Reductions and included tax.
Posted: Wed Apr 27, 2005 11:11 pm
If you have an "amount" reduction the program will currently reduce the price of the item before tax no matter if the tax is added or included.
This means that if you use added tax and have a 5.00 item and reduce it by 1.00 with 5% tax that the sale will now be...
<pre> Before 1.00 reduction...
PRICE 5.00
TAX .25
TOTAL 5.25
After 1.00 reduction...
PRICE 4.00
TAX .20
TOTAL 4.20</pre>
However if you are using included tax then this will happen...
<pre> Before 1.00 reduction...
PRICE 4.76
TAX .24
TOTAL 5.00
After 1.00 reduction...
PRICE 3.76
TAX .19
TOTAL 3.95</pre>
As you can see in both cases the price was reduced by 1.00.
However I have received several emails from people using included tax telling me that that want the total reduced not the price. So that it would come out this way...
<pre> Before 1.00 reduction...
PRICE 4.76
TAX .24
TOTAL 5.00
After 1.00 reduction...
PRICE 3.81
TAX .19
TOTAL 4.00</pre>
So let's have a poll for included tax users. Reduce the price or reduce the total?
This means that if you use added tax and have a 5.00 item and reduce it by 1.00 with 5% tax that the sale will now be...
<pre> Before 1.00 reduction...
PRICE 5.00
TAX .25
TOTAL 5.25
After 1.00 reduction...
PRICE 4.00
TAX .20
TOTAL 4.20</pre>
However if you are using included tax then this will happen...
<pre> Before 1.00 reduction...
PRICE 4.76
TAX .24
TOTAL 5.00
After 1.00 reduction...
PRICE 3.76
TAX .19
TOTAL 3.95</pre>
As you can see in both cases the price was reduced by 1.00.
However I have received several emails from people using included tax telling me that that want the total reduced not the price. So that it would come out this way...
<pre> Before 1.00 reduction...
PRICE 4.76
TAX .24
TOTAL 5.00
After 1.00 reduction...
PRICE 3.81
TAX .19
TOTAL 4.00</pre>
So let's have a poll for included tax users. Reduce the price or reduce the total?