Taxes ar enot calculated correct (Greece)

Spartan
Excursionist
22 0 3

Hello, I am facing an issue regarding taxes.

I made some testing orders and the taxes are not calculated correctly.

I have set the tax rate to 24% for Greece ( I choose to override taxes in EU). Also, i have chosen to calculate tax to products and to shipping rates.

So for a total of 19.84€ (18.34+1.50 shipping) the calculated tax according to Shopify is  3.84€ . But the tax is not correct. The right tax amount is 4.76€.

Could someone tell me why this happens? As i understand it calculates a tax rate of 19% instead of the 24%.
Does this has to do with any settings or is a bug of Shopify?


I attach 2 pic to see what i mean.


TAX SETTINGS.jpgPAYMENT TAX.jpg

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pvoulg
Shopify Partner
173 26 49

Hi @Spartan

The calculations seem to be correct. Both your subtotal and the shipping rate are tax included. Therefore it's calculating €19.84 divided by 1.24, which is €3.84. 

Do you intend for it to calculate something differently (such as showing product prices without tax)?

Panos Voulgaris
Creative director / Partner @ MALVI
Founder @ function( )
Spartan
Excursionist
22 0 3

Hello, 

 

I just saw your message to my accountant and he said that it was his mistake as he understood that I want to add the 24% to the total amount and not to calculate it.

So calculating is correct. 

 By the way. If I deactivate the option to charge tax to shipping I guess the tax remains the same to the checkout. Does this has to do with any other settings?

 

Thanks in advance, 

Triantafyllos Anastasiou 

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pvoulg
Shopify Partner
173 26 49

It needs to be checked for some countries that need to calculate taxes separately (such as US, Canada, India, etc). It doesn't affect your setup for Greece either way (your shipping rate will be considered tax included).

 

Panos Voulgaris
Creative director / Partner @ MALVI
Founder @ function( )