The VAT on £60 at the standard 20% rate is £12.00, making a gross total of £72.00.
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If £60 is the net price (excluding VAT), adding 20% VAT gives:
| Item | Amount |
|---|---|
| Net | £60.00 |
| VAT (20%) | £12.00 |
| Gross | £72.00 |
If £60 is the gross price (including 20% VAT), removing the VAT gives a net of £50.00 and VAT of £10.00 (the VAT is one sixth of the gross).
At the reduced 5% rate, adding VAT to £60 net gives £3.00 VAT and a gross of £63.00.
Adding 20% VAT to £60 gives £12.00 of VAT and a gross total of £72.00.
£60 plus 20% VAT is £72.00.