Author Topic: Tax Calculation Incorrect  (Read 1777 times)

ps7456

  • Beginner
  • *
  • Posts: 48
Tax Calculation Incorrect
« on: March 08, 2010, 01:54:09 am »
Hello,

I am having a problem with the tax calculation during checkout. For example, I listed a product at $20. The tax rate is 8.25%. That means the total tax charged should be $1.65. For some reason during checkout $2.47 appears. I have six test products loaded and the tax is incorrect for each. No matter what the price of the product is, $2.47 is what shows as the tax.

I have Virtual tax unchecked. The tax rate is set to .825, and it is the only tax rate I have set up. The product price net and the product price gross is the same, $20, with no VAT IDs or discounts. The "Show "(including XX% tax)" when applicable?" is unchecked and the tax mode is "based on the vendor address."

I'm using Virtuemart 1.1.4 stable with Joomla 1.5.15.

Any help would be appreciated. Needless to say I can't go live until this is resolved.

Thanks,
Pete

 

ps7456

  • Beginner
  • *
  • Posts: 48
Re: Tax Calculation Incorrect
« Reply #1 on: March 08, 2010, 21:19:15 pm »
Can anyone shed any light on the tax issue? With regards to my previous post above, I was able to determine the only time the tax is calculated is when the VAT ID  is specified in the product information panel. In this case our state (Texas) sales tax is 8.25%, so if I specify that amount in the VAT ID then each order is taxed 8.25% regardless of where it ships to. For example, if the store is located in Texas and the ship to address is New York, no tax should be charged. However, if the item is being shipped to Texas, then sales tax should be charged. I have the tax mode set to "based on vendor address." I tried changing it to "based on shipping address" but saw no change.

Am I doing something wrong? Is this a bug in Virtuemart? What happens when there are multiple tax rates based on where the product is shipping to?

Any help is appreciated.

Thanks,
Pete

claytondaley

  • Beginner
  • *
  • Posts: 3
Re: Tax Calculation Incorrect
« Reply #2 on: September 27, 2011, 20:58:22 pm »
I can tell you *why* but can't tell you how to fix it (yet).  In my system, I have "Product Price" and "Discounted Price".  Tax is being calculated using the product price rather than the discounted price.  This is wrong and I'm trying to hunt down a fix.

claytondaley

  • Beginner
  • *
  • Posts: 3
Re: Tax Calculation Incorrect
« Reply #3 on: September 27, 2011, 21:15:22 pm »
Found it...

Admin - Configuration - Global - Subtract payment discount before tax/shipping

You also need to ensure that the shopper group is properly configured:

Shopper - List Shopper Group - <select group, probably default> - Uncheck "Show Prices Including Tax"