2 replies [Last post]
snepa's picture
Offline
Joined: 01/15/2009
Juice: 38
Was this information Helpful?

Tax Rate/Coupon/Discount Interaction

We are very close to launching our website - http://www.kilboa.com. We sell both taxable (personal care products, fitness products) and non-taxable items (supplements, foods). I've set up a tax code for the state in which our business resides (FL 6.5%). I've distinguished the taxable products from the non-taxable products by setting up different product classes (node types). I've associated the tax rate with only taxable product types.

Now I have what I think is a dilemma.

If I offer a discount or coupon I need to apply discounts to the tax rate so that the purchaser will not be overtaxed for an item on which they received a discount. That said, the calculations for the tax rate seem to be indiscriminate on whether the discount is associated with a taxable or non taxable item.

For example, A shopper orders a NON-TAXABLE item for $100 to be delivered to Florida. They enter a discount code that saves them $10. The invoice will show a credit of $0.65 (6.5%) on the $10 savings even though the item wasn't taxed in the first place.

On the other hand if I disassociate discounts with the tax rule and that same customer ordered a $100 TAXABLE item and used a 10% discount coupong then we'll end up over-taxing them by $0.65.

I realized that the level of programming necessary to tie the tables together to do this calculation properly probably isn't worth the time. I'm also probably being penny-wise-pound-foolish. I should just, in theory, eat the $0.65 and be done with it. That said, I did at least want to bring it up for feedback, insight, or at least have this be a suggestion for the development queue.

Of course, if I've just overlooked something, and the UC can handle the scenarios I've described let me know.

Thanks,

Stephen

TwistedLincoln's picture
Offline
Joined: 04/06/2008
Juice: 128
Re: Taxing Discounts

What module are you using for discounts? We use Ubercart Discounts Alternative (http://drupal.org/project/uc_discounts_alt), and from what I remember of my testing, it only calculates the discount based on the subtotal, disregarding fees, taxes, etc.

---------------------------
Twisted Lincoln, Inc.
www.twistedlincoln.com/shop

snepa's picture
Offline
Joined: 01/15/2009
Juice: 38
uc_discounts_alt

TwistedLincoln,

Thanks for the suggestion. Behaves exactly as you've described. I'm using it now.

Regards,

snepa