Thank you for your reply BJ Freeman. I am not aware of USA Tax Authority, just know some basic principles. VAT system is used by many countries. Of course, gross profit is very important for any company and it is used in tax computation for local Tax authority. Some VAT info you may read here: http://en.wikipedia.org/wiki/Value_added_tax http://en.wikipedia.org/wiki/Value_added_tax The main points for VAT is: VAT amount depends on a country Some products, materials or services can have different VAT amount per country (but that is more exceptional case, when a government wishes to reduce taxes for some kinds of business...) VAT is applied for product, material or service VAT should be specified in each order and invoice (for some countries, it is mandatory, but for another it is a best practice)
>From these points, it is interesting to know is "VAT" the same as "Sales tax" , I saw many discussions about this in the mail list, and as I see VAT is the same as "Sales tax". Ok. According to VAT, all order items and invoice items must have VAT. In OFBiz, adjustments are additional things and services! *Shipping charge* is the service adjustment. Fortunately, OFBiz can tax it. Conclusion, for VAT users it is important to have the correct orders and invoices. They are correct, when they have all necessary items and adjustments, plus tax (VAT). Currently, the orders and invoices are not correct if a company use additional adjustments (not shipping and promotion), because they can not be taxed. To fix it, the company must edit each order manually. When you add additional tax for some adjustments, OFBiz makes tax recalculation according to its internal tax model and compensate additional tax by tax deduction. This tax deduction must be removed manually. As result ,we have manual, unhandy and error risky tax calculation. Each order must be reworked. ----- Kind regards, Sergei -- View this message in context: http://ofbiz.135035.n4.nabble.com/Tax-calculation-for-all-order-adjustments-tp4119597p4159691.html Sent from the OFBiz - User mailing list archive at Nabble.com.
