Ethiopia applies VAT at a standard rate of 15% on most taxable goods and services. This calculator adds 15% VAT to a net price or extracts the VAT inside a gross price, and flags zero-rated (exports) and exempt categories — important because the two treatments differ on input-VAT recovery. It is built for businesses registered with the Ministry of Revenue (MOR).
How it works
Choose a treatment and a direction:
- Add VAT: gross = net × (1 + rate). The VAT is net × rate.
- Remove VAT: net = gross ÷ (1 + rate). The included VAT is gross − net.
The standard rate is 15%. Zero-rated supplies (exports) are charged at 0% but still allow the supplier to reclaim input VAT, whereas exempt supplies carry no VAT and block input-VAT recovery — selecting the right treatment matters for refunds.
Example
Add 15% VAT to a Br 1,000 net price:
- VAT = 1,000 × 0.15 = Br 150.00
- Gross = Br 1,150.00
To remove 15% VAT from a Br 1,150 gross price: 1,150 ÷ 1.15 = Br 1,000.00 net, with Br 150.00 VAT included.
Notes
| Treatment | Rate | Input VAT recoverable? |
|---|---|---|
| Standard | 15% | Yes |
| Zero-rated (exports) | 0% | Yes |
| Exempt | none | No |
For guidance only — not tax advice. The tool runs entirely in your browser; no amounts or personal data are transmitted.