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Free · Kenya

VAT calculator

Add VAT to a price, or work out how much VAT is inside a price that already includes it.

What do you want to do?

Kenya · 16% · in effect from 2026-01-01

Before tax

Ksh 100,000

Tax

Ksh 16,000

What the customer pays

Ksh 116,000

Not charged on

Exports · Unprocessed agricultural produce · Medicaments and selected medical supplies

Smilelink works this out on every invoice, and summarises it per period for your returns.

See how

The part nobody explains

Adding it, and taking it out

Adding VAT is easy: multiply the price by the rate and add it on. Taking VAT out of a price that already includes it is where people go wrong — you cannot just apply the rate to the total, because the total already contains the tax.

To take it out, divide by one plus the rate. On a 16% rate, an inclusive price of Ksh 116,000 contains Ksh 16,000 of VAT, not Ksh 18,560.

Do you have to charge it?

Only if your turnover is above the threshold at which registration is required, or you have registered voluntarily. A small business below the threshold that adds VAT to its prices is collecting money it has no authority to collect.

Input and output VAT

What you charge your customers is output VAT. What you were charged by your suppliers is input VAT. You remit the difference, which is why keeping supplier invoices is worth real money to you rather than being a filing chore.

Questions

Which rate does this use?

The standard rate for the market you are viewing, with its effective date shown beside it. Reduced and zero-rated supplies are listed under the result.

Why does Ghana show three components?

Because the headline rate there is a stack rather than a single tax, and only part of it behaves like reclaimable VAT. Your accountant needs them separated, so we separate them.

Stop making these by hand.

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