List folk,
It seems that Interchange does not apply sales tax to Handling charges,
even when Shipping charges are set up to be taxable.
e.g.
config: TaxShipping TX
variable: TAXRATE TX=8.25
subtotal: $19.99
shipping: 5.38
sales tax: 2.09 (25.37 * .0825)
handling: 5.00
------------------
total: $32.46
This is a problem at least for Texas, where both shipping and handling
charges are to be taxable:
"Shipping and handling charges are taxable if the charges are
associated with the sale of taxable goods or service."
http://comptroller.texas.gov/taxinfo/sales/faq_collect.html#collect8
It seems that several other US states are in the same situation:
https://www.boe.ca.gov/formspubs/pub100/
https://revenue-pa.custhelp.com/app/answers/detail/a_id/214/~/are-shipping-and%2For-handling-charges-subject-to-sales-tax%3F
http://www.floridasalestax.com/Florida-Sales-Tax-Rules/12A-1-045.aspx
http://www.stateandlocaltax.com/noteworthy-cases/handle-with-care-shipping-and-handling-fees-subject-to-arizona-transaction-privilege-tax/
I wonder if others have experienced this?
Or is anyone in a locale where your situation is different -- where
shipping is taxable, but handling is not?
It seems this patch to Interpolate.pm would fix it (around line 5752):
foreach $code (@code) {
next unless $Vend::Cfg->{TaxShipping} =~ /\b\Q$code\E\b/i;
$amount += tag_shipping();
+ $amount += tag_handling();
last;
}
But to make this change to core IC would mean that all existing IC
catalogs with taxable shipping would start having handling taxable, even
if it wasn't before.
If this is considered a bug, then such a change would be a good thing.
An alternative change would be to add a new config, "TaxHandling", and
process it in a separate for() block than shipping. This would thus
require a configuration change for it to take effect.
Thoughts?
--
Josh Lavin
End Point Corporation
_______________________________________________
interchange-users mailing list
interchange-users@icdevgroup.org
http://www.icdevgroup.org/mailman/listinfo/interchange-users
It seems that Interchange does not apply sales tax to Handling charges,
even when Shipping charges are set up to be taxable.
e.g.
config: TaxShipping TX
variable: TAXRATE TX=8.25
subtotal: $19.99
shipping: 5.38
sales tax: 2.09 (25.37 * .0825)
handling: 5.00
------------------
total: $32.46
This is a problem at least for Texas, where both shipping and handling
charges are to be taxable:
"Shipping and handling charges are taxable if the charges are
associated with the sale of taxable goods or service."
http://comptroller.texas.gov/taxinfo/sales/faq_collect.html#collect8
It seems that several other US states are in the same situation:
https://www.boe.ca.gov/formspubs/pub100/
https://revenue-pa.custhelp.com/app/answers/detail/a_id/214/~/are-shipping-and%2For-handling-charges-subject-to-sales-tax%3F
http://www.floridasalestax.com/Florida-Sales-Tax-Rules/12A-1-045.aspx
http://www.stateandlocaltax.com/noteworthy-cases/handle-with-care-shipping-and-handling-fees-subject-to-arizona-transaction-privilege-tax/
I wonder if others have experienced this?
Or is anyone in a locale where your situation is different -- where
shipping is taxable, but handling is not?
It seems this patch to Interpolate.pm would fix it (around line 5752):
foreach $code (@code) {
next unless $Vend::Cfg->{TaxShipping} =~ /\b\Q$code\E\b/i;
$amount += tag_shipping();
+ $amount += tag_handling();
last;
}
But to make this change to core IC would mean that all existing IC
catalogs with taxable shipping would start having handling taxable, even
if it wasn't before.
If this is considered a bug, then such a change would be a good thing.
An alternative change would be to add a new config, "TaxHandling", and
process it in a separate for() block than shipping. This would thus
require a configuration change for it to take effect.
Thoughts?
--
Josh Lavin
End Point Corporation
_______________________________________________
interchange-users mailing list
interchange-users@icdevgroup.org
http://www.icdevgroup.org/mailman/listinfo/interchange-users