FrontAccounting forum — Incorrect tax calculation

Re: Incorrect tax calculation

2022-06-06T00:25:24Z

There are two logics that i understand.

We normally sell the product to end customers along with tax. Example when we buy a shampoo it will be added the tax inside price and charged us.

In othercase if we are buying a box of 100 shampoo battles as wholesaler, the distributor must say the product price and than tax. Because both operates in the B2B. So tax is there in the middle of both.

Thats how retail and wholesale types created i guess.

Re: Incorrect tax calculation

2022-06-05T02:58:01Z

Thanks that sorted the issue, though I may need to understand why if set otherwise the calculations were different, what's the logic.

Re: Incorrect tax calculation

2022-06-05T01:02:33Z

There is a option tax include and exclude in the system. If its included tax its 305 for 18% of 2000. If its excluded tax its 360.

Kindly check the sales type and the tax inclusion and exclusion there.

Incorrect tax calculation

2022-06-05T00:30:59Z

Hi,
I am unable to figure out why this is so

I am testing latest FA v2.4.11

I have an item whose price after 18% tax is 2,000.00
When I try to add in invoice, system is computing tax as 305.09
Insted of 360.00 which manually calculated is 18% of 2,000.00

What could I be missing