Guatemala VAT: Q1,000 → Q1,120
Guatemala IVA is 12% (VAT Law, Decree 27-92). On this page’s default, Q1,000 net adds Q120 tax and the total is Q1,120. Extract Q1,120 and you are back at Q1,000. Not SAT.
To calculate Guatemala's 12% VAT, multiply the net price by 0.12. To add VAT, multiply by 1.12. To remove VAT from a total that already includes it, divide the total by 1.12.
Does extracting VAT from an invoice calculate my tax credit?
The tool separates net price, tax and total; it does not review invoices or determine whether a purchase meets tax-credit requirements. Do not treat the result as a tax return ready to file.
For a price in dollars, convert with dollars to quetzales using the applicable rate. For a purchase from abroad, use the Guatemala import calculator, which separates other costs.
How to add 12% VAT
VAT = Net price × 0.12
Total with VAT = Net price × 1.12
If a product or service costs Q100 without VAT:
- VAT: Q100 × 0.12 = Q12.00
- Total with VAT: Q100 × 1.12 = Q112.00
How to remove VAT from a price that includes it
Net price = Total with VAT ÷ 1.12
Included VAT = Total with VAT − Net price
If the final price includes VAT and you paid Q112:
- Net price: Q112 ÷ 1.12 = Q100.00
- Included VAT: Q112 − Q100 = Q12.00
Quick table for adding VAT
| Net price | VAT 12% | Total with VAT |
|---|---|---|
| Q50.00 | Q6.00 | Q56.00 |
| Q100.00 | Q12.00 | Q112.00 |
| Q250.00 | Q30.00 | Q280.00 |
| Q500.00 | Q60.00 | Q560.00 |
| Q1,000.00 | Q120.00 | Q1,120.00 |
| Q5,000.00 | Q600.00 | Q5,600.00 |
Quick table for removing included VAT
| Total with VAT | Net price | Included VAT |
|---|---|---|
| Q56.00 | Q50.00 | Q6.00 |
| Q112.00 | Q100.00 | Q12.00 |
| Q280.00 | Q250.00 | Q30.00 |
| Q560.00 | Q500.00 | Q60.00 |
| Q1,120.00 | Q1,000.00 | Q120.00 |
| Q5,600.00 | Q5,000.00 | Q600.00 |
Common examples
Example 1 — Q500 net sale: a service is quoted at Q500 without VAT. VAT = Q500 × 12% = Q60; invoice total = Q560.
Example 2 — Q560 final price with VAT: separate base and tax: base = Q560 ÷ 1.12 = Q500; included VAT = Q60.
Example 3 — pricing for a business: build your price with margin first, then add VAT (×1.12). Margin and VAT are different things; if your client withholds VAT at source, estimate the net after withholding with the withholding calculator.
When you quote a price, state clearly whether the amount is without VAT, with VAT included, or whether VAT will be added at the end. That difference changes the total the client pays and the net income you receive.
12% VAT (general regime) vs small taxpayer
The 12% rate belongs to the general regime (Decree 27-92): you charge VAT on your sales and credit the VAT on your purchases. The small taxpayer regime does not use that rate: it pays 5% of gross income (Art. 47), files form SAT-2046, and its invoices do not generate fiscal credit for the buyer (Art. 49). On Q8,000 of monthly income the quota is Q400, not the Q960 that 12% would give.
- Guatemala small taxpayer: the 5% quota and the 2026 ceiling of Q500,285.
- ISR regime comparison: profits vs simplified with your own numbers.
Before invoicing, check your RTU with SAT to see which regime you are registered under: the rate you apply depends on it.
VAT-exempt products
Under Decree 27-92, exempt items include: generic medicines, milk and dairy, cereals, legumes, vegetables, fresh fruits, bread, corn tortillas, salt, sugar, coffee, and educational materials. Exempt sales do not carry VAT and do not generate fiscal credit on purchases.
This calculator is an educational tool for the general 12% rate. Exemptions, special regimes, exports, and VAT withholding at source have their own rules; confirm your specific case with your accountant or SAT before filing.
Frequently asked questions
Guatemala's VAT (IVA) rate is 12%, established by Decree 27-92. To add it, multiply by 1.12; to extract it, divide by 1.12.
To extract VAT from a price that includes it, divide the total by 1.12. The difference is the VAT. Example: Q112 ÷ 1.12 = Q100 net + Q12 VAT.
Build the price with margin and VAT (×1.12), then if withholdings apply estimate net pay in the ISR/VAT withholding calculator. Margin ≠ VAT. Confirm rates with your accountant or SAT.
Exempt products include: generic medicines, milk and dairy, cereals, legumes, vegetables, fresh fruits, bread, tortillas, salt, sugar, and coffee.
Related calculators
- Guatemala VAT credit and debit: monthly settlement between sales and purchases
- Guatemala ISR and VAT withholding: how much clients withhold from your invoices
- Guatemala small taxpayer: special-invoice regime without VAT credit
- Sale price with margin and VAT: set prices with margin and tax together