# How to Add and Remove 15% Saudi VAT

> Saudi Arabia's standard VAT rate is 15%. Here's how to add it, extract it from a gross price, and stay ZATCA-compliant.

- URL: https://www.pyalm.com/blog/saudi-vat-calculator-guide
- Author: Fadhil Abdulla
- Category: Free Tools
- Published: 2026-06-23
- Updated: 2026-06-23

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## Saudi Arabia's 15% VAT

Saudi Arabia introduced VAT at 5% in 2018 and raised it to **15%** in July 2020 — the highest standard rate in the GCC. Most goods and services are taxed at 15%, with a limited set of zero-rated and exempt categories.

## Adding vs removing VAT

- **Adding VAT:** multiply the net price by 1.15. A SAR 1,000 item becomes SAR 1,150.
- **Removing VAT** (finding the net from a VAT-inclusive price): divide by 1.15. SAR 1,150 gross = SAR 1,000 net + SAR 150 VAT.

The [Saudi VAT Calculator](https://www.pyalm.com/free-tools/saudi-vat-calculator) does both instantly.

## ZATCA e-invoicing

Saudi VAT-registered businesses must issue compliant e-invoices through ZATCA's Fatoorah system, including a QR code on simplified invoices. You can check exactly what a ZATCA QR encodes with the free [ZATCA QR Decoder](https://www.pyalm.com/free-tools/zatca-qr-decoder).

## Who must register

Businesses with annual taxable supplies above SAR 375,000 must register for VAT; those above SAR 187,500 may register voluntarily.

## Calculate in seconds

Whether you're pricing a product or checking a supplier invoice, the [Saudi VAT Calculator](https://www.pyalm.com/free-tools/saudi-vat-calculator) gives you net, VAT, and gross at a glance.

[Open the Saudi VAT Calculator](https://www.pyalm.com/free-tools/saudi-vat-calculator) | [Decode a ZATCA QR](https://www.pyalm.com/free-tools/zatca-qr-decoder)