What is £1,200 plus VAT?

£1,200 plus 20% UK VAT is £1,440. The VAT amount is £240. This is calculated using the HMRC standard rate: £1,200 x 1.20 = £1,440.

How much VAT is on £1,200?

The VAT on £1,200 at the UK standard rate of 20% is £240. The total price including VAT is £1,440.

What is £1,200 excluding VAT?

If £1,200 is the gross (VAT-inclusive) price, the net amount excluding VAT is £1,000.00. The VAT element is £200.00.

£1,200 Plus VAT — What is £1,200 + 20% VAT?

£1,200 is a common annual software subscription amount or monthly professional services fee. Here's how VAT applies.

Net Amount (ex. VAT)

£1,200

Before VAT is added

VAT Amount (20%)

£240

HMRC standard rate

Final Price (inc. VAT)

£1,440

Total amount due

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UK Business Examples for £1,200 + VAT

Here are practical examples of how £1,200 plus 20% VAT applies to common UK business situations.

UK Business Example

Annual software subscription or monthly service

Net: £1,200 + VAT: £240 = £1,440

On Your Invoice

Show £1,200 as the net amount, £240 as VAT (20%), and £1,440 as the total amount due.

Reduced Rate (5%)

If 5% VAT applies: £1,200 + £60.00 VAT = £1,260.00 total

How is the VAT Calculated? (HMRC Formula)

The UK standard VAT rate is 20%, set by HMRC. To add 20% VAT to any net amount, multiply by 1.20. This is the official HMRC formula used by all UK VAT-registered businesses.

HMRC Formula — Add VAT

£1,200 × 1.20 = £1,440

Net × (1 + VAT rate) = Gross

VAT amount only

£1,200 × 0.20 = £240

Net × VAT rate = VAT amount

What if £1,200 Already Includes VAT?

If £1,200 is the gross (VAT-inclusive) price, you need to divide by 1.20 to find the net amount. This is called reverse VAT or removing VAT.

£1,200 ÷ 1.20 =

£1,000.00 net

VAT element: £200.00

Use Reverse VAT Calculator →

HMRC source: The UK standard VAT rate of 20% is set by HM Revenue & Customs. All VAT-registered UK businesses must charge VAT at this rate on standard-rated supplies. Verify at HMRC GOV.UK →

Need to calculate VAT on a different amount? Use our free UK VAT calculator.

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Related VAT Calculations

Other common UK VAT amounts — click any to see the full breakdown.