💶 Germany VAT (Mehrwertsteuer) Calculator

Mehrwertsteuer (MwSt) is Germany's value-added tax, the standard consumption tax applied to most goods and services. Since 2007 the standard rate has been 19%, while a reduced rate of 7% applies to everyday essentials such as most basic food, books, newspapers, local public transport, and hotel accommodation. A temporary 5% rate introduced during the 2020 pandemic expired at the end of 2020, so 2026 calculations use the normal 19% / 7% structure.

VAT is charged on the net price (Netto) — the price before tax. The gross price (Brutto) that the customer pays includes the tax. Businesses that are umsatzsteuerpflichtig can usually reclaim the VAT they pay on inputs (Vorsteuer), so for them the economically relevant figure is the net amount; end consumers bear the full gross price. Unlike a simple sales tax added only at the register, VAT is embedded at every stage of the production chain, but for a single price the math is straightforward.

This calculator works in both directions: enter a net amount to see the gross price and the VAT, or enter a gross amount to extract the net value and the tax contained within it. It is handy for freelancers (Freiberufler) issuing invoices, shoppers comparing prices, and anyone checking a German receipt.

The calculation follows the VAT formula:

Net to Gross: Gross = Net x (1 + rate). At 19% multiply the net price by 1.19; at 7% multiply by 1.07.

Gross to Net: Net = Gross / (1 + rate). The VAT contained in a gross price is Gross minus Net, or equivalently Gross x rate / (1 + rate).

VAT amount: VAT = Net x rate (starting from net), or VAT = Gross minus Net (starting from gross).

Germany's two rates in 2026:

A quick reference for common net amounts:

Small businesses under the Kleinunternehmerregelung (turnover below 25,000 euro in the previous year and 100,000 euro in the current) do not charge VAT at all and cannot reclaim input VAT. See also the Brutto-Netto calculator for wage tax, or a general VAT calculator.

1. Choose the direction: net to gross, or gross to net.
2. Enter the amount in euros.
3. Select the VAT rate (19% standard or 7% reduced).
4. Click Calculate to see the converted price and the VAT amount.
5. Use the result to check an invoice, receipt, or quote.

What is the VAT rate in Germany in 2026?

Germany applies a 19% standard VAT (Mehrwertsteuer) rate and a 7% reduced rate for essentials such as basic food, books, and local public transport. There is no longer a temporary pandemic reduced rate.

Are prices shown in German shops inclusive of VAT?

Yes. Consumer prices in Germany must be displayed gross (including VAT) by law. Business quotes, however, are frequently shown net (excluding VAT), so always confirm which basis applies.

Can small businesses avoid charging VAT?

Yes, under the Kleinunternehmerregelung (small business exemption) a business with turnover below 25,000 euro in the prior year and below 100,000 euro in the current year does not charge VAT and cannot reclaim input VAT.

How do I get the net price from a gross total?

Divide the gross amount by 1.19 for the standard rate or 1.07 for the reduced rate. The difference between gross and net is the VAT included in the total.

Why is some food 7% but restaurant meals 19%?

Basic groceries are taxed at the reduced 7% rate, but restaurant and catering services (including hot takeaway food) are generally taxed at 19%, as are alcoholic beverages.

This tool is for informational purposes only and does not constitute financial advice. Consult a qualified financial professional for advice specific to your situation.

When comparing prices in Germany, always check whether a quoted figure is net or gross. Business-to-business quotes are often net (plus 19%), while consumer prices are almost always gross (tax included), as required by the Preisangabenverordnung. If you run a Kleinunternehmer business you must not show VAT separately. For invoices above 250 euro, German law requires the VAT rate and amount to be stated explicitly. Remember that the 7% rate covers most basic groceries but not restaurants' hot food (which is 19%) or alcoholic drinks.