A Tax in NX Restaurant is a charge added to an Order based on the items of the check. Taxes are not directly attached to a Menu Item, but rather associated using a Tax Group.
A Tax contains a rate as well as a type.
- Rate
- The Tax Rate is the percentage that is calculated against the applicable menu items and used as the amount.
- Type
- Tax Type represents the calculation method that is used to calculate the tax amount. Options are inclusive and exclusive.
- Inclusive tax is where the tax is factored into the price of the item already and is not charged on top of the item.
- Inclusive tax is calculated as:
- Item Price - (Item Price / (1 + rate))
- Example:
- Item price: $5.00
- Tax Rate: 10%
- Tax Amount: $0.45
- 5.00 - (5.00 / (1 + 0.10))
- Inclusive tax is calculated as:
- Exclusive tax is where the tax rate is added to the price of the item and thus charged on top of the item.
- Exclusive tax is calculated as:
- Item Price * rate
- Example:
- Item price: $5.00
- Tax Rate: 10%
- Tax Amount: $0.50
- 5.00 * 0.10
- Exclusive tax is calculated as:
- Inclusive tax is where the tax is factored into the price of the item already and is not charged on top of the item.
- Tax Type represents the calculation method that is used to calculate the tax amount. Options are inclusive and exclusive.