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# Calculations of Taxes

In KaHero POS, There are two types of taxes that can be applied to items.

| **Added to the Price** and **Included in the Price**

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# Added to the Price

Calculate the value of the "**Added to the Price**" tax, you have to multiply the item price by the tax rate in decimal form.  
  
Given the tax rate 25%, multiply the item’s price by 0.25. If the item is P100.00, the value of the "**Added to the Price**" tax will be 100×0.25 = PHP25.00.

![](https://storage.crisp.chat/users/helpdesk/website/fea84a7e8a4bd000/1_1rm8a4x.png)

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# Included to the Price

"**Included to the Price**" tax means that the tax has already been applied to the item price. Meaning, the price displaying on your receipt is the composition of the pre-tax price and the tax applied.  
  
Given the tax rate 25%, divide the item’s price by 1.25. If the item is P130.00, the value of the pre-tax price will be 130/1.25 = PHP104.00 and the value of the "**Included to the Price**" tax will be 130 - 104 = PHP26.00s.

![](https://storage.crisp.chat/users/helpdesk/website/fea84a7e8a4bd000/2_1vpi3c7.png)

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# Calculating Several Taxes

###### **Added to the Price**

Multiple "**Added to the Price**" taxes of items is calculated the same way as one single tax.  
  
If the item is P100.00 with "**Added to the Price**" Tax A = 25% & "**Added to the Price**" Tax B = 10%, the value of the "**Added to the Price**" tax will be 100×0.35 = PHP35.00.

![](https://storage.crisp.chat/users/helpdesk/website/fea84a7e8a4bd000/4_1858j8g.png)

###### **Including to the Price**

Multiple "**Included to the Price**" taxes of items is calculated the product of the item price and tax rate, divided by the sum of all the tax rates plus 1.  
  
Included Tax = (price x tax rate) / (1 + (Tax A + Tax B + Tax ...)  
  
If the item is P60.00 with "**Included to the Price**" Tax A = 25% & "**Included to the Price**" Tax B = 10%, the value of the "**Included to the Price**" Tax A will be PHP11.11 & Tax B will be PHP4.44.

![](https://storage.crisp.chat/users/helpdesk/website/fea84a7e8a4bd000/3_3grw9i.png)

###### **Both Applied**

"**Added to the Price**" taxes of items is calculated the product of the tax rate and item price minus the sum of the amount of all included tax.  
  
Added Tax = Added To The price x (price - (Tax A + Tax B))  
  
If the item is P100.00 with "**Included to the Price**" Tax A = 25% & "**Added to the Price**" Tax B = 10%, the value of the "**Added to The Price**" will be PHP10.00.

![](https://storage.crisp.chat/users/helpdesk/website/fea84a7e8a4bd000/5_df897o.png)