How Is This Tax Amount Calculated?

[ajnealey]

Hey Folks,

My wife and I have been pulling our hair out trying to figure out how Mitchell has calculated the tax amount on one of our invoices. We manually type in each invoice into quickbooks to track. We just type in each GL code on the bottom of each invoice. For example, we type in the labor, parts, shop supplies, environmental charges, etc and Quickbooks always calculates the tax. With only one invoice, Quickbooks is not totaling the tax correctly and I'm coming on here for some guidance. Here is the breakdown on the invoice:

Labor: $426.74
Parts: $330.53 ***($4.29 of this total comes from a Technical Resource Fee that is not taxed - we confirmed in the invoice that it wasn't taxed, so total taxed parts comes to $326.24)***
Sublet: $90.00
Shop Supplies: $24.67
Environmental Charge: $4.19

Discount: $25 Off Parts
Subtotal: $851.13
Tax Total: $20.17
Grand Total: $871.30

In the state of Maryland, we have a 6% tax on parts only. I cannot for the life of me figure out how Mitchell calculated the $20.17. I'm off a few cents anyway I try to calculate it.

I've confirmed the vehicle and customer has tax applied for parts only.

Any help would be greatly appreciated.

Thank you!
AJ and Stephanie

[ajnealey]

To come to $20.17, that means Mitchell is taxing $336.17 and I'm not sure how to arrive at that total.

[Johnny5]

How are your shop supplies and hazmat setup?

[ajnealey]

Shop supplies is set up as 3% of parts and labor with a minimum of $2.08 and caps at $38.92. Shop supplies is taxable.

Hazmat is set up as 1% of labor only. Minimum of $1.07 and caps out at $6.58. Hazmat is NOT taxable.

Any help would be greatly appreciated!

AJ

[Johnny5]

I tried to duplicate this on my system but must be missing something, my totals are way different. Try this - open the invoice from history and Hit CTRL-F10 , that will print an audit trail of the invoice.

[ajnealey]

I've tried hitting Control F10 after opening the invoice in the customer's history but nothing is happening. No windows are opening.

[ajnealey]

Ah, had to unpost invoice. Found it. It is attached below. Thought we figured it out as the discount states that it's actually a $10 discount on labor and a $15 discount on parts. Even when that is factored in, it still doesn't make sense. Another set of eyes would be great.

Thanks for looking into this!
AJ

[ajnealey]

I've still been messing with this. Something is very strange.

If you look at the attached document and look at the 4 parts lines towards the end, the calculated tax amount is incorrect.

For example, The first part is $106.74, but the calculated tax amount below it is $6.11. Our state sales tax is 6%. It should be $6.40.

So, the 4 taxed parts come to a total of $326.24 (The TECHRESOURCEFEE is a non taxed part). State sales tax on those parts should be $19.57. Mitchell has calculated it at $18.69.

Again, very strange. The $25 discount applied is for $10 off labor and $15 off parts. We do not tax labor in this state.

Your help would be greatly appreciated.

Thanks!
AJ