Updated for 2026/27
VAT on £40
Quick answer
Adding 20% VAT to £40 gives £48 — that's £8 of VAT. If £40 already includes VAT, the VAT portion is £7.
Reviewed by TaxFly Editorial Team
How we calculate
- Net amount
- £40
- VAT @ 20%
- + £8
- Gross (inc. VAT)
- £48
How much is VAT on £40?
At the standard UK rate of 20%, the VAT on £40 is £8. Add that to the net price and the total including VAT is £48.
Removing VAT from £40
If £40 is a VAT-inclusive (gross) figure, work backwards by dividing by 1.20: the net amount is £33 and the VAT element is £7. This is the figure a VAT-registered business reclaims or reports.
| Scenario | Net | VAT | Gross |
|---|---|---|---|
| £40 + VAT | £40 | £8 | £48 |
| £40 inc. VAT | £33 | £7 | £40 |
Other amounts
Frequently asked questions
At 20% the VAT on £40 is £8, giving a gross total of £48.
Divide by 1.20. £40 including VAT is £33 net plus £7 VAT.
The standard rate is 20%. A reduced 5% rate and a 0% rate apply to some goods and services.
