Frequently Asked Questions
What is VAT?
VAT (Value Added Tax) is a consumption tax placed on goods and services at each stage of the supply chain. Standard rates vary by country (e.g., 10% in Korea, 20% in the UK).
How do I calculate the net price from a VAT-inclusive price?
Divide the VAT-inclusive price by (1 + VAT rate). For example, with 10% VAT: $110 / 1.1 = $100 net price, $10 VAT.
What is the difference between VAT-exempt and zero-rated?
VAT-exempt items have no VAT but input tax credits cannot be claimed. Zero-rated items have 0% VAT but input credits can be claimed.
Updated 2026 — latest rates