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Now let’s find out how tax is calculated when 20% tax is included in the Amazon item final price.
In this case, the Magento Product of $100 will be listed on Amazon with a price of $120.
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The way tax is displayed in the Magento Order depends on yourCalculation Settings. Configure them under Stores > Settings > Configuration > Sales > Tax.
- If the Catalog Prices are set to Excluding Tax, the tax amount will be added on top of the Magento Product price.
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- If the Catalog Prices are set to Including Tax,the tax will be calculated into the final Magento Product price.
According to the mentioned Tax Rule, the Magento Product of $100 will be listed on Amazon with a price of $100.
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