Incorrect Tax Calculation

  • Resolved muzammilshaikh

    (@muzammilshaikh)


    7 months ago

    Hi,

    I am facing an issue with Tax calculation. I am from India and our store is located in Maharashtra State. As per Indian GST Law, I have to add CGST and SGST for intrastate shipping while IGST will be added for interstate shipping. I added a new Tax Class “GST” and I have set tax rates as shown in the screenshot here > https://drive.google.com/file/d/1GNg8BCL3vSOubIDJAdXHUuKjaSj_CcR3/view?usp=sharing

    In WooCommerce tax settings, under tax options, I have done following settings

    Prices entered with tax: Yes, I will enter prices inclusive of tax

    Calculate tax based on: Customer shipping address

    Shipping tax class: GST

    Rounding: Round tax at subtotal level, instead of rounding per line

    Display prices in the shop: Including tax

    Display prices during cart and checkout: Including tax

    For shipping, I have added 3 different shipping zones, but I made sure all shipping charges are taxable.

    For products, I have made sure “Tax Status” is set to “Taxable” and “Tax Class” is set to “GST”

    I hope I am not missing anything else

    Now whenever I add a product to Cart and go to Checkout page, instead of adding both CGST and SGST for shipping intrastate, only CGST is being added.

    I have been facing with this issue since a couple of days. Can someone please help me fix this issue?

    The page I need help with: [log in to see the link]

Viewing 7 replies - 1 through 7 (of 7 total)
  • Plugin Support shahzeen(woo-hc)

    (@shahzeenfarooq)

    7 months ago

    Hi there!

    Thank you for sharing the details of your setup. I can see that you’ve set the priority for both CGST and SGST to 1, which is why only one tax is being applied. If you want both taxes to apply, please try setting the priority for SGST to 2.

    If that doesn’t resolve the issue, please share your System Status Report, which you can find under WooCommerce → Status.

    You can use https://pastebin.com/ or https://gist.github.com/ to share the report — just provide the link here in your reply.

    Once we have more information, we’ll be able to assist you further.

    Thread Starter muzammilshaikh

    (@muzammilshaikh)

    7 months ago

    Hi,

    So if I’m understanding correctly, I have to set CGST priority to 1, CGST priority to 2 and IGST priority to 1, correct?

    Plugin Support shahzeen(woo-hc)

    (@shahzeenfarooq)

    7 months ago

    Hi there!

    Yes, exactly — please set CGST priority to 1, SGST priority to 2, and IGST priority to 1, correct.

    Let us know if that doesn’t work for you.

    Thread Starter muzammilshaikh

    (@muzammilshaikh)

    7 months ago

    Hi,

    The issue is fixed. the product taxes are now being calculated as expected. I really appreciate your support.

    But there is one more thing related to tax. I want the Shipping rates to be “Inclusive of Taxes”. But on the checkout page, tax is being added on Shipping rate. How can I change that?

    Plugin Support shahzeen(woo-hc)

    (@shahzeenfarooq)

    7 months ago

    Hi there!

    By default, WooCommerce treats shipping rates as exclusive of tax. This means tax is added on top of the shipping cost at checkout.

    If you want your shipping price to be inclusive of tax, you can:

    1. Manually add the tax amount to your shipping rate under WooCommerce → Settings → Shipping → Shipping Zones, and
    2. Uncheck the “Shipping” column for the tax rates you’ve set under the GST tax class in WooCommerce → Settings → Tax → Standard Rates (so no extra tax is applied on shipping).

    This way, your displayed shipping rates will already include tax.

    Thread Starter muzammilshaikh

    (@muzammilshaikh)

    7 months ago

    Hi,

    As per Indian GST Law, shipping is taxed with the same rate as applied on the product, which is mandatory. So I guess I will add pre-tax amount as GST rate.

    In any case, your support really helped me out. I truly appreciate it.

    Plugin Support shahzeen(woo-hc)

    (@shahzeenfarooq)

    7 months ago

    Hi there!

    I’m really glad to hear that our support helped you resolve the issue and that everything is now working as expected. 😊

    If you have a moment, we’d really appreciate it if you could share your experience by leaving a review for WooCommerce — your feedback helps us continue improving and supporting store owners like you. You can leave your review here:
    https://ww.wp.xz.cn/support/plugin/woocommerce/reviews/#new-post

    Thank you once again for your kind words and for choosing WooCommerce!

Viewing 7 replies - 1 through 7 (of 7 total)

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