When products are purchased from the company, your business is charged tax on the full retail value of each product. If discounts are given, the sales tax needs to be calculated on the amount after the discount unless the discount is due to a manufacturer's coupon or rebate being applied (which is not applicable in MK).
Any non-recovered sales tax appears in the Sales Tax (NR) column of the Weekly Accomplishment. You can also print a report of your non-recovered sales tax for a specified date range by printing the Non-Recovered Sales Tax Summary report.
You can calculate tax on the full retail amount on individual invoices. However, we strongly recommend you contact the company, your tax professional, or your local taxing authority for more information to make sure your business handles each tax situation correctly before charging full retail tax on discounted items. View
We've included links to additional websites with the helpful information below for more information about how much sales tax to charge and when.
- Helpful Sales Tax Information
- TaxJar: How Sales Tax Applies to Discounts, Coupons & Promotions
- QuickBooks Resource Center: Do I need to Collect Sales Tax? If so, How Much?
- The Balance: How Do I Charge GST/HST on Discounts?