[ic] Re: Negative Tax - bug?

[Dan Bergan]

On 10/30/07, Mike Heins <mike at perusion.com> wrote:
> Quoting Dan Bergan (danb at berganconsulting.com):
> > On 10/16/07, Dan Bergan <danb at berganconsulting.com> wrote:
> > > I'm having an issue where negative sales tax amounts are computed.
> > > The issue arises when there is a discount on the entire order, and the
> > > products in the cart are nontaxable.
> > >
> > > A detailed description and potential solution is here:
> > > http://www.icdevgroup.org/pipermail/interchange-users/2007-May/047410.html
> > >
> > > This issue was also found here (with no resolutions):
> > > http://www.icdevgroup.org/pipermail/interchange-users/2005-September/043923.html
> > >
> > > Is this a bug?  It doesn't seem like a negative sales tax should be valid.
> > >
> >
> > Back in May, Carl had what looks to be a good solution for this
> > problem, which I am going to implement for my installation (see
> > below).
>
> It is unclear if it should be a bug at all. If you wanted to implement
> refunds, you would need negative tax.
>
> The bigger problem would seem to be the negative amounts.
>
> In any case, I have set up the ability to exclude negative tax
> amounts with:
>
>         Pragma  no_negative_tax
>
> That is in the latest CVS.
>

Mike -

Ahh... refunds -- I hadn't thought of that!  :-)

For refunds, the taxable sales amount would be negative, so the tax
would calculate as a negative.  In the case above (non-taxable
products with a discount), the taxable amount should still be zero
(not negative).

I currently don't use Interchange for refunds, but that doesn't mean I
never will!  So, I think I'll have to ponder this some more and dig
deeper into the code.

Thanks -
Dan