How is VAT supposed to be handled when Live Rates are used?

Hi @becosfx,

Could you share your WooCommerce Tax settings?

UPS Live Rates should display rates according to your WooCommerce Tax settings (no tax if the checkbox is not checked, with tax if the checkbox is checked).

It would have been nice to also have a way to alter the rates so I would be able to also include packaging and handling on top of Live Rates.

The option to add handling fees, is available in the PRO version of our plugin: https://octolize.com/product/ups-woocommerce-live-rates-and-access-points-pro/

Please let me know about the Tax settings, I will try to help with this.

Best regards,
Tomek

All the checkboxes for EU shipping are with VAT checked in my shop. As I said, the problem is that the net amount for UPS Live Rates come without tax. And I cannot say anywhere in the plugin that Live Rates numbers are with or without tax, like I can do in Flexible shipping, where all the amounts I introduced are with tax.

Can this be solved somehow?

In my VAT-enabled countries, Shipping with VAT is enabled; however, LiveRates from UPS are taken without VAT. Currently, the plugin or shop does not add the VAT amount to these rates. For instance, if the live rate is 10, the shop calculate 1.67 VAT to be included, as the shop is configured to input prices with VAT. The shop subtracts 1.67 from 10 as VAT. It does the right thing, because as per general setting, everything I price in the shop is with VAT.

However, I end up paying 10 + VAT for UPS services. And while I pay 2 for VAT, I can deduct only 1.67, which means the plugin leads me to a loss, on top of wrongfully display pricing with tax.

The shipping cost should have been displayed 10 + VAT for the customer.

Therefore, the plugin needs to distinguish whether Live Rates come with or without VAT.

• This reply was modified 1 year, 2 months ago by cosbe.
• This reply was modified 1 year, 2 months ago by cosbe.

Thanks for your detailed reply. The feature, from the Flexible Shipping plugin, that you are referring to is indeed not available in the UPS Live Rates plugin.

However, to better understand what you are requesting, could you please send screenshots of your Tax settings in WooCommerce:

and a sample UPS API Response from Debug mode:

We can consider implementing such a feature, we would like to replicate the configuration you described.

Best regards,
Tomek

Sure, I will do this just a bit later in the evening. However, I don’t know how I could upload an image here since the text editor here doesn’t have img handling…

In the meantime, I can confirm that my tax and Standard Rates settings are exactly like those you show in your screen captures, with the note that your screens seem to be from an older version of Woocommerce – I have 8.5.0 and there are no TABS for the settings, just text links.

Ah, and just noticed that I also have this setting enabled:
Rounding Rounding Round tax at subtotal level, instead of rounding per line

• This reply was modified 1 year, 2 months ago by cosbe.

As this forum uses Gutenberg editor, you should be able to add “Image” block after typing “/”:

Best regards,
Tomek

“/” I typed, also / but I don’t see the editor differently…

I hope these can be displayed.

https://ibb.co/j3dF6j6
https://ibb.co/RgjXFRw
https://ibb.co/Qd6fcq2
https://ibb.co/Yc67F38

• This reply was modified 1 year, 2 months ago by cosbe.
• This reply was modified 1 year, 2 months ago by cosbe.

I hope the links to the images above are relevant. I get the live rate without vat, and the shop considers it with vat included.

And this is how the shop/plugin subtracts VAT from the live rate, instead of adding to it!

https://ibb.co/MM1c2WS

(199.17 + 9.40) * 1.2 = 250.28

Shipping tax is in 41.71

Totally correct. Except I showed you that the live rate taken from UPS is 11.28 WITHOUT VAT!, and the plugin should add VAT on top of it (because I will pay 11.28 + VAT to UPS) so the shop can then subtract what the plugin added (IF). Instead, the shop acts correctly as it is set, and subtracts 20% from 11.28. So the customers pays for the shipping 11.28 including VAT, and I pay to UPS 13.54 including VAT. Do you really not see the problem?

The plugin should add shop’s VAT to the rate taken from UPS without VAT.