Now, I will teach you how to calculate VAT in Excel . The five examples we will use to help you learn how to calculate VAT in the spreadsheet are:
Applied on base cost.
Broken down from base cost.
Before applying it to the base cost.
Applied to base cost in border area.
Calculation of VAT on price lists.
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When it comes to spreadsheet procedures, the most important thing is to understand where the formulas come from and how they work. Once we understand this part, the order of the colombia phone data columns can be anything, from sheets with simple calculations to the inventory of your online store.
To make each example easier to understand and to help you learn how to calculate VAT in Excel with a formula, I placed the concept of each amount on the left side. In cases where a calculation or formula is applied, I placed it on the right side so that it is much clearer. Excel will show you the cells that are part of the formula in blue and red.
Tip: To enter a formula in Excel, you need to type the '=' sign, followed by the opening parenthesis '(', then select with the pointer each cell that makes up the calculation and the operation signs
Calculation of VAT applied to base cost
Image of how to calculate VAT in Excel on base cost
First, you need to enter the base cost (before tax) into a cell. In this case, the cell with the value is B2.
Next, set the VAT rate you want to apply. The VAT rate is now in cell B3.
Finally, you apply the formula to multiply the two previous cells. The formula would be =(B2*B3). This gives you your total with VAT applied.
VAT calculation broken down from base cost
How to obtain VAT from base cost
You start with your final cost (the one that already includes VAT). Here it is in cell B3.
Just like in the previous example, set your VAT rate in the next cell. Here it was B4.
The first formula in this calculation divides the final cost by the rate, i.e. the two cells above. The formula is =(B3/B4).
To obtain our VAT breakdown, we need to subtract the base cost without VAT (B5) from the final cost (B3). In this case, the formula that gives us this result is.