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العربية
Money and tax

How to remove VAT from a price

How to find the price before 15% VAT and the VAT inside a total, and why subtracting 15% gives the wrong answer.

Updated: 1 min read

Tools for this guide

The formula

  • Price before VAT = total ÷ 1.15
  • VAT = total × 15 ÷ 115 (about 13.04% of the total)

Ready examples

Total Before VAT VAT
115 100.00 15.00
57.50 50.00 7.50
1,150 1,000.00 150.00
2,300 2,000.00 300.00
5,000 4,347.83 652.17

The common mistake

Many people subtract 15% from the total: 1,150 − 15% = 977.50, which is wrong. VAT is 15% of the price before VAT, so it’s 150 SAR, not 172.50. The right answer is 1,150 ÷ 1.15 = 1,000 SAR.

Adding VAT

To add VAT to a price, multiply by 1.15: 1,000 SAR becomes 1,150 SAR including VAT.

The VAT calculator adds or removes VAT instantly. For businesses, see VAT registration in Saudi Arabia.

Questions people ask

How do I remove VAT from a price?

Divide the total by 1.15. A total of 1,150 SAR is 1,150 ÷ 1.15 = 1,000 SAR before VAT.

How do I find the VAT inside a total?

Multiply the total by 15 and divide by 115, or subtract the price before VAT from the total.

Why can’t I just subtract 15%?

Because VAT is 15% of the price before VAT, not of the total. Subtracting 15% of the total gives a number that’s too low.

This guide is general information, not legal or tax advice. Check official sources for your own situation.

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