Is there a way to create a post-tax discount?

Is there a way to create a post-tax discount?

We're looking to accept a credit voucher from a 3rd party, but want the person redeeming the voucher to pay tax on the full amount.

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Re: Is there a way to create a post-tax discount?

Hello! While I can definitely understand how this feature could be useful in a number of scenarios, our discounts are currently only able to be applied before taxes. 

 

I'll be sure to share your feedback with our Product team!

 

PS) If my answer solved your problem, would you mind marking it as "Best Answer"? That'll help the rest of the community find what they're looking for. If not, just write back, and I'll continue to help. Thanks!

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I've turned off the auto tax and made a 'product' named tax. I figure tax my self in these situations and that way I get the correct tax. It can be time consuming, but it works for me right now. 

Hi All,

 

I run a "retainer" program where my customers sign up to be automatically charged a modest amount every month via a card on file, to accumulate a "credit balance for them to use later on our printing and photography services.

 

e.g. Client A signs up for a recurring charge of $25.00 per month and then after 4 Tmonths has a $100.00 Credit Balance to spend. Then Client A does a job that costs $125.00, at present I input their credit spend as a whole dollar amount discount on the charge.

 

The problem is that POS computes the tax due based upon the new, discounted grand total as opposed to the orignal subtotal, meaning that I cant directly charge and collect the appropriate amount of sales tax.

 

So far the best workaround I've come up with is to turn off automatic tax computation and add in a manual tax charge.

 

I've considered preemptively collecting sales tax up front and then turning off further calculations during spend but this creates the potential to collect excessive sales tax as the sale of SERVICES like head shots or retouching is not taxed (I'm reasonably sure) but the sale of hard copy prints certainly is.

 

Anyone have any thoughts?

Am I correct in assuming this is still not an option?  It's very frustrating. I don't understand why a simple slide option for before or after taxes can't be created. If a business is selling both retail itemes (taxed) and services (untaxed), we should be able to determine how a discount is applied. 

this ^^. I am a direct seller, too. When calculating my commission, my company charges tax on full retail then calculates my discount. I do the same when I offer discounts to my customers, but if I want to invoice them using Square (vital during a pandemic when the majority of our sales are NOT in person), I am forced to take a hit.
Here is an example in the way Square forces me to discount:
Product $100
Shipping $10
Discount shipping ($10)
HST $13.00
total charged customer $113.00

How I'd prefer to discount, following the method my company uses.
Product $100
Shipping $10 
HST $14.30
Discount $10
Total $114.30

I've just lost $1.30. That adds up! 
Square, please acknowledge the restrictions of the pandemic, and allow us to also offer discounts after tax. It should be a relatively simple fix.

Following this thread and adding an example of why we'd like to have this feature. We are an optometry office and we sell glasses. When a patient uses their vision plan to buy the glasses, they pay the taxes on the full amount, because the vision plan is going to pay us the allowance that is subtracted from the patient's responsibility.

Here's an example:

 

Patient buys a frame that costs $200. 

The tax on it would be about $14. 

The vision plan gives them an allowance of $130, so the patient needs to pay $70 + $14, but with a discount of $130 the sales tax is automatically reduced to $4.90.

 

We've done the workaround for the past 2 years of creating an item called "Sales Tax", adding the $14 there, then turning off the auto sales tax. It's time consuming and often confusing to the patient because they might see 2 or three sales tax items on the receipt. If we could discount one item at a time (currently not possible with variable pricing) and apply the discount after sales tax it would make our transaction easier, as well as making our sales tax much easier to calculate when we pay it to the state.