Magento - How can I add a non-taxable fee to a taxable product? - magento

We are using Magento EE 1.12. We have associated fees with individual products that cannot be taxed, however the product itself can be. The desired solution will be similar to a custom option where the fee is included on the same line item as the product and included in the product's price and therefore in the order subtotal. The only problem with a custom option is that the fee is taxed along with the product.
We've gone through several scenarios but I think the most likely solution is to use a custom option, but after the tax has been calculated we will reduce the tax to the correct amount. We tax on the subtotal and shipping. We will have access to the amount of fees so we can get the tax on that total and reduce the order tax amount.
Does this seem like a good solution? Does anyone have other ideas?

Make it a bundle product, and put in a product which is not taxable.

Related

Magento what is hidden_tax_amount

Could somebody helpme pelase?. I see that Magento in almost all my orders is calculating a tax named hidden_tax_amount . What does this value is related with?. And how can I disable it?.
Here you can see what I'm talking about.
[hidden_tax_amount] => 4.3000
[base_hidden_tax_amount] => 4.3000
[hidden_tax_invoiced] => 4.3000
[base_hidden_tax_invoiced] => 4.3000
Edit:
Ok, I've been digging in my code and fount that this field was introduced in 1.6.0.0 (Mage/Sales/sql/sales_setup/mysql4-upgrade-1.5.9.9-1.6.0.0.php:1616) and the value is get or set here
Mage/Tax/Model/Sales/Total/Quote/Tax.php:391: $address->setShippingHiddenTaxAmount(0);
Mage/Sales/Model/Order/Invoice/Total/Tax.php:85: $totalHiddenTax += $order->getShippingHiddenTaxAmount();
And in Mage/Tax/Helper/Data.php you can find in line 1114 to 1116 the following condition
if ($current->getShippingHiddenTaxAmount() > 0) {
$taxClassAmount[0]['hidden_tax_amount'] = $current- >getShippingHiddenTaxAmount();
}
Then researching more about the issue I found that:
"hidden_tax_amount" holds the substraction of the actual tax amount (on the current order) from the tax amount that should have been applied if there was no discount http://forum.azmagento.com/how-to/grand-total-calculation-v142--82183.html .
What leads me to the point that this is due a wrong tax configuration from my side rather than a bug and is related with a shipping tax. If so, could some body point me in the correct direction please?
Thankyou very much!
For anyone looking to understand the porpouse of hidden_tax_amount let me tell you that is not a bug or a missconfiguration, it's a feature:
it is used by Magento to calculate the amount of tax that is not originally calculated when a product that has a tax is under discount.
For example, you have:
a product named "Pencil" with price of $100.00 and a tax of 16% so the final price will be $116.
a coupon code with 10% off for all the Pencils
(This is important) your store is configured to calculate the discount after tax.
The user will see a final price including tax of 104.4 that is the result of 116 - 11.6. And that is correct.
But legally you can't discount any amount from tax because your base tax is still 100 and not 104.4.
Then Magento hiddes that quantity of money in hidden_tax_amount.
For accounting porpouses this process is correct. Then you can show that value as Tax.
Hope this helps someone else!
I had to give the Magento tax/discount issue some serious thought recently.
To set this problem up, assume there are four parties involved in a transaction, the wholesaler, the retailer, the consumer and the tax man. Assume the retailer is selling an item for £100 to the consumer (including tax), the tax rate is 20% and the wholesaler is providing a 10% discount on the item
The vital point here is that the 10% discount is offered by the wholesaler, not by the retailer. The retailer will get the full £100 for the item, with the consumer paying £90 and the wholesaler making up the remaining £10.
The retailer owes tax on the full amount paid. That is, at a tax rate of 20% £15 of the £90 paid for by the consumer is tax, and £1.67 of the £10 paid by the wholesaler is tax, giving a total tax bill of £16.67 or 20% of the net price (£83.33).
When the consumer receives their invoice, it makes sense to show them only the tax that they have paid, not the total tax paid on the item. However for the retailers accounting, they need to see all the tax that is due, that is the tax due on the portion paid by the consumer paid and the tax due on the portion paid by the wholesaler.
The hidden tax is still tax which has to be paid by the retailer, but it should be hidden from the consumer, because its nothing to do with their part of the transaction.

Magento product quantity wise price increase

I want to create only one product in magento whose total price will be $50 more for any quantity less than 100 and $35 more for any quantity more than 100 while being added to cart.I have tried price rules but it seems to be not working.Please help me how do i create it.The product also includes additional parameters like tier pricing
These are the tier prices
You need to create a singled product and add tier pricing for it.
Magento knowledge base shows how to do it: http://www.magentocommerce.com/knowledge-base/entry/how-do-i-use-tier-pricing

Magento - VAT for shipping

I'm trying to figure out where to locate the function(s) that set the VAT for the shipping in Magento; both in the checkout and in the order made by the customer. If possible, the last function that is run that calculates the final VAT for the shipping might be the best one to override. The thing is that I want to make the VAT for shipping vary depending on the VAT on the products in the cart.
Take for example two products that cost 100$ each.
One product has a 25% VAT, while the other product has a 12.5% VAT.
Now, what I'd like to do is to calculate the VAT of the shipping by running the following calculation:
((100*25)+(12.5*100))/200 = 18.75
This would mean that the VAT on the shipping would be 18.75%.
While I'm on it, I also wonder how to get the VAT for each product in the cart, since each product can have a different tax-class.

How to not consider free items when calculating shipping costs?

In my shop shipping is free on orders over $75.
I want to add a free item A to the cart when the customer purchases a specific product B.
Item A is set to be free of charge by:
quoteItem->setOriginalCustomPrice(0);
This works fine so far. But for the calculation of the shipping costs still the original price of A is used. As a result, shipping is free when the original price of A and the price of B add up to be over $75.
Does anyone know how to fix this?
As #cads mentioned in this comment:
For Magento 1.4.1.1 and above you need to set $quoteItem->setCustomPrice(0); and $quoteItem->setOriginalCustomPrice(0); to get the right shipping cost.

Magento - Show all items including tax on Paypal order summary

When checking out with Paypal standard on Magento, the order summary shows all prices not including tax, then the tax is added on at the end. See the picture below:
I need it so that rather than adding the tax separately at the end, the summary is kept nice and simple like this:
Item 1: £25.00
Shipping: £2.75
Total: £27.95
I have set all my Magento settings to include tax in all prices (see below):
I'm not sure what else I can do to get it to transfer the prices across including tax only. Does anybody have any experience with this? I'm hoping there's no need for a core hack.
Any help would be much appreciated.

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