We are encountering a strange miscalculation with our shopping cart price rules.
We have two price rules. One is standard 3% discount for logged in customers and one is 2% additional discount when choose for paying with direct debit.
The standard 3% discount is calculated correctly but when the customer chooses to pay with direct debit Magento calculates about 4.3% instead of the proposed 5%.
Has anyone experienced this before?!
Magento Price rules are applied in defined order.
You have first rule (+3%) it's applied to product.
product price is 0.97 of original price. Now to this price new rule will be applied.
new price = 0.97 - 0.97 * 0.02 = 0.9506
in the end price was changed to 4.94.
Take into account that price is changing.
Related
My store sells children's clothing that should be 0% VAT as per new Brexit regulations, but it's not limited to this, some products we sell are miscellaneous, like sunglasses and bags that are 20% VAT. Due to Brexit we will have to do some changes to our product taxation.
The changes after 31st of December are:
A cart that is >135 pounds will always be sold with 0% tax (this is easy to implement, just add a checkout/cart rule that if the cart is >135, then tax = 0%)
A cart that is <135 pounds has to be sold with 20% tax (this is the one I need assistance with)
The issue is, I'm not sure what is the most logical way of implementing this, for example if a customer adds some products that are 0% and some that are 20% VAT, and the cart is <135 pounds, does taxation apply to all of the cart, ignoring the 0%?
How are you dealing with this? Any suggestions or resolutions are welcome!
Thanks!
For orders > £135
You say its easy to implement. There is no option to set Tax # 0% in cart rules. You can only offer a percentage discount, so Tax is applied but you get a discount. However the discount percentage is only on the products. Not the delivery! and delivery to EU just got more expensive...
Maybe I'm missing something
for orders < £135
You can create additional "Product Tax Class" in the Tax Rules section. If you have more than 1 Product tax class, you get an option to select it on each product individually (which you can do by import/export in bulk). So create a 0% and a 20% one and apply them to each product as you wish.
I think the first bit is actually the tricky bit. I have no idea how to do that one.
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.
Are there percentage based quantity discounts?
I’m using Magento 1.8 and I want quantity discounts expressed as percentages.
I don’t see that in Magento. I know setting new Tier Prices but I want a Tier Price by a giving percentage.
For example, if someone buys 5 or more of Product X, I want to give them a 5% discount, If s/he buys 10 or more I want to give 10% discount....
I'm using Magento 1.6.2.0- and I can do this by creating a shopping cart rule for each tier of quantities. see this page http://www.magentocommerce.com/knowledge-base/entry/what-are-shopping-cart-price-rules-and-how-do-i-use-them
What I would do is create one rule for a percentage off of 5 or more, then an additional rule for an additional 5 percent off of 10 or more....and keep creating a rule for each tier
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.
I cannot figure it out. How to apply discount to the basket amount before shipping. I see an option in Shopping Cart Price Rule "Apply to Shipping Amount" but what every amount or the way i enter it apply to the total amount not to the shipping amount.
The offer is for one product. Customer buy product A for 30 euro plus shipping but if the customer buy one more of product A he will get the second one for 20 euro + no shipping. i have solved the price but cant solve the shipping price issue.
This is actually the way it is suppose to work. I think the wording is confusing, it should be something like : "Apply Discount After Shipping Costs is added", or something like that.
Basically, setting Apply to Shipping amount to ON will make the discount work like this:
Total = (Subtotal + Shipping) - Discount Amount
While leaving the setting off will do this:
Total = (Subtotal - Discount Amount) + Shipping
In this case, if your Subtotal is lower than you discount, your Subtotal will be adjusted to 0 but the customer will still have to pay for shipping.