Since 2.0.9 it does not calculate VAT on the discount

  • estalhun

    (@estalhun)


    2 years ago

    Since v2.0.9, VAT is not calculated on the discount. So I can no longer recommend the use of this plug-in.

    • This topic was modified 2 years ago by estalhun.
Viewing 3 replies - 1 through 3 (of 3 total)
  • Plugin Support Hitendra Chopda

    (@hitendra-chopda)

    2 years ago

    Hello @estalhun

    Thank you so much for sharing your feedback with us.

    Yes, we have removed the VAT on the discount amount, and now the admin needs to manage it by adding the discount with or without VAT itself.

    Also, vat mostly apply on the product price and cart total not on the discount amount.

    Hope this helps. Thanks again for your time.

    Best Regards,
    Hitendra & DotStore Team

    Plugin Support Hitendra Chopda

    (@hitendra-chopda)

    2 years ago

    Hello @estalhun

    I hope you are doing well.

    We spent more time comparing the discount feature with the default discount code, which works similarly. It never applies the vat/tax on the discount amount.

    E.g., If you add a flat 20 amount of the discount and then with tax product or without tax products, the discount amount will stay the same flat 20.

    Best Regards,
    Hitendra & DotStore Team

    Note: We request that kindly revise the review if your query get resolved.

    Thread Starter estalhun

    (@estalhun)

    2 years ago

    Dear @hitendra-chopda,

    Problem #1.

    You are right if the discount amount is 20, then it will appears on the invoice as:
    Product Net VAT Subtotal
    Sneaker 100 20% 120
    Discount 20 0% 20

    Because the discount is based on the product the discount should seems like this:
    Discount 1.66 20% 20

    So, I have to pay all of the VAT (20) to the tax authority even though I do not have any product with zero VAT rate.

    Problem #2.

    Every member state in the EU has own VAT rates. The VAT must be calculated based on the billing address of the customer. But if the customer is a company and I have an EU VAT number, I have to sell the product with zero VAT.

    Regards,
    Estal

    • This reply was modified 2 years ago by estalhun.
Viewing 3 replies - 1 through 3 (of 3 total)
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