Australian GST (goods and services tax)

[Redsea]

Hi, first off I gotta say even though frustrating I am having a ball with zencart.

Now the important thing. I have setup all my taxes. So Far I have under admin Location/Taxes Zones, setup the states in Australia only 8 of them so that was cool.

Under Zones Definitions I have 2 tax zones setup. A world tax zone that doesnt attract any GST, and an Australian tax zone that does attract GST.

Under tax classes, I have setup up a GST Class.

And finally under tax rates I have setup up the GST there under Australian Zones and it is set at 10%.

Now the problem is that if I create a test product and set the product net $10. Product Price Gross shows the correct amount at $11. When I preview that product to make sure the total is correct it is showing. When I preview it, it shows $13.10.

If a Product Net Price is $100, Product Price Gross shows $110 again no problems, when previewed it shows $130.97

Any suggestions? I got nothing

[Redsea]

OK some more testing and it looks as though it is tacking another 10% on top of the already gross price which includes the 10% GST anyway before previewing.

Cant find anything anywhere that owuld make this happen, but being a noob, it will be hidden somewhere I suspect

[Redsea]

Hi Guys and Gals, got most of the dramas sorted out, but during the payment stages it is displaying the GST twice and calculating it twice

Any ideas as to what would be causing this?

[Redsea]

Well I got that sorted so no dramas. I removed all my zones I created for Australia. Created my zones again for Australia, re-entered them in My Store and tadah, now it works. Dont ask me, same things have been put back, guess its just one of those things. Now if I can just get the australia post module for the international side of things working I am full steam ahead.

[southmusic]

I had the same problem where the tax was being added twice.

I realised it was because I also had an "All Zones" within the Australia zone as well as each individual state.

I originally had only "All Zones" for Australia since GST is charged everywhere. But some interstate customers weren't getting charged GST, so I created a zone for each state.

Now I have noticed that the GST is not being calculated correctly: A purchase of $130 says that GST is $13, but it should be $11.81 and I haven't been able to find any posts where this is resolved.

Would changing the tax rate to 9.09% be the most straight forward solution?

$130 / 11 = 11.81
$130 * .0909 = 11.81

[frank18]

First specify the basis for sales tax calculation:

Click on Configuration > My Store to access the My Store screen.

Set the following fields to

Basis of Product Tax - Shipping
Basis of Shipping Tax - Shipping
Display Prices with Tax - true

Add a tax class:

Click on Locations/Taxes > Tax Classes to access the Tax Classes screen.

set Tax Class Title to Taxable Goods



Add a tax rate:

Click on Locations/Taxes > Tax Rates to access the Tax Rates screen.

Then set

Tax Class to Taxable Goods
Zone to Australia
Tax Rate 10%
Description GST


Then in Locations/Taxes > Zones set all Aussie states and territories to country Australia.

That should be it.

Works for my 3 stores without fail. No taxes added to the total if the customer is from any country other than the Land of Oz.

[southmusic]

Thanks.

I realised that it was the Shipping module that needed the Basis of Tax set to Shipping.

[Jacksback2]

It seems that if new currency is selected e.g. U.S.$ from A$, price is recalculated in U.S.$ but is a higher price as it still includes GST.

If overseas customer logs in first, then price is calculated without GST.

Is there a way of having prices show up without GST for overseas currency without customer having to log-in first?

[frank18]

It seems that if new currency is selected e.g. U.S.$ from A$, price is recalculated in U.S.$ but is a higher price as it still includes GST.

If overseas customer logs in first, then price is calculated without GST.

Is there a way of having prices show up without GST for overseas currency without customer having to log-in first?

Principally YES, but it would require some coding based on the visitor's IP address.

Legally NOT.

Reason being that the ATO requires you to display your prices including GST. You need to charge GST if you ship your products to an Aussie destination (unless the products are classified GST free). You don't need to charge GST if the products are being shipped to an OS destination. This can only be determined when the customer logs in and specifies his/her shipping address during checkout.

You could have a customer who is an Aussie citizen and lives and works in the USA. If this customer requires his order to be shipped to the USA then there is no GST being charged. Now, this same customer travels to Australia and wants his order to be shipped to an Aussie hotel address. In that case you need to charge GST to the customer.

The same scenario has happened to me a number of times as I do have a customer who frequently travels between the USA and Australia. He usually places an order for his herbal supplements before he travels to Australia and has his products delivered to his hotel in Australia. In this case the IP approach would not work - it would be illegal.

Hope this makes sense

[epools]

Redsea,
It was my impression that only the final price had to include GST? Hence you could have a ex-gst price + gst = inc-gst price.
This is the way at least I remember reading the implementation at the time.
This way the internationals could at least see the tax exclusive price without needing to login.