Saudi Arabia VAT calculator
- Art. 2(2) of the KSA VAT Law (Royal Decree M/113), as amended on 24/10/1441H: the 15% standard rate
- Read against the statuteSeptember 2026
Art. 2(2) of the KSA VAT Law (Royal Decree M/113), as amended on 24/10/1441H: the 15% standard rate
Next step
To check this, or for anything official:
Zakat, Tax and Customs Authorityzatca.gov.sa
Net, VAT and total in three lines you can copy straight onto your invoice.
Add 15% to a pre-tax amount, or extract the VAT from a tax-inclusive total, at the statutory rate in force in Saudi Arabia since July 2020.
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- Nothing leaves your device
- Cites the article
How is VAT worked out in each direction?
- VAT when adding = amount before VAT x 15%
- Total = amount before VAT + VAT
- Amount before VAT when extracting = total / 1.15
- Extracted VAT = total minus the amount before VAT, not total x 15%
Symbols
- Amount before VAT
- The net figure the tax is charged on. It is what you type in add mode, and what comes out in extract mode
- Total
- The amount with the VAT inside it. It is 115% of the net, which is why subtracting the rate from it does not work
- Rate
- 15% by law since 1 July 2020, not a field you fill in; it moves by legislation, not by a setting here
What is the VAT on 10,000 SAR, and the net inside 11,500?
A Saudi supplier issues a 10,000 SAR pre-tax invoice for a service taxed at the standard rate, then checks the sum in reverse starting from the total.
- VAT: 10,000 x 15% = 1,500 SAR
- Total: 10,000 + 1,500 = 11,500 SAR
- In reverse: 11,500 / 1.15 = 10,000 SAR before VAT
- Extracted VAT: 11,500 minus 10,000 = 1,500 SAR, the same answer
The invoice reads 10,000 SAR net, 1,500 SAR VAT and 11,500 SAR total. Subtracting 15% from the total instead of dividing would have shown a net of 9,775 SAR, an error of 225 SAR.
What carries the standard rate, and when must you register?
VAT in Saudi Arabia is 15% on supplies taxed at the standard rate, the figure in force since 1 July 2020 after the 5% that applied from the start of VAT in January 2018. The rate is fixed here and you do not type it in: it is the law, not a setting.
The two directions are not one sum run backwards. Adding VAT multiplies by 15%; taking it out of a tax-inclusive figure divides by 1.15, and the common error is to subtract 15% from the total instead. On an 11,500 SAR invoice, subtracting gives a net of 9,775 SAR rather than 10,000, which is 225 SAR short every time.
Registration is mandatory once your taxable supplies pass 375,000 SAR over twelve months, and voluntary from 187,500 SAR. Not every supply carries 15% either: some are zero-rated and some exempt, and deciding which description a supply takes is a question for the authority or a qualified accountant.
- VAT when adding = amount before VAT x 15%
- Amount before VAT when extracting = total / 1.15
- Extracted VAT = total minus the amount before VAT, not total x 15%
- Mandatory registration at 375,000 SAR, voluntary at 187,500 SAR over twelve months
Questions about VAT in Saudi Arabia
What is the VAT rate in Saudi Arabia?
The standard rate is 15%, in force since 1 July 2020; it was 5% from the start of VAT on 1 January 2018. It applies to standard-rated supplies, which is most goods and services.
How do I extract VAT from a tax-inclusive amount?
Divide the total by 1.15 to get the amount before VAT, then subtract that from the total to get the VAT. Do not subtract 15% from the total: that is a different sum and it comes out too low.
Why does subtracting differ from dividing?
Because the 15% is charged on the net amount, not on the total. The total is 115% of the net, so VAT is about 13.04% of the total rather than 15% of it, which is why subtracting comes out low.
When do I have to register for VAT?
Registration is mandatory once taxable supplies exceed 375,000 SAR over twelve months, and voluntary above 187,500 SAR. Check your own position with ZATCA.
Is everything taxed at 15%?
No. Some supplies are zero-rated, such as exports, and some are exempt, such as certain financial services and residential leases. This calculator works at the standard rate only.
Why are the figures shown to two decimals?
Because the riyal divides into 100 halalas. The calculator rounds the VAT to the halala and then builds the total from the rounded amount and VAT, so the three invoice lines add up exactly.
Sources
Read against the statuteReviewed September 2026- VAT Law: Zakat, Tax and Customs Authority (ZATCA)
- Zakat, Tax and Customs Authority (ZATCA): official site
Statutory articles this calculator applies
- Art. 2(2) of the KSA VAT Law (Royal Decree M/113), as amended on 24/10/1441H: the 15% standard rate
- Arts. 50(2) and 51(3) of the GCC Unified VAT Agreement: the mandatory and voluntary registration thresholds
- ZATCA, goods and services subject to VAT: investment gold, silver and platinum
Saudi Labor Law: Royal Decree No. M/51 dated 23/8/1426H (27 Sep 2005), as amended (latest amendment Royal Decree No. M/44 of 1446H, in force 2025-02-19)