Understanding How Tax Is Calculated Whiles Utilizing Discounts
Question:
Why are Coupon Discounts not being taken into account when sales tax is calculated?
Response:
The scope of a discount is determined by the Discount Distribution field (go to settings>sales tax (edit)>discount distribution). When the value None is selected, discounts are not considered in the calculation of sales tax (i.e. discounts are nontaxable).
