Free tool
VAT Calculator
Add or extract VAT from any price. Pick the country or type the rate you need.
The rate is filled with the country's standard rate. Change it if a reduced rate applies, Mexico's border-region rate (8%) or your state's rate in Brazil.
- Subtotal
Total
Standard VAT rates in Latin America
The standard rate in each country. Some products and regions have reduced rates or are exempt.
Frequently asked questions
How is VAT calculated?
Multiply the price before VAT by the rate. In Mexico, at 16%: 1,000 × 0.16 = 160 of VAT, and the total is 1,160.
How do I extract VAT from a price that already includes it?
Divide the total by 1 plus the rate. At 16%: 1,160 ÷ 1.16 = 1,000 subtotal, and the difference, 160, is the VAT. Subtracting 16% from the total gives 974.40, a common mistake.
What is the VAT rate in Mexico?
The standard rate is 16%. In the northern and southern border regions a tax incentive lowers it to 8% for registered taxpayers, and basic food and medicines have a 0% rate.
Why does Brazil show ICMS instead of VAT?
Brazil has no single VAT: ICMS is a state tax and its rate changes by state and product. The calculator uses 18% as a reference; type your state's rate for an exact result.
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Do you invoice in Mexico?
Recaudo issues the CFDI 4.0 and the payment complement when your customer pays.