The VAT in a VAT-inclusive price is 15/115 of the price – about 13.04%.
This is an estimate based on published rates, not tax or financial advice. Your payslip or assessment may differ. We are an independent site, not affiliated with any government agency.
VAT formulas
To…
Calculation
Example
Add VAT
amount × 1.15
R1,000 → R1,150
Find the VAT in an inclusive price
amount × 15 ÷ 115
R1,150 → R150 VAT
Remove VAT
amount ÷ 1.15
R1,150 → R1,000
Worked example
Invoice of R2,875 including VAT
The VAT included is R2,875 × 15 ÷ 115 = R 375,00, leaving R 2 500,00 excluding VAT.
VAT includedR 375,00
Excluding VAT
R 2 500,00
Including VAT
R 2 875,00
The rate
VAT is charged at the standard rate of 15% on goods and services supplied by registered vendors. Some supplies are zero-rated (charged at 0%) or exempt under the VAT Act, so check how a specific item is treated before applying 15%.
Questions people ask
How do I add VAT to a price?
Multiply the price excluding VAT by 1.15. R1,000 plus VAT is R1,150.
How do I work out the VAT in a VAT-inclusive price?
Multiply the price by 15 and divide by 115 (or multiply by 0.1304). A price of R1,150 includes R150 VAT.
How do I remove VAT from a price?
Divide the VAT-inclusive price by 1.15. R2,300 including VAT is R2,000 excluding VAT.
Is VAT going up to 15.5%?
No. The increases to 15.5% and 16% announced in the March 2025 Budget were reversed, so the standard rate remains 15%.
This is an estimate based on published rates, not tax or financial advice. Your payslip or assessment may differ. We are an independent site, not affiliated with any government agency. Read the full disclaimer.
