Can anyone please help me with this problem:
My clients prices for products are inclusive of tax (VAT). When a customer order is done it will pick that price which is inclusive of vat and add the tax on top of it. So for example my tax rate is 16% then for a product with price as 31,000 it would be:
Amount (net of tax) 31,000 KES
Amount VAT 4,960 KES
Amount (inc. tax) 35,960 KES
This is wrong as it is calculating tax on a price that is inclusive of VAT.
It should be thus:
Amount (net of tax) 26,724 KES
Amount VAT 4,275 KES
Amount (inc. tax) 31,000 KES
What I want is that it should automatically recalculate so that when client enters that price it should then do the calculation automatically instead of manually doing the calculation and then entering the amount net of tax in the Unit Price(Net of tax) field.
When you define selling price for product in product module, there is a dropdown where you can choose net of tax or inclusive tax. choose inclusive tax.
Thanks Quid for your reply. I have already made all prices in the product card incl. of VAT. However what if there is a discount? So what we do is edit the order line and say the price incl. of VAT 16% is 14,000, if they edit the line and enter the discounted amount it will add VAT on top of that meaning they have to calculate unit price incl. of VAT then enter that price. They don’t want to do any calculations they want to simply enter the discounted amount say discounted price is 13,000 so they just want to enter 13,000 and it does the calculation. Right now if they enter the 13,000 then it will add 16% VAT. Hope I’m making sense.
