Including Tax with Recurring Billing?

[DFresh]

Hello All,

Is there a way to have tax charges added to a subscription amount and then passed off to the gateway provider? So the customer gets charges the amount of the product/service and the tax information. Currently I can only pass the subscription information/amount off to the gateway and the tax is charged once as a separate charge.

Current Behavior:
Customer orders Subscription to widget for $10.00 a month. Customer is charged sales tax of 10% for the initial charge. Customer continues to get charged 10.00 per month.

Desired Behavior:
Customer orders Subscription to widget for $10.00 a month. Customer is charged sales tax of 10% in addition to the $10.00. Customer continues to get charged $10.10 per month (Amount of subscription and tax).

Any help would be greatly appreciated.

Thanks!

[Shopping Cart Admin]

Hello,

Perhaps a simple workaround would be to make the product non-taxable, and include the tax in the price of the product.

[natemeyer]

I'm a little disappointed with this reply from the company. I depend on having a working subscription billing system. It's the most vital piece of the billing system.
The recurring subscription capability was the #1 feature that I used to choose Able Commerce over other web stores. If it can't handle it, then since it's a required feature I would have no choice but to look somewhere else.

The problem with including tax in the product price is that tax is only required when shipping to a few states.
For example I only have to pay sales tax when shipping to customer addresses in states where I have a distribution center.
So only a portion of my orders require me to collect and pay tax. Tax collections and payments to the states are accounted for separate from the actual product orders. So mixing them together is a bad idea from an accounting perspective.

Building the shipping price into the product price is unfair and anti-competitve for customers outside my local state.
It makes my product look more expensive than it is due to tax regulations outside my control.
From an accounting perspective it's very complicated to have tax built into the product price, especially when you don't pay tax on all items shipped.

It also doesn't cover the case when shipping the same product at a wholesale price to another business, in which case there is no tax collected for any state.

Please have someone respond to this topic who understands the problem of recurring orders and if necessary fix the problem with Able Commerce so it can accurately re-order the same product sale automatically INCLUDING any applicable shipping and sales tax.

At the very least, respond and let us know how Able Commerce is supposed to handle this use case. And if it's decided that Able Commerce won't be able to handle this use case appropriately, we need to know that too.

So far I'm pretty happy with Able Commerce 7.0 and just paid the full purchase fee. If AC 7 can't handle this feature, then I'll be looking for a return / refund so I can purchase a web store that has this critical function working.

So far I'm still a very happy customer, but that might change depending on the response to this topic.
Thank you for your attention on this topic.

With respect,

- Nate

[Will]

Hi Nate,
We've run into a similar problem with this. AbleCommerce can't add sales tax or shipping into the recurring amount that gets sent to the cc processor, so the recurring billing functionality doesn't work for us. Not sure how it would work for products that have sales tax and shipping costs based on weight -- meaning most products.

We can't include tax in the price for legal and accounting reasons. If we include shipping in the total price, the shipping charges get crazy very quickly.

To their credit, Able did a custom build for us this summer that was supposed to address these issues, but it currently is too buggy for production and they haven't had time to work on it.

We're too far in to back out at this point and have had to set this feature aside for now. One route might be buying the source code and having a programmer add that functionality.

It's the biggest problem we've had w/AC so far. Otherwise, it's been good to us.

- Will

[sswilli99]

Is this topic going to be replied to or are the people that planned on using the recurring order function for actual products just out of luck?

I am very interested in the outcome of this topic as it seems the answer from the admin was far from feasable.

Thanks,

Shawn

[Shopping Cart Admin]

Hello All,

This is working as designed, I checked into it further. The team is finishing up 7.1 and after it's completed we'll see if this is something that is patchable.

[sswilli99]

Hi, just checking in to see if this is something that the developers can look into now, as I am very anxious to see if this can be fixed.

Thanks,

Shawn