How to Use the VAT Calculator (Sri Lanka)

1. Click Sri Lanka from the countries list. The calculator will fill in to the most current tax rates (typically 15% at the time of writing).
2. Enter the value (either price prior to and after VAT).
3. Select whether you wish to:
   • + tax (calculate the VAT onto the price)
   • Eliminate the tax (calculate TVA within the price)
4. Select “Calculate” to look at:
   • The amount of VAT
   • Cost total (or the base) cost based on the option you choose

VAT Calculation Formulas (Sri Lanka)

Add VAT to Base Price

Tax Amount = (Original Cost x VAT%) / 100 Net Price = Original Cost + Tax Amount 

Eliminate the VAT component from gross price

Tax Amount = Original Cost - (Original Cost x (100 / (100 + VAT %))) Net Price = Original Cost - Tax Amount 

Example of 15 percent VAT (Sri Lanka Standard Rate)

1. Adding VAT:

• The base price is Rs. 1,000
• VAT = (1000 x 15) / 100 = Rs. 150
• Total = Rs. 1,150

2. Removing VAT:

• Gross price is Rs. 1,150
• VAT = 1150 – (1150 x (100 / 115)) Rs. 150
• Base = Rs. 1,000