Sales Tax on Packages

Sales Tax on Packages

  • When a package is sold, the included products are displayed in Point of Sale at a single combined price but are actually being sold individually in the background.
  • Sales tax status is determined by each included product’s status (if the product is taxable or non-taxable on its own).

  • When a package price is LESS than the combined retail price of the included parts (meaning, you are selling these items for less than if you sold them individually) each item is discounted equally to reach that new package price.

  • This new adjusted price is what sales tax is based on for each included item.

  • When a package price is MORE than the combined retail price of the included parts, the opposite happens. Each item’s individual price is increased equally to reach the new combined price point and tax rate is bases on that new adjusted price.

    • Related Articles

    • Multiple Sales Tax Rates, Rental or Service Tax

      Orchid POS supports up to three sales tax rates. These are set in Office > Back Office Settings > Store Settings (click Edit icon for store location). For each tax rate, you can define which inventory types use each tax. For instance, you may have a ...

    • Edit or Update Sales Tax Rates

      To edit your sales tax rates, names, or settings go to Office > Back Office Settings > Store Settings (click Edit next to store location). Click Update at the bottom of the page to save any changes.

    • Correctly Calculating the sales tax on a trade

      1. Confirm that sales tax is set correctly in the store setup screen 2. Click the title of the item in the cart and confirm that both items in the cart are set to sales tax On 3. Review the sales tax value displayed in the cart 4. The sales tax from ...

    • Avalara Tax Integration for Orchid eCommerce

      Avalara AvaTax for Orchid Storefront Configuration/User Guide Avalara AvaTax is a cloud-based solution automating transaction tax calculations and the tax filing process. Avalara provides real-time tax calculation using tax content from more than ...

    • Trip Payments Not Showing on Sales Reports

      Any payment toward a trip or charter reservation is considered a deposit and will not show on that day's sales reports.  It will show, however, on Monies Received, Sales Tax Summary, on Travel Deposits, and in Count In/Out / End of Day. Related: ...