Yet Another Tip Calculator
- overview
- sales tax
- splitting
- tip fraud
- tip calculation
User Guide
Sales Tax
Sales Tax Rounding mode allows you to choose the rounding mode for sales tax in your location. The laws concerning rounding of sales tax vary by region; for example, each U.S. state has different rules governing how sales tax should be rounded. It is beyond the scope of this application to track the different sales tax laws for each state, province, and country. Therefore, the calculated pre-tax amount may differ by a very small amount, usually by no more than $0.01 (or 1/100th of your native currency), from the pre-tax amount shown on your receipt. To achieve greater accuracy when calculating the pre-tax amount, you can specify how sales tax is rounded in your location:
-
Traditional: For this rounding mode, the sales tax calculation was carried to the third decimal place and rounded to a whole cent. If the third decimal place is a number greater than or equal to five, then the sales tax was rounded up. The following examples demonstrate the expected behavior for this rounding mode:
- 5.235 rounds up to 5.24.
- 0.357 rounds up to 0.36.
- 6.924 rounds down to 6.92.
- 8.240 rounds down to 8.24.
-
Up: For this rounding mode, the sales tax calculation was carried to the third decimal place and rounded up to the next cent if the third decimal place was greater than or equal to one. The following examples demonstrate the expected behavior for this rounding mode:
- 2.131 rounds up to 2.14.
- 9.291 rounds up to 9.30.
- 8.240 rounds down to 8.24.
While these rounding modes will cover many regions, they are not perfectly suited for states such as Florida, which use a bracket system for calculating sales tax. The app could have been designed to allow you to enter the exact tax amount, but doing so would clutter the interface and defeat the intended simplicity.