int itxtVal = Convert.ToInt32(TextBox1.Text);
int iMinVal = (itxtVal - itxtVal * 20 / 100);
int iMaxVal = (itxtVal + itxtVal * 20 / 100);
So, if itxtVal = 100,
then iMinVal = 100 - 100 * 20 /100 = 100 - 20 = 80,
and iMaxVal = 100 + 100 * 20 / 100 = 120
So yes, your formula is correct.
UPDATE (from comments): Your formula can be greatly simplified making it easier to read and understand.
Also, using the Integer datatype causes your numbers to be rounded. If you don't want that, use Double instead. Don't forget to set the RangeValidator.Type property to Double as well.
double txtVal = Convert.ToDouble(TextBox1.Text);
double minVal = (txtVal * 0.8);
double maxVal = (txtVal * 1.2);
RangeValidator1.MinimumValue = minVal.ToString();
RangeValidator1.MaximumValue = maxVal.ToString();