Shipping Including Tax

[christopher_oliver]

We're working on 2.4 with shipping costs. We have free shipping at all orders £40 and over. This is set in Matrix Rates tablerates.csv. The problem is that is it excluding tax in the rule. So an order that is £40 and above should bring up the free postage option but it doesn't until you reach approx £47 (£7) tax. We need the tax to be included in the overall order value to calculate shipping correctly. How do we go about doing this? Matrix Rates support informed me that this is something that needs to be done in Magento and can not be done via tablerates.csv.

[shaunrealbfee5]

Are you displaying tax inclusive prices in your catalog/shipping? Stores > Configuration > Sales > Tax

I personally think this is a bug introduced since 2.3.5 that has not been addressed as yet by the devs. Magento seems to use the tax exclusive price to calculate whether discounts apply despite whatever settings you have chosen in configuration.

https://github.com/magento/magento2/issues/28472

https://github.com/magento/magento2/issues/29740

https://github.com/pixelhed/magento2/pull/1/files

As described here, commenting out lines 599-600 in file

vendor/magento/module-tax/Model/Sales/Total/Quote/CommonTaxCollector.php

addressed this issue for me. But it is only a short-term solution, your mileage may vary.

Tax is just one of those things that proves very difficult for programmers as its application varies widely dependent on user country.

[christopher_oliver · Accepted solution]

Since upgrading to Magento 2.4.1 this seems to have been fixed. From 2.4.1 Release Notes:

• Magento now calculates shipping table rates correctly after upgrade. Previously, shipping table rates were calculated based on net price, which excluded VAT.

[VincentKel3fa8]

From what I know, the new Matrix Rates' update includes the tax in the price. If you didn't make it or it doesn't work for you, you have to change it. You could ask an advisor to help you develop software to calculate it or find new apps that do. At the moment, most of my international deliveries are from a Chinese delivery company. I like it because it includes the final price taxes and has speedpak tracking. Taxes are essential and should be calculated correctly. However, this is not something the customer has to do.

[luciferben978f]

To include tax in the overall order value for accurate shipping calculation, you need to adjust the configuration in Magento rather than tablerates.csv. Go to your Magento admin panel, navigate to Stores > Configuration > Sales > Tax. Ensure that "Catalog Prices" and "Shipping Prices" are set to "Including GST." This configuration aligns the tax calculation with the overall order value, resolving the issue with free postage options not triggering at the correct threshold.