VAT calculator for Bangladesh

Add VAT to a price, or find how much VAT is hidden inside a VAT-inclusive total. Pick the standard 15% rate or a reduced one.

Your amount
The amount is the price before VAT.
৳

Confirm the rate for your product with the NBR.

Result

VAT amount

৳150

Price before VAT

৳1,000

Price with VAT

৳1,150

Price 87%VAT 13%

This is a single-rate calculation for information only. VAT rates, exemptions, supplementary duty and rebates depend on the product and change with the budget. Check with the NBR or a tax adviser for filings.

How to calculate VAT

VAT (value added tax) is a percentage added to the price of goods and services. In Bangladesh the standard rate is 15%, and a few items carry reduced rates.

Adding VAT

VAT = price × rate ÷ 100, and total = price + VAT. A ৳1,000 price at 15% has ৳150 VAT and costs ৳1,150.

Removing VAT

price before VAT = total ÷ (1 + rate ÷ 100). From a ৳1,150 total, the price before VAT is ৳1,150 ÷ 1.15 = ৳1,000 and the VAT is ৳150.

The common mistake

Don't take 15% off a VAT-inclusive total. That gives ৳977.50 instead of ৳1,000, because the VAT was charged on the smaller pre-VAT price.

Frequently asked questions

What is the standard VAT rate in Bangladesh?

The standard VAT rate is 15%. Some goods and services carry reduced or specific rates, and some are exempt. Rates are set by the National Board of Revenue (NBR) and can change with the annual budget, so confirm the rate for your product with the NBR or a tax adviser.

How do I add VAT to a price?

Multiply the price by the VAT rate and add it on. At 15%, a ৳1,000 price becomes ৳1,150 (VAT of ৳150).

How do I remove VAT from a VAT-inclusive price?

Divide the total by 1 plus the rate. At 15%, ৳1,150 ÷ 1.15 = ৳1,000, so the VAT inside is ৳150. A common mistake is to take 15% off the total, which gives ৳977.50 and is wrong.

Why is taking 15% off a VAT-inclusive price wrong?

Because the VAT was calculated on the price before VAT, not on the total. The VAT in a ৳1,150 total is 15/115 of it, which is ৳150, not 15% of ৳1,150 (which would be ৳172.50).

Does this calculator replace a VAT return or invoice?

No. It does the arithmetic for a single rate. Real invoices can involve different rates per item, supplementary duty, advance income tax and rebates, so use your accounting system or an adviser for filings.

Found this useful? Share it:WhatsAppFacebookX

More calculators