ihsib
📆 Saturday, Rabiʻ II 8, 1448 AH — September 19, 2026

VAT Calculator - Saudi Arabia

Calculate VAT (15%) — add or remove tax from any amount

How to Use

  1. Select the country or enter a custom VAT rate
  2. Enter the amount to calculate
  3. Choose the operation: "Add VAT" or "Remove VAT"
  4. Press "Calculate" to see the amount before/after VAT and the tax amount

This tool is available for other countries

🇸🇦 Saudi Arabia 🇦🇪 UAE 🇧🇭 Bahrain 🇴🇲 Oman

VAT in Saudi Arabia

The VAT rate in Saudi Arabia is 15%, applied to most goods and services. It was raised from 5% to 15% in July 2020.

How to calculate?

To add VAT: multiply by 1.15. Example: 1,000 × 1.15 = 1,150 SAR.

To extract VAT: divide by 1.15. Example: 1,150 ÷ 1.15 = 1,000 SAR.

Calculation Methodology

Formula used

To add 15% VAT: total = pre-tax amount × 1.15. To extract VAT from an inclusive amount: pre-tax amount = total ÷ 1.15, then VAT = total − pre-tax amount.

Assumptions

The calculator assumes a standard-rated Saudi transaction and does not account for exemptions, zero-rated supplies, special discounts, or mixed invoices.

Source basis

This page is based on ZATCA VAT information. For case-specific treatment, the official authority remains the final reference.

Practical Examples

Adding VAT to a 500 SAR product

Ahmad bought a product priced at 500 SAR before tax. VAT = 500 × 15% = 75 SAR Total = 500 + 75 = 575 SAR Ahmad pays 575 SAR including VAT.

Extracting VAT from a 230 SAR restaurant bill

Sarah paid 230 SAR at a restaurant (VAT-inclusive). Base amount = 230 ÷ 1.15 = 200 SAR VAT amount = 230 - 200 = 30 SAR The original price was 200 SAR and the tax was 30 SAR.

Frequently Asked Questions

What goods and services are exempt from VAT in Saudi Arabia?
Key exemptions include residential real estate sales and rentals, core financial services (lending, deposits), and certain life insurance products. Exports and international transport are zero-rated (0%).
Is VAT applied on rent in Saudi Arabia?
Residential rent is fully exempt from VAT. Commercial rent, however, is subject to the standard 15% VAT rate.
What is the VAT registration threshold in Saudi Arabia?
Mandatory registration is required when annual taxable revenue exceeds SAR 375,000. Voluntary registration is available for businesses with revenue between SAR 187,500 and SAR 375,000.
Can VAT be refunded in Saudi Arabia?
Registered businesses can reclaim input VAT on business expenses. Saudi Arabia also launched a tourist VAT refund program in April 2025 for qualifying purchases exceeding SAR 500 at authorized retail outlets.
When was the VAT rate increased from 5% to 15%?
The rate was raised from 5% to 15% on July 1, 2020, by royal decree to boost non-oil revenue as part of Vision 2030 economic reforms.
Is VAT charged on e-commerce and digital services?
Yes, all digital goods and services supplied within Saudi Arabia are subject to 15% VAT. From January 2026, digital platforms become responsible for collecting VAT on behalf of non-resident sellers.
Is VAT applied on education and healthcare in Saudi Arabia?
Private education and private healthcare services are subject to 15% VAT. Government-provided education and healthcare are outside the scope of VAT.

Legal References

Disclaimer: The results shown are approximate and for reference only, and do not constitute financial or legal advice. Actual amounts may vary based on additional factors. Please consult the relevant official authorities or a licensed financial advisor for accurate information specific to your situation.

Related Tools

🧮
End of Service Calculator - Saudi Arabia
Calculate your end of service gratuity per Saudi Labor Law - Articles 84 & 85