Electric Motor Prices: A Guide to Reading Excl. VAT and Incl. VAT Prices

On a motor product page or in a quotation PDF you will often see two, sometimes three different figures for the same item, and it is not obvious at first glance which one you will actually pay. This guide was written so that everyone at the purchasing desk speaks the same language when reading electric motor prices: what the list price means, why the excl. VAT amount is shown separately, where the incl. VAT figure comes from, which amount the bank transfer discount applies to, and why shipping appears as a separate line. At the end you will find a step-by-step calculation for four real models; you can check your own order with the same method.

How Many Separate Figures Hide in One Price Tag?

A motor price may look like a single number, but it is really made of layers added on top of each other. Read in order, the confusion disappears:

1. List price (excl. VAT): The tax-free selling price of the product. This is the figure used in business-to-business correspondence and quotations.
2. VAT amount: 20% of the list price, shown as a separate item on the invoice.
3. Price incl. VAT: The sum of the list price and the VAT amount; the starting point for the gross amount paid by card or bank transfer.
4. Payment-method difference: In the DRG Motor shop a 3% discount applies to bank transfer/EFT payments.
5. Shipping: A separate cost outside the motor price, paid to the carrier.

Comparing two offers without separating these five layers leads to a common mistake: placing one supplier's VAT-inclusive figure next to another's VAT-exclusive figure. Since the gap is 20%, a wrong decision is very easy to make.

Why Is the List Price Written Excluding VAT?

Most electric motor buyers are factories, workshops, machine builders or maintenance companies. These buyers deduct the VAT they pay in their own accounts, so their real cost is the tax-free amount. The figure booked in accounting, written into the budget and passed on to the machine price is the excl. VAT price. That is why the first column of a quotation is almost always tax-free.

For a private buyer, a sole trader or anyone who cannot deduct VAT, the situation is different: their real cost is the VAT-inclusive figure. Ask yourself: “Can I recover the VAT on the invoice?” If yes, compare using the excl. VAT column; if not, use the incl. VAT column.

From Excl. VAT to Incl. VAT: A Reading Exercise with Four Models

The table below shows four motors of different power, speed and frame type using the same logic. The right-hand column is exactly 1.20 times the left; figures are taken unchanged from the shop list.

Prices are taken from the DRG Motor online shop list dated 24.09.2026; a 3% discount applies to bank transfer/EFT payments, shipping is not included in the price and is paid by the buyer. For current prices please see the shop page.

One point to watch when reading the table: the last digit of the model code shows the number of poles, and therefore the speed (-2 for 3000, -4 for 1500, -6 for 1000 rpm). At the same kW the price changes with speed, so when comparing, look at the full code, not just the power.

Which Figure Does the Bank Transfer Discount Apply To?

For bank transfer/EFT payments the discount rate is 3% and it applies to the whole price. The order of calculation does not change the result: adding VAT first and then deducting 3%, or deducting 3% first and then adding VAT, gives the same figure. For the four models in the table the method works like this:

• DRG-712-4: 3,465.00 TRY + 20% VAT (693.00 TRY) = 4,158.00 TRY. By bank transfer: 3,361.05 TRY excl. VAT, 4,033.26 TRY incl. VAT (saving 124.74 TRY).
• DRG-100L-2: 7,665.00 TRY + 20% VAT (1,533.00 TRY) = 9,198.00 TRY. By bank transfer: 7,435.05 TRY excl. VAT, 8,922.06 TRY incl. VAT (saving 275.94 TRY).
• DRG-160L-6: 30,195.00 TRY + 20% VAT (6,039.00 TRY) = 36,234.00 TRY. By bank transfer: 29,289.15 TRY excl. VAT, 35,146.98 TRY incl. VAT (saving 1,087.02 TRY).
• DRG-250M-2: 98,450.00 TRY + 20% VAT (19,690.00 TRY) = 118,140.00 TRY. By bank transfer: 95,496.50 TRY excl. VAT, 114,595.80 TRY incl. VAT (saving 3,544.20 TRY).

The amount shown as “saving” in this list is 3% of the VAT-inclusive price. On small motors the difference stays at a few hundred lira; on large ratings it rises to thousands. Bank account details and payment steps are on the payment options page.

Two multipliers for your own calculation

Multiply the excl. VAT price by 1.20 to get the incl. VAT figure, and multiply the result by 0.97 to get the VAT-inclusive bank transfer figure. To go the other way, from a VAT-inclusive amount back to the tax-free price, divide by 1.20. These two multipliers are enough to verify a price read out over the phone instantly.

Why Is Shipping Not Added to the Motor Price?

The motor price is the same for every buyer, while the transport cost depends on the delivery address, the motor's weight and the packaging. Burying the same shipping cost into the price for a workshop in İzmir and a plant in Eastern Anatolia would mean overcharging one and undercharging the other. That is why shop prices do not include shipping; goods are sent through contracted freight and courier companies, and the buyer pays for transport.

Note this distinction when budgeting: small-frame motors can usually travel by courier, while heavy cast iron motors require palletised freight. For details see the delivery and shipping page.

Reading Checklist When Putting Offers Side by Side

When comparing two or more prices, ask the questions below in order. Every “I don't know” means one of the offers has been read incompletely.

Five Common Reading Mistakes

• Adding VAT twice: Multiplying a figure that already includes VAT by 1.20 again inflates the budget for nothing.
• Deducting the discount from the excl. VAT figure and comparing it with an incl. VAT figure: Whatever column you work in, stay in it until the end of the calculation.
• Shortening the model code: Saying “132 frame” is not enough; the S, M, L letter and the number of poles change the price.
• Forgetting shipping: For heavy motors, transport and unloading costs must be planned separately.
• Rounding the decimals: If a bank transfer is not paid to the exact kuruş, payment matching may be delayed.

Where Do You Find the Correct Figure?

The current list price and its VAT-inclusive equivalent are shown together on each product's own page. If you are not sure about your power and speed requirement, first determine the right model with the calculation tools, then read that model's two prices in the online shop. This order prevents wasted effort such as correctly reading the price of the wrong model.

Frequently Asked Questions

Which of the two prices in the shop will I pay?

The amount payable is the VAT-inclusive price. The excl. VAT figure is for information and shows the real cost for companies that can deduct VAT. If you choose bank transfer/EFT, 3% is deducted from the VAT-inclusive amount.

Does the bank transfer discount also apply to VAT?

Because the discount applies to the whole price, the VAT amount is reduced proportionally as well. For example, the DRG-712-4 price of 4,158.00 TRY incl. VAT becomes 4,033.26 TRY by bank transfer.

Can I learn the shipping cost when ordering?

The transport fee is set by the freight or courier company according to the delivery address and the motor's weight, and is paid by the buyer. That is why it is not added to the motor price.

How do I compare a quoted price with the shop price?

First make sure both figures are either excl. VAT or incl. VAT, then check that the model code (power, speed, frame type) is exactly the same. Then add the payment method and shipping on separate lines.

If anything about reading prices or choosing a model is unclear, get in touch: call +90 (542) 666 11 11, write to [email protected] or use our contact page.