Tax Calculations & Invoicing (9.160 & 9.170)

Question 1) is this price inclusive or exclusive of tax?

Price is always inclusive tax. No matter if there is tax or not and if tax is 5% or 50%.

Question 1) is this price inclusive or exclusive of tax?

Question 2) should this now not have -$3.00 applied to it, to remove the included tax?

If you added different country or state even if you are the same user we cannot force tax. taxes is a responsibility of people. How it would looks like if user enter country with no tax, and emerald told "Oh! No. man, you have to pay tax, because you did it last time."

Question 1) is this price inclusive or exclusive of tax?

Question 2) should this now not have -$3.00 applied to it, to remove the included tax?

Question 3) So, how to apply tax only to those required states or start start with a non-tax included price and only add tax to those listed in my taxes area.?

I think this is exactly how it works.

For example usr purchased from Russia. But you had no tax for that country. He write you a letter and say that invoice is not good because it does not include tax. You simply go to tax manager, add tax for Russia and next click his invoice includes that tax. But total is not changed. It does not matter for tas office actually, they only need to see if tax included or not from the total user had paid. They do not care how you calculate it.

Question 1) is this price inclusive or exclusive of tax?

Question 2) should this now not have -$3.00 applied to it, to remove the included tax?

Question 3) So, how to apply tax only to those required states or start start with a non-tax included price and only add tax to those listed in my taxes area.?

Question 4) the "price" column in the users subscription page only ever show total price, of $33.00 in this case, even if -negative taxes are tried to remove the tax

As I have mentioned, Taxes are made the way, it does not affect subscription price. Taxation for products is common practice but for subscriptions not. I used to subscribe to a lot of things like Vimeo, Github, MSDN, mediafire, ... And no matter what country I am from the subscription price is fixed. Lilek $9/Month. That is it. In Russia we need %13 and in Kazakhstan 17%. But no matter from what country I am, I pay $9.

Firstly, sorry for posting in the wrong version forum.

OK, I now understand how you are applying tax, as I see it, there are different methods and in the past we have worked differently. Our approach has generally been;

List price without tax included, and then only add the tax to that price for those states/countires that should pay it, so the final price is increased by tax amount

EG:

Price $30.00 without tax

Tax in State-A is 10%

Tax is not paid if purchased outside State-A or State-B or out of country

• a user in State-A purchases, his total is now $33.00 ($30.00 + $3.00 tax)

• a user buys from outside State-A, his price is still $30.00 because tax is not applicable

otherwise, in reality, the user from outside of State-A is paying the tax, but just not having it listed as such.

in reality, the user from outside of State-A is paying the tax, but just not having it listed as such

If it is not listed, it is not paid. taxes are considered to be paid when they are claimed to be paid. If there is no claim then tax is not paid.

It is more like original tax free cost of your product varies depending on buyer and adjusted so that total with taxes always equal 30$

Sergey As I have mentioned, Taxes are made the way, it does not affect subscription price. Taxation for products is common practice but for subscriptions not. I used to subscribe to a lot of things like Vimeo, Github, MSDN, mediafire, ... And no matter what country I am from the subscription price is fixed. Lilek $9/Month. That is it. In Russia we need %13 and in Kazakhstan 17%. But no matter from what country I am, I pay $9.

I have to disagree. I bought a lot of subscriptions where there is price listed (ex. 30) and to that price the tax is added. If tax is 10% then the final price is 33. I think this is acctually the only way for subscribers to have same net price.

Example 1:

Subscription plan costs 100$.
User from country where they have 17% tax will pay 83$ + 17$ (tax). So he will pay 83$ for product because he can use those 17$ as input tax.
User from country where they have 22% tax will pay 78$ + 22$ (tax). So he will pay 78$ for product because he can use those 22$ as input tax.
Etc...

What I would suggest is for admin to select wheater he wants to add tax to price or deduct it. Maybe a parameter in Emerald configuration somethink like: VAT calculation: "Add to price" or "Deduct from price".

klox7 Maybe a parameter in Emerald configuration somethink like: VAT calculation: "Add to price" or "Deduct from price".

Good idea for Emearld 10.