How is tax calculated when using discounts?

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Shopify Partner
66 0 9

Say I have 5 items in my cart, two of them have a 13% tax 3 of them have 5% tax.  I apply a card discount of $10   Will the discount then by divided equally among the 5 items that get discount and then calculate tax for each of the items?  I think I'm seeing something weird.

 

Here is an example: item #1 is 13% and the rest 5%

 

item #1 

$2.88×1$2.88

 

item #2

$8.95×1$8.95

 

item#3

$3.95×1$3.95

 

item #4

$3.95×1$3.95

 

item #5

$3.95×1$3.95

 

Subtotal$21.31

Discount

Discount

-$2.37

HST 13%

$0.34

HST 5%

$0.94

Total$22.59
 

 

So $2.37 is the discount. I'm not sure how the taxes are caculated can anyone tell me?

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Shopify Partner
66 0 9

I think i got it.

 

Price / Sum of Prices x Discount will give the the individual discount for each item.

so 2.88 ./ 23.68 x 2.37 = 0.29 -> 2.88 - 0.29 x 13% = 0.34

 

 

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