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Finance | Project Operations, Human Resources, ...
Suggested Answer

Calculation of sales tax amount

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Posted on by 143

Dear All,

My objective is tax engine in D365 should calculate tax on retail price of product and then add that tax amount in product sale price. e.g.

Base Sale Price= 90

Retail Price= 100

Sales tax= 5%

Sales tax amount= 100 * 5%  (Retail price * tax%)= 5

so, Sale price charged to customer= 90+5 (sale price + tax amount)= 95

how we can achieve this result in D365 FO.

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  • Suggested answer
    André Arnaud de Calavon Profile Picture
    304,051 Super User 2026 Season 1 on at

    Hi Afazal,

    The sales tax is always calculated from the sales line amount. Not the individual prices. The discount option on the same line will not work. You can consider a work around by a second sales line with a service item and negative quantity without sales tax settings or a negative charge.

    I do assume this procedure will not be an exception in your implementation. To make it easy and having only one sales order line, you need to consider a customization.

  • Suggested answer
    saurabh bharti Profile Picture
    15,045 Moderator on at

    Can you try Calculation method on sales tax code setup in Tax module?

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