300 − R2,000 = R300

Example 3 — Calculating VAT backwards from R11,500

You receive a R11,500 VAT-inclusive payment and need to declare the VAT portion:

  • Net = R11,500 ÷ 1.15 = R10,000
  • VAT to declare = R1,500

VAT-Inclusive vs VAT-Exclusive

Understanding the difference is critical for invoicing and budgeting:

TermMeaningExample (R1,000 net)
VAT-ExclusivePrice does NOT include VAT — VAT must still be added.R1,000
VAT-InclusivePrice already includes the 15% VAT.R1,150
VAT AmountThe portion that goes to SARS.R150

Frequently Asked Questions

How do I calculate VAT in South Africa?+
In South Africa, the standard VAT rate is 15%. To add VAT, multiply the net amount by 1.15 (Gross = Net × 1.15). To remove VAT from a VAT-inclusive amount, divide by 1.15 (Net = Gross ÷ 1.15). The VAT portion is the difference between the gross and net amounts.
How much is VAT in South Africa?+
VAT in South Africa is 15%. This is the standard rate set by SARS and has been in effect since 1 April 2018. Some goods like basic foodstuffs (brown bread, maize meal, eggs, fresh fruit and vegetables) are zero-rated, meaning 0% VAT applies.
How do I add 15% VAT to an amount?+
To add 15% VAT to a net amount, multiply by 1.15. For example, R1,000 + 15% VAT = R1,000 × 1.15 = R1,150. The R150 is the VAT portion.
How do I remove VAT from a price?+
To remove 15% VAT from a VAT-inclusive price, divide by 1.15. For example, R1,150 ÷ 1.15 = R1,000 (the net amount). The VAT portion is R1,150 − R1,000 = R150. This is also called working VAT backwards or reverse VAT.
What is the difference between VAT-inclusive and VAT-exclusive?+
VAT-exclusive means the price does NOT include VAT — VAT must still be added. VAT-inclusive means the price already includes the 15% VAT. Always check invoices to confirm which is being shown.
How do I calculate VAT backwards?+
Calculating VAT backwards means working out the net amount and VAT from a VAT-inclusive total. Use: Net = Gross ÷ 1.15 and VAT = Gross − Net. For example, R2,300 ÷ 1.15 = R2,000 (net), so VAT = R300.
Do I round VAT up or down?+
SARS guidelines specify rounding VAT amounts down to the nearest cent. Our calculator follows this convention.
When did VAT change in South Africa?+
VAT was 14% before 1 April 2018, when it increased to 15%. As of the 2026 Budget, the rate remains at 15%, although the registration thresholds were increased.

Related Resources

VAT Calculator

Free 15% VAT calculator with history and export.

Zero-Rated VAT Items

Complete list of zero-rated foodstuffs and goods.

2026 VAT Thresholds Update

Compulsory threshold raised to R2.3m in the 2026 Budget.

SARS VAT 404 Guide

Official SARS guide for VAT vendors (PDF).

This is an educational guide. For official tax advice, consult SARS or a registered tax practitioner.

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