Why is the tax rate showing in NetSuite off?
Overview
When calculating tax in Netsuite the tax rate being shown is incorrect but the tax amount is correct
Environment
Netsuite
Resolution
- The way the tax rate field works is it takes the Taxable amount times it by X percent to get the tax
- For example we are selling a 1$ product to Texas which is 80% taxable which comes to the tax amount of .07 cents
- This would show in NetSuite as .80 ✖ Y = .07
- Because of this logic, Y would equal 8.75 the tax amount is correct, the rate shown is off.
- This normally only happens with small values due to rounding
- This would show in NetSuite as .80 ✖ Y = .07
- For example we are selling a 1$ product to Texas which is 80% taxable which comes to the tax amount of .07 cents