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Nigeria VAT Calculator: Add or Remove 7.5% VAT

Type an amount, choose add or remove, done. The rate is editable in case it changes, and the worked example below shows the arithmetic so you can check any invoice by hand.

%

Standard rate in Nigeria is 7.5%.

Total with VAT

₦107,500.00

  • Net₦100,000.0093%
  • VAT₦7,500.007%
Net amount
₦100,000.00
VAT at 7.5%
₦7,500.00
Gross amount
₦107,500.00
Small companies with turnover at or below ₦50,000,000 a year are not required to charge VAT under the Nigeria Tax Act 2025. If that is you, your invoices should show no VAT line at all.

How to calculate VAT in Nigeria: worked example

VAT is a percentage of the price before tax. Two formulas cover every case.

Add VAT to a net price

VAT = net × 0.075

Gross = net × 1.075

A ₦100,000 job: VAT ₦7,500, invoice total ₦107,500.

Remove VAT from a gross total

Net = gross ÷ 1.075

VAT = gross − net

A ₦107,500 receipt: net ₦100,000, VAT inside it ₦7,500. Dividing by 1.075, not multiplying by 0.925, is the step people get wrong.

Net priceVAT at 7.5%Gross (what the client pays)
₦25,000₦1,875.00₦26,875.00
₦100,000₦7,500.00₦107,500.00
₦450,000₦33,750.00₦483,750.00
₦2,000,000₦150,000.00₦2,150,000.00

On the return, output VAT is what you charged on sales in the month; input VAT is what you paid on business purchases, including services and capital items since 2026. You remit the difference by the 21st of the following month. The invoice generator prints the VAT line at 7.5% when you switch it on and a no-VAT note when you do not.

Get the VAT rules for your trade

One email: what is zero-rated, what is not, and when to register. Written for Nigerian small businesses.

How it works

  1. 01

    Choose add or remove

    Add VAT when you have a net price and need the gross. Remove VAT when you have a receipt total and need the VAT portion.

  2. 02

    Enter the amount

    Naira, any size. The rate is 7.5% and can be edited if it changes.

  3. 03

    Read net, VAT and gross

    All three appear at once, so you can copy the one you need into an invoice or a return.

What makes it different

Both directions

Add VAT to a quote or strip it from a total to find the input VAT you can reclaim.

Small-company rule

Businesses at or below the turnover threshold should not charge VAT. The page says so, and the invoice generator prints the matching note.

Editable rate

The 7.5% rate is a field, not a constant, so a future change is one keystroke.

Questions people ask

What is the VAT rate in Nigeria in 2026?
7.5%. The Nigeria Tax Act 2025 kept the standard rate unchanged when it took effect on 1 January 2026.
How do I calculate VAT on an amount?
Multiply the net price by 0.075 to get the VAT, or by 1.075 to get the total including VAT. ₦100,000 of goods carries ₦7,500 VAT and totals ₦107,500.
How do I remove VAT from a total?
Divide the gross amount by 1.075 to get the net, then subtract to find the VAT. ₦107,500 divided by 1.075 is ₦100,000, so the VAT inside it is ₦7,500. Switch this calculator to Remove VAT and it does that for you.
Do I have to charge VAT?
Not if you are a small company, meaning turnover at or below the threshold, ₦50 million under the Tax Act. Above that you must register, charge 7.5% on taxable supplies and file monthly returns.
Which supplies are zero-rated?
Basic food items, medical and pharmaceutical products, books and educational materials, tuition, residential rent and exports, among others. On a zero-rated supply you charge nothing but can still reclaim input VAT.
When is VAT due?
Returns and payment are due by the 21st of the month after the transactions, filed through the NRS portal.

Every month, without the spreadsheet

Stop recalculating this every month.

ereQa works VAT, withholding tax and PAYE from the invoices and bills you already record, and keeps the remittance dates in one place.

See ereQa