Ditto what Bob says!!!
Now, if this mentality could be adopted for overall development and issues…
This is but one of several critical issues that involve cart calculation, data integrity and security of submitted orders. The whole architecture in this area needs to be revisited (though I doubt that will happen)… Unfortunately, this is the primary purpose of a “cart” and all the other “features” are meaningless when the core “cart” functionality is so badly broken. Unfortunately it’s features that sell products but then it’s liability and risk that are revealed “post sales”. Who even thinks to ask if a shopping cart calculates taxes or discounts correctly? I certainly didn’t. And I didn’t ask if a change to a product later in the life-cycle would impact the data in an existing order either!
However, what I think Triplex is asking is “when, what, and why”… But it’s my experieence that this info will NEVER be communicated. It will simply arrive someday and “be what it is”.
Hi Zeke
In the EU zone it is law that we have to show prices inclusive of VAT however, customers from outside the Euro zone do not pay VAT.
Under the current cs cart tax system we cannot show a VAT exclusive price on items for our international customers yet display VAT inclusive for EU customers.
To get round this we have had to set up a cart promotion of 17.5% discount for international customers but it is not ideal.
Will the new system be able to accommodate both VAT inclusive for EU customers and VAT exclusive prices for international customers.
If the above is not possible will the new system affect our current set up?
Thank you
[quote name=‘Hetha’]Hi Zeke
In the EU zone it is law that we have to show prices inclusive of VAT however, customers from outside the Euro zone do not pay VAT.
Under the current cs cart tax system we cannot show a VAT exclusive price on items for our international customers yet display VAT inclusive for EU customers.
To get round this we have had to set up a cart promotion of 17.5% discount for international customers but it is not ideal.
Will the new system be able to accommodate both VAT inclusive for EU customers and VAT exclusive prices for international customers.
If the above is not possible will the new system affect our current set up?
Thank you[/QUOTE]
You need to set your VAT up by location.
[quote name=‘Tool Outfitters’]You need to set your VAT up by location.[/QUOTE]
This wont work because to do this we have to set up VAT exclusive prices and then VAT is added on to the total at the end for EU customers but not added on for overseas. I believe this is how tax is calculated in the US.
Under EU law all prices must show VAT included - it is illegal to not show the VAT and just add it on at the end. We can do this easily but it means that the VAT portion must be subtracted from each product that includes VAT and this is the part that CS cart cannot currently handle. We have got round it by setting up a discount for all countries ouside the EU.
With the new tax calculations being introduced with version 2.1 we need to know what effect this may have on our setup.
I haven’t tried this because my store only caters to the US and I can’t test it on the demo site, but I would imagine that if you have “Display prices with taxes on category/product pages” checked with “Prices includes tax” unchecked in tax configuration with locations set up, then it should work. It’s hard to explain in words because there are many different settings to adjust.
Two other tax issues need to be addressed:
- We need the ability to specify that a specific tax (or the tax for a specific product) is calculated on the non-discounted total. This is needed to address situations where some items are taxed based on the non-discounted rate - an example of this is cell phone sales in California which are taxed on the full value rather than the discounted value (even if other items on the order are taxed on the lower discounted base). Perhaps you could consider tbirnseth’s suggestion to set up “product classes” to address this:
[url]http://forum.cs-cart.com/showpost.php?p=81313&postcount=12[/url]
- We need the ability to specify that a specific tax with type “Absolute” is ‘per-item’ (similar to the way this is handled in shipping charges). If someone buys multiple items, they pay a separate fee for each item.
We then need the ability to specify what the actual fee is on each product. An example of the need is California’s “Electronic Waste Recycling Fee” which charges a specific fee based on a product’s screen size:
[url]http://en.wikipedia.org/wiki/Electronic_Waste_Recycling_Fee[/url]
Hopefully, these issues can be addressed in the 2.1 upgrade.
Bob
Aren’t taxes fun?
Tool Outfitters is right. I have my test store configured exactly like this - even though it still lacks with the correct output on the frontend :(.
According to the EU distance selling law you always have to show the complete price near the product, if it includes tax and the according tax rate (which I could not accomplish in CSCart 2.0 until now).
Furthermore you have to make clear that there are still shipping costs which will be charged later at checkout, at best a link “+ shipping costs” to a page with a table of your shipping costs.
At the moment there is the problem that the output we need is written in brackets and the actual tax rate is not given, only the language variable “incl. tax”. It should be “incl. x% tax”. If this won’t be changed we will have to fiddle around in the templates.
If we have B2B customers from another EU country who have a valid VAT identification number, they don’t pay tax, but we have to indicate the VAT identification no. on the invoice:
“Your VAT ID number PL 5555555555.”
and the reason why at checkout and on the invoice:
“This is a tax-free intra-Community delivery.”
If we sell to countries outside the EU (like USA or Switzerland), we also don’t have to charge tax. If we don’t charge tax, we always have to indicate the reason near the total of the cart and on the invoice.
“This order (invoice/delivery) is tax-free.”
@Hetha: Provided that your shop is within the EU.
You will have to set up net prices, and set up shipping locations with and without vat and assign them to the tax rates.
“Price includes tax” must not be checked in tax configurations and “Rate depends on” should be “Shipping address”.
If you now have a product with e.g. 19% tax, it won’t show up tax if the customer who orders it is from a country in a locations list without tax.
Currently CS-Cart is not usable for EU companies that do work with VAT exempt customers. For three reasons:
- VAT calculation is based based upon 4 different groups of customers:
*EU Customers that have a VAT number therefore are VAT exempt.
*EU costumers that do not have a VAT number have to pay VAT.
*Customers with or without VAT number, that are located in the same country as the seller is located in, all pay VAT.
*Customers outside the EU are VAT exempt.
This is EU tax law. Having VAT customer groups is an issue that can not be avoided.
-
VAT numbers must be validated by the national tax office, before a VAT exemption can be made. This is the law. If the VAT number turns out to be incorrect, then the seller will need to pay up. The a EU has a online validation service and member state National tax offices have validation by phone.
- Another issue is that since this year, all VAT exempt invoices have to be reported to the tax office, before the 10th of each next month. I’m not sure if each and all EU member states have already started this in 2010, but the EU wants this working next year. This has to do with EU anti-VAT-fraud measures.
For this reason it is a legal necessity to have monthly VAT reports.
More information:
EU tax declarations & obligations
[url]http://ec.europa.eu/taxation_customs/taxation/vat/index_en.htm[/url]
I also have many problems setting up the tax system on cscart 2.0.15, and I’ve been modifying the codes to fix these problems.
The selection of shipping methods doesn’t show the value inc vat at the checkout page [url]http://forum.cs-cart.com/vbugs.php?do=view&vbug_id=2002[/url] when all the product costs were set up without vat.
In the front end, all the pages should be able to show all the prices in vat, including list price, price and shipping method. There are some problems when calculating the costs inc vat in checkout with multiple items as well [url]http://forum.cs-cart.com/vbugs.php?do=view&vbug_id=2003[/url]
In the UK, some products do not have vat and some of them are in different rates.
[url]http://www.hmrc.gov.uk/vat/forms-rates/rates/goods-services.htm[/url]
So I hope the next version should be able to specify the vat rate on the product itself as well as the shipping areas.
In regard with the VAT exempt, it’s not only area specific, it also needs to be product and individual specific. For someone who is suffering from a long term illness/disable, they don’t need to pay VAT for buying medical devices in the uk. [url]http://www.direct.gov.uk/en/DisabledPeople/FinancialSupport/Taxreliefandreductions/DG_10028495[/url]
[quote name=‘Miss Marple’]Tool Outfitters is right. I have my test store configured exactly like this - even though it still lacks with the correct output on the frontend :(.
According to the EU distance selling law you always have to show the complete price near the product, if it includes tax and the according tax rate (which I could not accomplish in CSCart 2.0 until now).
Furthermore you have to make clear that there are still shipping costs which will be charged later at checkout, at best a link “+ shipping costs” to a page with a table of your shipping costs.
At the moment there is the problem that the output we need is written in brackets and the actual tax rate is not given, only the language variable “incl. tax”. It should be “incl. x% tax”. If this won’t be changed we will have to fiddle around in the templates.
If we have B2B customers from another EU country who have a valid VAT identification number, they don’t pay tax, but we have to indicate the VAT identification no. on the invoice:
“Your VAT ID number PL 5555555555.”
and the reason why at checkout and on the invoice:
“This is a tax-free intra-Community delivery.”
If we sell to countries outside the EU (like USA or Switzerland), we also don’t have to charge tax. If we don’t charge tax, we always have to indicate the reason near the total of the cart and on the invoice.
“This order (invoice/delivery) is tax-free.”
@Hetha: Provided that your shop is within the EU.
You will have to set up net prices, and set up shipping locations with and without vat and assign them to the tax rates.
“Price includes tax” must not be checked in tax configurations and “Rate depends on” should be “Shipping address”.
If you now have a product with e.g. 19% tax, it won’t show up tax if the customer who orders it is from a country in a locations list without tax.[/QUOTE]
[quote name=‘Tool Outfitters’]I haven’t tried this because my store only caters to the US and I can’t test it on the demo site, but I would imagine that if you have “Display prices with taxes on category/product pages” checked with “Prices includes tax” unchecked in tax configuration with locations set up, then it should work. It’s hard to explain in words because there are many different settings to adjust.[/QUOTE]
I totally agree with you two.
And so do I
Hi to all,
Instead I would like to know why Cs-cart doesn’t never calculate VAT on the surcharge price??? It seems very goofy to me! Hope on day they’ll fix this problem too! 
Bye
Andy
[quote name=‘androquest’]Hi to all,
Instead I would like to know why Cs-cart doesn’t never calculate VAT on the surcharge price??? It seems very goofy to me! Hope on day they’ll fix this problem too!
Bye
Andy[/QUOTE]
[COLOR=“Red”]Agree with Andy, I we charge customer for example for delivery, and C.O.D. service cost me 5 bucks , I’m paying tax for those 5 dollars … but csc doesn’t count tax for it… need fix in next csc verison, other vise new invoicing system will not work as it should be [/COLOR]
[quote name=‘arunas@simonaitis.lt’][COLOR=“Red”]Agree with Andy, I we charge customer for example for delivery, and C.O.D. service cost me 5 bucks , I’m paying tax for those 5 dollars … but csc doesn’t count tax for it… need fix in next csc verison, other vise new invoicing system will not work as it should be [/COLOR][/QUOTE]
Sure they do. In your COD shipping method, tick off the Tax box.
This is not about shipping method as they are standard, but about payment method…
It is calculating shiping cost well, but there is no tax option for payment surcharge, here is the problem
It has been some time since I last visited. Has this been implemented?
[quote name='P-Pharma' timestamp='1300150675' post='106685']
It has been some time since I last visited. Has this been implemented?
[/quote]
I'm also wondering about this. I am really going nuts setting up the taxes…!
See what ms Marple wrote. This is exactly what I need to do but I can not seem to get right.
[size=“4”][/size]My linkhierhierhier[quote name='P-Pharma' timestamp='1277919585' post='83489']
Currently CS-Cart is not usable for EU companies that do work with VAT exempt customers. For three reasons:
- VAT calculation is based based upon 4 different groups of customers:
*EU Customers that have a VAT number therefore are VAT exempt.
*EU costumers that do not have a VAT number have to pay VAT.
*Customers with or without VAT number, that are located in the same country as the seller is located in, all pay VAT.
*Customers outside the EU are VAT exempt.
This is EU tax law. Having VAT customer groups is an issue that can not be avoided.
-
VAT numbers must be validated by the national tax office, before a VAT exemption can be made. This is the law. If the VAT number turns out to be incorrect, then the seller will need to pay up. The a EU has a online validation service and member state National tax offices have validation by phone.
- Another issue is that since this year, all VAT exempt invoices have to be reported to the tax office, before the 10th of each next month. I'm not sure if each and all EU member states have already started this in 2010, but the EU wants this working next year. This has to do with EU anti-VAT-fraud measures.
For this reason it is a legal necessity to have monthly VAT reports.
More information:
EU tax declarations & obligations
[url]http://ec.europa.eu/taxation_customs/taxation/vat/index_en.htm[/url]
[/quote]
Please support the new function of EU VAT submitted by me at Uservoice by giving your votes hier
Maybe CS-Cart Team will consider that if the function receives some more votes.
I also wonder about the status on this.
I have to show prices incl.tax, but only my default location shall pay the tax. I want the tax amount to be subtracted upon checkout for other locations that I have specified. Is this available yet? Or is it anyway to achieve this with some tweakes?
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Running: 2.2.3