VAT on £700
Add or remove VAT at 20%, 5%, 0% on £700, with the net, VAT and gross figures.
Adding 20% VAT to £700 gives £840.00, of which £140.00 is VAT. Removing 20% VAT from £700 gives £583.33 net, with £116.67 of VAT inside the price. At the 5% reduced rate the VAT is £35.00 when added and £33.33 when removed; at 0% nothing changes.
£700 at every VAT rate
| Calculation | Net | VAT | Gross |
|---|---|---|---|
| Add 20% | £700.00 | £140.00 | £840.00 |
| Remove 20% | £583.33 | £116.67 | £700.00 |
| Add 5% | £700.00 | £35.00 | £735.00 |
| Remove 5% | £666.67 | £33.33 | £700.00 |
| Add 0% | £700.00 | £0.00 | £700.00 |
| Remove 0% | £700.00 | £0.00 | £700.00 |
What £700 looks like with and without VAT
£700 sits in the range of a typical supplier invoice, a software subscription paid annually, or a day of someone else's time. If you receive an invoice for £700 plus VAT, the total to pay is £840.00 and the £140.00 of VAT goes in box 4 of your return as input tax, provided the supplier is VAT registered and the invoice shows their number.
If instead £700 is the amount that already includes VAT, the net is £583.33 and the VAT element is £116.67. That split matters for your bookkeeping: the net goes to the expense category and the VAT to your VAT control account. At 5% the VAT inside £700 would be only £33.33, which is why energy bills for a home office show a much smaller tax line than a trade supplier does.
For your own sales, charging £700 net means invoicing £840.00 at the standard rate. Many freelancers price in round net figures and let the VAT sit on top, so the customer sees £700 as the fee and £140.00 as tax they can usually reclaim if they are registered themselves. If your customers are consumers who cannot reclaim, the £840.00 is what they compare against competitors, so it pays to decide which number you are quoting.
Source: GOV.UK: VAT Flat Rate Scheme; GOV.UK: VAT thresholds. Last updated .
Frequently asked questions
- How much is £700 plus VAT?
- £700 plus 20% VAT is £840.00. The VAT element is £140.00. At the 5% reduced rate the total is £735.00, and at 0% it stays at £700.
- How much VAT is included in £700?
- If £700 already includes 20% VAT, the VAT inside it is £116.67 and the net amount is £583.33. You divide by 1.2 to find the net, then subtract to find the VAT.
- What is £700 minus VAT?
- £700 minus 20% VAT is £583.33. That assumes the £700 was a VAT inclusive price. If £700 was already the net price, there is no VAT to take off.
Cite this page: “VAT on £700”, SoleKit, https://solekit.co.uk/vat-calculator/700