Forum Discussion

daviders's avatar
daviders
Experienced User
4 years ago
Solved

GST On Orders Not Calculating Correctly

We have a problem with the GST being calculated incorrectly when we change a sales order to an invoice.   I have attached the screen shots and procedure being used when we convert orders to invoi...
  • Emily_B's avatar
    Emily_B
    4 years ago

    Hello daviders 

     

    Thank you for sending that through. I've done a bit more digging and discovered that with Time Billing invoices, there is an issue with the 'Tax Inclusive' box being recognised properly at all times by the software. In short, even if it is unticked, the software can randomly read it as being ticked and will adjust line item prices and subsequently GST calculations accordingly. From what I understand, this can happen randomly and at different points of the invoicing process. In my software, I encountered your issue immediately upon creating the order. As in, I entered $2,600 for the generic items x2 and my GST calculated to $472.72. In order to correct this, I ticked 'Tax Inclusive' before entering $2600, and then unticked it, and the misread didn't happen. Basically, ticking and unticking 'Tax Inclusive' is a refresher of sorts so that it is read properly. 

     

    In your case, you were able to create the order successfully with $5,200 and 10% GST of $520 equalling $5,700, which is correct, but then when entering that invoice again, for whatever reason the 'Tax Inclusive' box didn't get recognised as unticked, even though it was. So then, when you were putting in the real item numbers, their prices were changed to $2,363.64 and the total GST to $472.73 in an effort for the software to reconcile the $5,200 (before tax) total on the order. Thus resulting in that -$520 apparently 'owed.' 

     

    I've attached a screenshot showing how I replicated your scenario, which is also how you would be able to workaround this in the future. When you see the GST or line item pricing change as you did in the example you sent me, you'll want to tick and untick the Tax Inclusive box and then re-enter the figures in the line item as needed. I think because you re-entered the $2,600 without ticking and unticking Tax Inclusive, the -$520 was never prompted to disappear.

     

    With all this said, I do understand this is an irritating fluke that has obviously caused you frustration and inconveinence. I have checked with another team and they are aware of this issue, but at this point I cannot provide a timeframe in which it would be permenantly fixed. I do apologise for this but I hope the workaround advised will assist you for the time being. 

daviders's avatar
daviders
Experienced User

Hi Emily_B,

 

I have attached screenshots of the setup of the generic item and the specific items.

 

We do not use standard costing and the Use Standard Cost has not been ticked.

 

I mention this, because in the past when we have brought this problem up we were told it was because there was a  value in the Standard Cost field.

 

I went and deleted all of the values in the Standard Cost field, but the field keeps being populated.

 

A possible solution we were given was to delete the line with the generic item and add a line with the specific item.

 

We tried this, but it does not change the result.

 

Just letting you know, we use  Citrix, so I do not know whether that effects your recommendation from before.

 

Regards

daviders

Emily_B's avatar
Emily_B
Former Staff
4 years ago

Hello daviders 

 

Thank you for sending that through. I've done a bit more digging and discovered that with Time Billing invoices, there is an issue with the 'Tax Inclusive' box being recognised properly at all times by the software. In short, even if it is unticked, the software can randomly read it as being ticked and will adjust line item prices and subsequently GST calculations accordingly. From what I understand, this can happen randomly and at different points of the invoicing process. In my software, I encountered your issue immediately upon creating the order. As in, I entered $2,600 for the generic items x2 and my GST calculated to $472.72. In order to correct this, I ticked 'Tax Inclusive' before entering $2600, and then unticked it, and the misread didn't happen. Basically, ticking and unticking 'Tax Inclusive' is a refresher of sorts so that it is read properly. 

 

In your case, you were able to create the order successfully with $5,200 and 10% GST of $520 equalling $5,700, which is correct, but then when entering that invoice again, for whatever reason the 'Tax Inclusive' box didn't get recognised as unticked, even though it was. So then, when you were putting in the real item numbers, their prices were changed to $2,363.64 and the total GST to $472.73 in an effort for the software to reconcile the $5,200 (before tax) total on the order. Thus resulting in that -$520 apparently 'owed.' 

 

I've attached a screenshot showing how I replicated your scenario, which is also how you would be able to workaround this in the future. When you see the GST or line item pricing change as you did in the example you sent me, you'll want to tick and untick the Tax Inclusive box and then re-enter the figures in the line item as needed. I think because you re-entered the $2,600 without ticking and unticking Tax Inclusive, the -$520 was never prompted to disappear.

 

With all this said, I do understand this is an irritating fluke that has obviously caused you frustration and inconveinence. I have checked with another team and they are aware of this issue, but at this point I cannot provide a timeframe in which it would be permenantly fixed. I do apologise for this but I hope the workaround advised will assist you for the time being. 

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