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Posted to dev@ofbiz.apache.org by Iain Fogg <ia...@westnet.com.au> on 2006/10/13 02:19:25 UTC
Re: VAT and gross pricing (example of failed SALES DISC)
Jacques,
Yes, I tried on yesterday's SVN.
I just ran an exampe again, and this is what the POS shows...
Before Order adjustment
=================
Item price: 17.23 (this is exTax price)
GST: 1.72 (this is the Sales Tax subtotal)
Grand Total: 18.95
I now apply a 20% SALE DISC, and we get
After Order adjustment
================
Item price: 17.23 (this is exTax price)
GST: 1.72 (this is the Sales Tax subtotal)
Grand Total: 15.50
Neither the POS nor receipt show anything about the discount.
If I do the same thing with an Item discount, the POS shows:
Item price: 17.23
(adjustment): -3.45
GST: 1.38 (yes, the correct tax was calculated)
Grand Total: 15.16
Note the difference in grand total prices. The SALE DISC is computing
the discount on the exTax price and then adds the tax to get the
(incorrect) grand total.
Cheers, Iain
Jacques Le Roux wrote:
> Hi Iain,
>
> From: "Iain Fogg" <ia...@westnet.com.au>
>
>> + Order level discounting doesn't work properly for in the GST
>> environment. Eg, I have an item for $110, which includes $10 GST. If I
>> discount the order, the price drops to $88, but the GST still shows as
>> $10 - it should be $8.80. The correct behaviour depends on whether
>> individual line items are subject to GST or not. Technically, if I give
>> a 20% order level discount this discount should be distributed across
>> all line items in the order, and then the GST would be calculated
>> correctly. In practice, order level discounts are banned, and sales
>> staff need to apply any discounts at the item level (which works well
>> for GST calculations). It's not clear what a fixed-amount order-level
>> discount means in a GST environment, since individual products (not
>> whole orders) are subject to the tax - what if your order has a mixture
>> of GST and GST-free products???
>>
>
> Did you try on POS with last svn (that's what I guess but not sure) ? Because I have tried only without taxes yet ....
>
>
>> #1 for me is being able to record my prices tax-inclusive, yet still
>> ensure that local reporting requirements are met (eg, displaying the
>> amount of GST in the sale), and that the GL tracks the GST component.
>>
>
> Yes that's the problem we have to cope with if we want to have happy customers :o)
>
>
>> I think we already the flag to indicate whether prices include tax, but
>> it's not clear that this has relevance for GST?VAT (please correct me if
>> I'm wrong).
>>
>
> For the moment taxes are not differentiated, please see : http://issues.apache.org/jira/browse/OFBIZ-366
>
>
>> We also need a flag(s) to indicate whether we need to report
>> the tax component, and whether the reporting needs to be on the item or
>> order level. As mentioned above, order adjustments need to be made
>> sensitive to the GST/VAT environment, but perhaps the simplest thing is
>> just to train users not to ever use order-level adjustments :-)
>>
>
> Here they are some differents rules. For instance in Italy and France if you have Jacopo explained that here :
> http://www.nabble.com/Users---tax-functionality-tf1428622.html)
> But it's no the same in Germany for instance. Here is also an interesting remark going your way (customising cutomers ;o)
> http://www.nabble.com/Users---tax-functionality-tf1428622.html
>
> Thanks for your comments
>
> PS : One question out of subject : I do use Outlook Express (OE) on Windows (was trapped long before ;o). When I respond to an ML
> msg only to the sender, automatically OE send also a copy to ML.
> I wonder if it would not be a best practise to respond only to the ML (to avoid double messages to the intial sender). What do you
> think ?
>
> Jacques
>
>
>
>
Re: VAT and gross pricing (example of failed SALES DISC)
Posted by Jacques Le Roux <ja...@les7arts.com>.
Thanks Iain,
I will take a look at SALE DISC ASAP (did you try with amount and taxes ?). I saw that it was not showing adjustment but had no time to solve it. Yet receipts show no adjustment informations in general.
I did nothing on this because I know that Ray barlow has done some work around receipts and I waited informations from him. But I have no news from him since a while. Ray if you read this please feel free to ring ;o)
Jacques
----- Original Message -----
From: Iain Fogg
To: ofbiz-dev@incubator.apache.org
Sent: Friday, October 13, 2006 2:19 AM
Subject: Re: VAT and gross pricing (example of failed SALES DISC)
Jacques,
Yes, I tried on yesterday's SVN.
I just ran an exampe again, and this is what the POS shows...
Before Order adjustment
=================
Item price: 17.23 (this is exTax price)
GST: 1.72 (this is the Sales Tax subtotal)
Grand Total: 18.95
I now apply a 20% SALE DISC, and we get
After Order adjustment
================
Item price: 17.23 (this is exTax price)
GST: 1.72 (this is the Sales Tax subtotal)
Grand Total: 15.50
Neither the POS nor receipt show anything about the discount.
If I do the same thing with an Item discount, the POS shows:
Item price: 17.23
(adjustment): -3.45
GST: 1.38 (yes, the correct tax was calculated)
Grand Total: 15.16
Note the difference in grand total prices. The SALE DISC is computing the discount on the exTax price and then adds the tax to get the (incorrect) grand total.
Cheers, Iain
Jacques Le Roux wrote:
Hi Iain,
From: "Iain Fogg" <ia...@westnet.com.au>
+ Order level discounting doesn't work properly for in the GST
environment. Eg, I have an item for $110, which includes $10 GST. If I
discount the order, the price drops to $88, but the GST still shows as
$10 - it should be $8.80. The correct behaviour depends on whether
individual line items are subject to GST or not. Technically, if I give
a 20% order level discount this discount should be distributed across
all line items in the order, and then the GST would be calculated
correctly. In practice, order level discounts are banned, and sales
staff need to apply any discounts at the item level (which works well
for GST calculations). It's not clear what a fixed-amount order-level
discount means in a GST environment, since individual products (not
whole orders) are subject to the tax - what if your order has a mixture
of GST and GST-free products???
Did you try on POS with last svn (that's what I guess but not sure) ? Because I have tried only without taxes yet ....
#1 for me is being able to record my prices tax-inclusive, yet still
ensure that local reporting requirements are met (eg, displaying the
amount of GST in the sale), and that the GL tracks the GST component.
Yes that's the problem we have to cope with if we want to have happy customers :o)
I think we already the flag to indicate whether prices include tax, but
it's not clear that this has relevance for GST?VAT (please correct me if
I'm wrong).
For the moment taxes are not differentiated, please see : http://issues.apache.org/jira/browse/OFBIZ-366
We also need a flag(s) to indicate whether we need to report
the tax component, and whether the reporting needs to be on the item or
order level. As mentioned above, order adjustments need to be made
sensitive to the GST/VAT environment, but perhaps the simplest thing is
just to train users not to ever use order-level adjustments :-)
Here they are some differents rules. For instance in Italy and France if you have Jacopo explained that here :
http://www.nabble.com/Users---tax-functionality-tf1428622.html)
But it's no the same in Germany for instance. Here is also an interesting remark going your way (customising cutomers ;o)
http://www.nabble.com/Users---tax-functionality-tf1428622.html
Thanks for your comments
PS : One question out of subject : I do use Outlook Express (OE) on Windows (was trapped long before ;o). When I respond to an ML
msg only to the sender, automatically OE send also a copy to ML.
I wonder if it would not be a best practise to respond only to the ML (to avoid double messages to the intial sender). What do you
think ?
Jacques
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