Invoice tax and discounts
On Total adds tax to the whole invoice, Per Item only to ticked rows, Deducted subtracts it (withholding). Discounts are a percent or a flat amount.
| Tax type | What happens |
|---|---|
| On Total | Tax is added on the items ticked TAX (all of them by default), after the discount. |
| Per Item | Tax is worked out and rounded for each line ticked TAX. |
| Deducted | Tax is worked out the same way but subtracted from the total, for withholding taxes. |
| None | No tax line. |
Discount: choose Percent (for example 10% off the subtotal) or Flat Amount (for example $50.00 off).
Example: two items of $500.00, a 10% discount and 8% tax On Total. Subtotal $1,000.00, discount $100.00, tax $72.00, total $972.00.
We don't decide which tax applies to your sale. Check the rules where you and your client are.
Still stuck? Email support@paystub.biz or see the FAQ.