How to find VAT from the amount formula. VAT calculation. What is the payment for?
VAT is a budget-forming payment of the Russian tax system. Therefore, many business entities have to count and pay it. An exception is made for companies and entrepreneurs that use alternative tax systems - they are exempt from paying this tax, except for certain transactions. Most often, VAT is added by the seller to the cost of the goods (services) and is highlighted in the documents. But there are cases when it needs to be isolated from the total amount of the transaction. Next, we’ll figure out when this is needed and how it’s done.
Briefly about VAT: mechanism and rates
VAT is an indirect tax that is levied on the sale of most goods and services. It is usually included in the price and paid out of the buyer's pocket. At the same time, formally the seller must take tax from the amount received from the buyer and pay it to the budget. This is how the indirect taxation mechanism works.
The basic tax rate is 18%. It applies to most taxable objects. Along with it, there is a reduced rate of 10% for preferential categories of goods. It covers many types of food, children's products and certain medical products. Another preferential rate is 0%. It is used for export, for the provision of a whole range of services related to international transportation, as well as for individual sales objects. In addition, there are a number of transactions that are completely exempt from VAT.
What does VAT “including” mean?
VAT is usually included in the price indicated in the contract or on the price tag, that is, the price is indicated with its amount indicated separately along with the total amount of the transaction. This is due to the fact that without isolating the tax as a separate line, it is impossible to apply the tax deduction mechanism. And although the requirement to allocate the amount of tax for deduction applies only to invoices, it, as a rule, is always indicated in other documents - in contracts, acts, invoices. In this case, the question of how to calculate VAT “including” does not arise, because the amount of tax is directly indicated.
For example, the contract for the provision of services states that the total cost of services is 354,000 rubles, while the tax amount is 54,000 rubles. Everything is clear here: the contractor requested 300,000 rubles for his services, charged VAT on this amount at the base rate and indicated the full cost in the contract.
But it happens that the documents indicate only the total amount and indicate that tax is included in it. However, it is not clear exactly how much this amount is, so if necessary, it will have to be calculated.
Calculation method
The Tax Code provides the procedure for applying the calculation method for calculating VAT. It is described in Part 4 of Article 164. The calculation is quite simple. The rate is equal to the ratio in which the numerator is the current tax rate, and the denominator is the same, increased by 100. Thus, the calculated VAT rate is:
- 18/118 - at a tax rate of 18%;
- 10/110 - at a rate of 10%.
B = S - S * (18 / 118),
where B is the base cost of the goods before tax, and S is the total amount of the transaction with
When do you need to separate the tax from the amount?
Before we figure out, using an example, how to calculate VAT “including”, let’s look at when this is necessary. The Tax Code states that the calculation method of calculation is used by the seller of goods and services in the following cases:
- upon receipt of an advance payment, including partial;
- when payment of VAT is carried out by a tax agent;
- upon resale of property that is subject to tax registration;
- when selling agricultural products and cars that were purchased from individuals;
- in a number of other cases.
The buyer sometimes also has to calculate VAT using the calculation method from the total amount. For example, if he has been issued an invoice including tax, and he plans to pay it in installments.
We separate VAT from the advance amount
In practice, the question of how to calculate VAT “including” most often arises when receiving a partial advance payment from the buyer. For example, the total amount of the contract, including VAT, was 472,000 rubles. The terms of the agreement allow the buyer to transfer an advance of at least 50% of this amount. The buyer transferred 236,000 rubles, and the seller should calculate the tax and reflect it in accounting.
Prepayment amount * 18 / 118.
We get the following value: 236,000 * 18 / 118 = 36,000 (r) - this is exactly the tax calculated at the rate of 18% in the amount of the prepayment received.
Let's calculate the amount without VAT: 236,000 - 36,000 = 200,000 (r).
So, in the above example, the buyer transferred 236,000 rubles to the seller as an advance payment, and the tax amount was 36,000 rubles.
VAT at the tax agency
There are cases when an entity must fulfill the duty of a tax agent, that is, pay VAT not for itself, but for its counterparty. A typical example is renting premises from municipal authorities. Moreover, it does not matter what taxation system the tenant is on. In other words, companies and individual entrepreneurs who do not pay this tax themselves may be faced with the need to calculate VAT.
Let's look at an example. The company rents premises classified as municipal property. The rent is 118,000 rubles per month, including VAT 18%. The tenant must calculate, withhold and pay taxes to the budget, since in this transaction he acts as a tax agent by virtue of the law. How will VAT be calculated? It depends on the provisions of the contract. There are 3 options:
- The contract specifies the total amount and the amount of tax. There is no need to calculate anything - the agent retains this amount and transfers it to the budget.
- The contract states that the rental cost is 118,000 rubles monthly, including VAT. How to calculate the tax in this case is described in detail above.
- There is no mention of tax in the agreement. In such a situation, the rent is considered to include tax. The calculation is made as in option No. 2. However, when concluding an agreement, it is important not to forget that VAT will be withheld from the amount appearing in it, and when determining the rent.
Let's sum it up
Often an accountant or businessman is faced with the need to calculate the amount of VAT “including”. As follows from the article, there is nothing complicated about this. Most often, the above formulas have to be resorted to when receiving an advance payment, as well as when playing the role of a tax agent. Moreover, in the latter case, such a need arises not only among subjects on OSN. Therefore, knowing the basics of working with VAT will also be useful for those who, due to the application of a special regime, usually do not pay this tax.
When anyone, even an experienced accountant, hears the word “VAT,” there is a certain trepidation. And there are objective reasons for this, because this is one of the most complex taxes, the calculation and payment of which is regulated by multiple regulatory documents. Let's try to understand the basics of VAT today.
Value added tax is indirect, for the reason that its actual payer is the final consumer. To put it very simply, the end result is that VAT is imposed on ordinary consumers who purchase goods in a store or order any services or work. Let's figure out how this happens?
VAT represents “added” value or, even more simply, a markup in the percentage established by law on goods produced, services provided and work performed. Moreover, the “added” value increases at each stage.
A good example
To understand the “intricacies” of this insidious tax, you need to understand for yourself its mechanism and its meaning.
In order to imagine the whole chain, let’s look at this point using a specific example. To do this, we will trace all stages of production and subsequent sale, for example, of shampoo.
The first stage is the enterprise that supplies raw materials for the cosmetics production plant, i.e. When selling raw materials, the first “added” value was formed, which the manufacturer included in the selling price. Next, the cosmetics factory produced the shampoo, packaged it and sold it to a retailer. Now the price of the product is made up of the cost of purchased raw materials, costs and a percentage of the planned profit of the plant and VAT, which was added by production for “its” part in the price.
Naturally, the trading company marked up the shampoo and also added VAT on it. And now the shampoo has hit the sales counter, the consumer has bought it and paid the cost, including VAT at all stages. Each of the participants in this chain paid its part of the VAT to the budget, and reimbursed it by including it in the sales price.
Now let’s present the same illustrative example, in numbers, and assume that:
- The cost of raw materials is 118 rubles (in this cost, VAT at a rate of 18% is 18 rubles);
- The selling price of shampoo at the factory for a trading enterprise is 236 rubles (in this cost, VAT at the rate of 18% is 36 rubles);
- The selling price of shampoo in a trading enterprise is 302 rubles (of this price, VAT at the rate of 18% is 46 rubles).
Being the primary source, the manufacturer of raw materials for shampoo will pay VAT to the budget in the amount of 18 rubles on the entire sales amount. A cosmetics production plant will already be able to deduct the amount of “input” VAT on raw materials of 18 rubles, which means that VAT will be payable (36 - 18) = 18 rubles. Now a trading enterprise, it will accept for deduction the amount of VAT in the amount of 36 rubles presented by the cosmetic factory in the VAT invoice, and accordingly, will pay 10 rubles (46 - 36) to the budget.
And now, according to the theory presented above, by paying VAT by each participant in the chain, we should get the amount of this tax in the final price of the product.
The amount of VAT in the final price of the product is 46 rubles = 18 rubles (supplier of raw materials) + 18 rubles (cosmetic factory) + 10 rubles (trading enterprise).
We have dealt with the essence of this tax, and now with a full understanding of the matter we can move on to the aspects of the legislation that regulate its payment.
Payers and object of taxation
VAT payers are organizations and entrepreneurs who have chosen the OSNO form of taxation. The object of accrual of this tax is the following operations in accordance with the norms of Article 146 of the Tax Code of the Russian Federation:
- Sale of works, goods and services, collateral and transfer of property rights on the territory of the Russian Federation;
- Transfer of works, goods and services for own needs on the territory of the Russian Federation;
- Construction and installation work carried out for one’s own needs;
- Import of goods into the territory of the Russian Federation.
In case of import of goods, VAT payers become entrepreneurs and organizations that apply other forms of taxation, except for OSNO.
VAT rates
VAT rates are regulated by . There are three bets in total:
- 18% is the largest amount and is set for most tax objects;
- 10% - this rate applies to the bulk of food products, as well as children's products;
- 0% - this rate is applied by exporters who have documented the fact of an export transaction by submitting the necessary set of documents to the tax authorities.
Deductions
When calculating tax, the tax base is the entire amount of revenue, but we remember the principle of this tax, which is the added value generated at each stage. So, in order for the VAT payer to transfer exactly his “added” value to the budget, there is a deduction.
The deduction is the amount of “input” VAT, i.e. VAT paid by you on the purchase of services, goods and works in the course of your business activities. Dedicated to deductions.
Let's return to our example with milk. For a dairy plant, the amount of “input” VAT is the VAT on raw materials from the agricultural enterprise. Those. Taking your revenue for a sold product as a tax base and calculating VAT on it, the amount of VAT paid on the purchase of raw materials will be deducted. Thus, VAT will be payable only on that part of the revenue that was generated at the plant itself. The same thing will happen in a trading enterprise: having charged VAT on the proceeds for sold milk, it will deduct the VAT amount of the dairy plant, and, accordingly, only the VAT amount from the trade margin will have to be paid.
Payment procedure
The timing and frequency of VAT payment are established by Article 174 of the Tax Code of the Russian Federation. The reporting period is a quarter and transfers to the budget of this tax must be made no later than the 20th day of the month that immediately follows the previous quarter. For the first quarter of the year it is April 20, for the second - July 20, for the third - October 20, and for the fourth - January 20 of the next calendar year.
VAT refund
There is also a situation when the amount of calculated VAT is less than the amount of VAT to be deducted. In this case, you are entitled to compensation for the resulting difference. To do this, you need to submit a declaration to the tax authorities in the prescribed form, undergo a desk audit, and if as a result the amount to be refunded is confirmed, then you will be returned to the current account eligible for VAT refund.
The procedure for implementing VAT refunds is regulated.
Companies and individual entrepreneurs using OSNO mainly face value added tax.
The most common object of taxation is the sale of goods (work, services) on the territory of the Russian Federation. A complete list of taxable objects can be found in Art. 146 of the Tax Code of the Russian Federation.
There are three types of tax rates:
0% - no VAT calculator is needed here;
10% - our calculator will help you find out the exact tax amount;
The need to calculate VAT most often arises from the seller. The tax should be reflected in the invoice (act) and invoice or in the UPD, which replaces these two documents. VAT is also reflected in supply contracts, specifications, and invoices.
The buyer must also verify the correctness of VAT calculations in the documents received from the supplier. The fastest and easiest way to calculate VAT is to use an online calculator.
How to separate VAT from the total amount
To avoid making mistakes when calculating VAT, use our calculator.
All the necessary formulas for calculations are already built into the calculator.
Typically, accountants check tax calculations manually using a regular push-button calculator.
Formula for calculating VAT (rate 18%).
VAT = amount: 1.18 x 18%.
Formula for calculating VAT (rate 10%).
VAT = amount: 1.1 x 10%.
Calculation example. Globus LLC repaired the warehouse of Mechta LLC. According to the estimate, the total cost of the work was 83,200 (Eighty-three thousand two hundred rubles), including 18% VAT.
To find out the amount of VAT, enter 83,200 in the “Price” field. Next, click next to the “Select VAT” value. The final step is to select the desired tax rate - 18%. Our calculator will automatically calculate the required amount. VAT will be equal to 12,691.53 rubles.
It’s easy to check the calculation: 83,200: 1.18 x 18% = 12,691.53.
How to calculate VAT on top
It is much easier to charge VAT on top of a given amount. To do this, simply multiply this amount by the tax rate.
Our online calculator will not only calculate the tax, it will also show the amount excluding VAT and the total amount.
To find out the amount including VAT in one step, the accountant must multiply the amount without VAT by 1.18 (at a rate of 18%) or by 1.1 (at a rate of 10%).
Example of calculating the total amount. Let’s say a product without VAT costs 56,000 (Fifty-six thousand rubles). VAT is 10% of this amount. You need to know the total cost of the product including VAT.
Cost of goods = 56,000 x 1.1 = 61,600 rubles.
To find out the VAT amount, you need to multiply the original amount by 0.1.
56,000 x 0.1 = 5,600 rubles.
The same result can be obtained if the initial amount is multiplied by 10% (56,000 x 10% = 5,600).
To save time when calculating tax and avoid making mistakes, use an online VAT calculator.
Calculation example. Globus LLC repaired the warehouse of Mechta LLC. According to the estimate, the cost of work excluding VAT was 83,200 (Eighty-three thousand two hundred rubles). VAT is 18%. The accountant of Globus LLC must calculate the tax and the total cost of the work.
Option #1
First we will charge VAT.
83,200 x 18% = 14,976 rubles.
Now let’s calculate the total cost of the work by adding the two amounts.
83,200 + 14,976 = 98,176 rubles.
Option No. 2
First, we determine the total cost of work including VAT.
83,200 x 1.18 = 98,176 rubles.
Now let's calculate the VAT amount.
98,176: 1.18 x 18% = 14,976 rubles.
In all documents, the accountant of Globus LLC will indicate the following values:
cost without VAT - 83,200 rubles;
VAT—14,976 rubles;
cost including VAT - 98,176 rubles.
All tax rates for VAT are given in Article 164 of the Tax Code of the Russian Federation. There are three main rates: 0%, 10%, 20%. In addition, in the situations specified in paragraph 4 of Article 164 of the Tax Code of the Russian Federation, estimated tax rates are applied: 10/110 or 20/120.
0% VAT
The following are subject to a zero tax rate:
- export operations;
- pipeline transport of oil and gas;
- electricity transmission;
- transportation by rail, air and water transport;
- services for organizing international transportation, etc.
10% VAT
The following are taxed at a ten percent rate:
- many food products (meat, milk, eggs, vegetable oil, flour, cereals, bread, salt, sugar, fish, seafood, vegetables);
- most products for children;
- medicines and medical products that are not included in the list of essential and vital;
- periodicals, etc.
20% VAT
The following are taxed at a twenty percent rate:
- all other goods, works, services.
Our VAT calculator allows you to calculate the amount of value added tax at a rate of 10% and 20%.
If you want to charge VAT on a certain amount, enter it in the left form of the VAT calculator, then select the tax rate. For example, VAT on the amount of 15,000 rubles at a rate of 20% is equal to 3,000 rubles, and the amount with VAT is equal to 18,000 rubles.
If you want to separate VAT from the amount, enter it into the right form of the VAT calculator, then select the tax rate. Thus, the amount of 15,000 rubles consists of VAT at a rate of 20%, equal to 2,500 rubles, and the amount excluding VAT, equal to 12,500 rubles.
The presented online calculator allows you to instantly calculate one of the following parameters:
- Separate VAT from the amount when there is a value that includes tax, from which the tax amount needs to be calculated;
- Add VAT to the amount when there is a value that does not include tax, to which you need to add a tax amount.
Instructions for using the online VAT calculator
To use the calculator, allocate or calculate VAT online, you need to follow two simple steps.
To calculate tax:
- In the field of the left calculator, enter the amount excluding VAT.
- Check the box next to the desired rate - 10 or 18 percent.
The calculator performs calculations online in real time on its own. The tax amount and value including tax are automatically calculated and shown below immediately after entering the amount in the form field.
To highlight tax:
- Enter the amount including VAT in the field of the right calculator.
- Check the box next to the tax rate - 10 or 18 percent.
The calculator instantly calculates the tax amount online from the specified amount. The calculation result is shown immediately after entering the total value in the form field.
If, after receiving the result, you need to carry out another online calculation, remove the numerical value from the field for indicating the amount and enter a new one - the calculator will immediately calculate online and show the result - allocated or accrued VAT.
Formulas for calculating tax
The principle of operation of this online calculator is based on the calculation formulas presented below.
Using these formulas, you can independently calculate the required value - separate VAT from the cost of goods. works of services or add it to the available amount.
As a rule, the need to highlight tax arises when receiving documents from a supplier that indicate one amount that already includes the tax amount. VAT must be separated from the total cost and sent for reimbursement from the budget. To do this, you need to identify the applicable rate, and then, using an online calculator or formula, calculate the tax and the amount without it.
The need to charge tax on the cost arises when preparing documents for the buyer, when the sale price is known, and the tax payable to the budget must be added to it.
What you need to know about value added tax
VAT is paid by organizations and entrepreneurs whose activities include the sale of goods, services and works, as well as those engaged in the export and import of products through customs.
Who does not pay VAT:
- Firms and individual entrepreneurs who have chosen a simplified taxation system.
- UTII users.
- When the revenue from the activity does not exceed 2 million rubles. per year. In order for the tax service to grant an exemption from paying the contribution, it is necessary to submit a corresponding application to the Federal Tax Service at the place of registration of the organization or individual entrepreneur.
What are the rates:
- The basic and more common rate is 18%.
- The reduced fee is 10%. The possibility of its use is regulated by law and is applied in the following cases:
- Sales of products that fall into the children's category.
- Sale of educational literature.
- Food products, the list of which is regulated in Art. 164 Tax Code of the Russian Federation.
- Certain medications and drugs.
- Breeding animals.
- 0% rate is preferential. The rules for its application are written down in Article 164 of the Tax Code of the Russian Federation. The right to it is formalized in documentary form.
How to add VAT to an amount at a rate of 18 percent
An online calculator is not always at hand, so it is important to be able to independently calculate and allocate VAT.
To calculate the value added tax rate of 18% of the taxable tax base, it is necessary to make calculations using the formula:
- N – accrued amount of tax contribution;
- NB - tax base - the value obtained from the sale of goods, services or work, including excise taxes, but excluding taxes.
Example 1 accruals at a rate of 18 percent:
Ivushka LLC sold goods subject to VAT in an amount equal to 20 rubles. per unit of production. A total of 20,000 copies were sold. In accordance with Art. 164 of the Tax Code of the Russian Federation for this product a rate of 18% is established. You need to calculate the tax amount.
NB = Price for 1 piece. X number of copies sold = 20 X 20,000 = 400,000 rubles.
2. Calculation of accrued tax:
H = 400000 X 18/ 100 = 72000;
3. Value with accrued VAT = 400000 + 72000 = 472000;
NB x 1.18 = Amount of funds paid including VAT.
400000 x 1.18 = 472000.
You can check the values from the example in an online calculator, resulting in the VAT value:
Example 2 - tax accrual of 18%:
IP "Kalinin" provided services for the company ZAO "Kolos" in the amount of 120,000 rubles. What VAT should be charged?
1. Amount of funds including tax = 120,000 x 1.18 = 141,600.
2. N = 141,600 – 120,000 = 21,600.
In this way, you can also easily and quickly calculate the amount of this tax fee.
We check the calculation result by substituting the original values into the online calculator.
The result given by the calculator:
How to calculate tax at a rate of 10 percent
A tax rate of 10% is calculated according to the same scheme as with VAT of 18%. The scheme and actions are the same, the only difference is in the meaning.
Formula for calculation:
H = volume of funds received from the sale of goods, services or works X 10%.
Example of calculating VAT 10%
IP Ivanov A.G. sold educational literature to the enterprise Sputnik LLC in the amount of 45,000 rubles. It is necessary to calculate the amount at a rate of 10%.
H = 45,000 x 10/ 100 = 4500.
The total calculated tax is 4,500 rubles.
Amount including VAT = 45,000 + 4500 = 49,500 rubles.
Checking in the online calculator:
How to separate VAT from the amount
In some situations, it becomes necessary to allocate an already taken into account tax fee from the available amount. For example, such an operation may be necessary when paying in advance for goods. Then the seller makes calculations according to the existing formula:
VAT value (N) = Value with VAT (SN) x calculated VAT rate (C);
The calculated rate depends on the percentage, so 18% is 18/118, and 10% is 10/110;
At a rate of 18%
Formula for highlighting:
VAT value (N) = CH x C;
Where N is the amount of tax; CH – the total amount of the received payment including VAT.
Example of allocation 18%
The company "Kit" is engaged in the sale of goods for fishing. LLC "Trezubets" made an advance payment in the amount of 350,000 rubles. including a fee of 18% of the tax base.
It is necessary to separate the amount of value added tax from the total value.
CH = 350,000 x 18 / 118 = 53,390 rub.
The total amount of the fee received at a rate of 18% will be equal to 53,390 rubles.
Checking the result in the online VAT calculator:
At a rate of 10%
In order to allocate the amount of the fee at a 10% rate from the total amount, it is necessary to make the same calculations as when calculating VAT at 18%, with one difference - the value of the rate.
Formula for releasing 10%:
where the value of C will be 10/110.
Example of 10% allocation
CJSC "Biotek" entered into a contract with the company "Vesta" for the purchase of nipples in the amount of 10,000 at 45 rubles. per piece including tax. An advance payment for all ordered goods was received in the bank account of Biotek JSC. It is necessary to calculate the amount of value added tax, and since pacifiers fall under the category of children's goods, the tax rate will be 10%. Therefore, when selected, the value of C will be = 10/110.
1. First, let's calculate the total payment amount of received funds. The quantity of goods should be multiplied by the price per unit of production, so the calculation of the indicator will be as follows:
CH (amount including VAT) = 10,000 X 45 = 450,000 rub.
The value of CH is equal to 450,000 rubles.
H = 450,000 X 10/110 = 40,909.09 rub.
The total amount of allocated VAT at a rate of 10% has been calculated and is equal to RUB 40,909.09.
Calculation result of the online calculator:
In all cases, the calculation result of the online calculator and the calculation using the formulas coincide, which indicates the accuracy of the calculations.