VAT Calculator
Calculate value-added tax by separating or combining supply price and tax
Input
Result
This calculator is for informational purposes only and should not be considered as financial advice. Actual values may vary.
What is VAT Calculator?
The VAT Calculator applies the standard 10% rate to split a total amount into supply price and VAT, or to add VAT to a supply price. Forward calculation uses Supply Price × 10%, and reverse calculation divides the total by 1.1 before rounding to whole won. It is useful for comparing displayed amounts or preparing a draft record. Taxability, exemptions, invoice requirements, and filing duties depend on the transaction and taxpayer status, so confirm them with current National Tax Service guidance before relying on a result.
How to Use
- Select the calculation mode: add VAT to supply price, or separate VAT from total.
- Enter the amount and the supply price, VAT, and total will be shown automatically.
Tips & Best Practices
- When receiving quotes or invoices, always clarify whether the stated price includes VAT to avoid unexpected cost increases.
- Keep transaction records with the applicable tax treatment so you can check them against current filing guidance.
- Confirm whether an exemption or a special treatment applies before using the standard-rate result.
- Check current invoice requirements before using a calculated amount in a business document.
- Use the reverse calculation mode when you see a total price and need to report the supply price and VAT separately on business documents.
Use Cases
Invoice Preparation
Calculate the correct VAT amount to include on tax invoices when billing clients for goods or services.
Receipt Analysis
Separate the supply price and VAT from a total receipt amount for expense reporting and accounting purposes.
Price Negotiation
Determine the actual pre-tax cost of a product or service when the quoted price includes VAT.
Record Preparation
Check the split between supply price and VAT before reviewing transaction records with current filing guidance.
FAQ
What is the Korean VAT rate?
The Korean VAT rate is 10%. VAT is 10% of the supply price.
How do I separate supply price and VAT from a total amount?
Divide the total by 1.1 to get the supply price, then subtract from the total to get the VAT.
What is Value Added Tax (VAT)?
VAT is an indirect tax levied on the value added at each stage of production and distribution. It is borne by the final consumer and collected by the business on behalf of the government.
What goods and services are VAT-exempt in Korea?
Exemption depends on the transaction and supply conditions. Confirm it with National Tax Service guidance and a tax professional before contracting or filing.
Is my financial data stored?
No, all calculations are performed in your browser and no financial data is sent to or stored on any server.
How often do businesses file VAT returns in Korea?
Filing duties and deadlines depend on taxpayer status and tax period. Check National Tax Service guidance before filing.
Do all businesses need to charge VAT in Korea?
VAT treatment depends on the business, transaction, and any applicable exemption or special rule. Check current National Tax Service guidance before issuing an invoice or filing a return.
Can individuals claim VAT refunds?
Korean residents generally cannot claim VAT refunds on personal purchases. However, foreign tourists can claim tax refunds on purchases over 30,000 won at participating stores through the tax-free shopping program.
What is the penalty for incorrect VAT calculations on invoices?
Invoice corrections, additional tax, and penalties depend on the transaction and current law. Check National Tax Service guidance or obtain professional advice before correcting a record.
Is VAT the same as sales tax?
They are similar but not identical. VAT is collected at each stage of production and distribution with input credits, while sales tax is typically collected only at the final point of sale. Korea uses the VAT system.
How do I handle VAT for exports?
Export and cross-border transactions can follow rules that differ from the standard-rate calculation. Confirm the applicable treatment with current National Tax Service guidance.
When are VAT returns due in Korea?
Filing duties and deadlines depend on taxpayer status and tax period. Check National Tax Service guidance before filing.