Incorrect tax calculation
We have a requirement to configure a compounding inclusive tax. The required calculation as follows.
-Net Amount 100.00 -Service Charge(Net Amount x 10%) 10.00
-TDL(Net Amount x 1.02%) 1.02
-NBT (Net Amount + Service Charge + TDL) x 2.04% 2.26
-VAT(Net Amount + Service Charge + TDL + NBT) x 15% 16.99
-Gross 130.28
I have define the compounding precedence as 3,2,1 for taxes Service Charge,TDL,NBT respectively. However when I entered a transaction value as LKR 130.28 and simulate the AR invoice transaction Service charge value was 10.02. The taxable amount was 100.21. Herein It should be 100.
Kindly advice