Probelm with tax calculation

  • Resolved dammsugare

    (@dammsugare)


    4 years, 10 months ago

    Hi,

    I have a problem with the taxes. I have a standard rate =19 % and a reduced rate = 7 %. If I add a product with 19 % to the cart as well as a product with 7 %, the taxes in the cart are calculated as 13 %. For example: The product with 19 % costs 119 $, the product with 7 % costs 107 $, the total incl. tax is 226 $ and the calculated tax is 26 $…my impression was that Woocommerce always uses the highest rate from the order which would be 19 % and make a tax of 36.08 $. What is happening?

Viewing 3 replies - 1 through 3 (of 3 total)
  • Thread Starter dammsugare

    (@dammsugare)

    4 years, 10 months ago

    Okay, my fault, I understand how it works. However, I have a problem with the taxes for the shipping costs:

    In the example above, Woocommerce is calculating taxes for the shipping costs based on the highest tax rate in he order. But it should calculate it based on the rates of the items, so if an order contains a product with 19 % taxes and one with 7 % taxes, the shipping cost tax should also be 13 % = 19 + 7 / 2. And if the order contains 2 items with 19 % and one with 7 %, the taxes of the shipping costs should be 19 + 19 + 7 / 3 = 15 %. How can I achieve this?

    Plugin Support abwaita a11n

    (@abwaita)

    4 years, 10 months ago

    Hi @dammsugare,

    >Woocommerce is calculating taxes for the shipping costs based on the highest tax rate in he order.

    This is the expected behavior, not quite sure of a workaround on the core plugin.

    Just to clarify how WooCommerce charges shipping taxes when there are products with different tax rates:

    • If you have a product with the Standard rate in the order, it will be used for the shipping regardless if this rate is high or low
    • If you don’t have a product with the Standard rate in the order, then the first rate found in the Additional tax class section will be used for shipping.

    You’ll find more info in this documentation: https://docs.woocommerce.com/document/setting-up-taxes-in-woocommerce/#shipping-tax-class

    Hope this clarifies.
    Thanks.

    Plugin Support abwaita a11n

    (@abwaita)

    4 years, 10 months ago

    Hi,
    We’ve not heard back from you in a while, so I’m marking this thread as resolved. Hopefully, the above info was helpful.

    If you have further questions, please feel free to open a new topic.

    Thanks.

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