VAT-Inclusive Profit Calculation: A Guide for Sellers

November 2, 2025 · KârHesapla · Ferhat Demir · E-commerce Specialist

Prices listed on marketplaces are VAT-inclusive. Treating VAT as your own money when calculating profit is the most common and most expensive mistake.

Calculating in both directions

Excl. VAT = Incl. VAT / (1 + VAT%)

Example: for a 240 TL sale with 20% VAT, the VAT-exclusive amount is 200 TL; 40 TL belongs to the state. You should build your profit calculation on 200 TL.

Don’t forget input VAT

You offset the VAT you paid on purchases against the VAT you collected on sales. If your purchase invoices are in order, your real VAT burden is lower than the VAT on sales. Track the net effect together with your accountant.

Common rates in Turkey: 1%, 10% and 20%. Entering the wrong rate for your category breaks the whole calculation.