How to deduct a gift certificate from an invoice after tax?

[ConnieB]

I'm wondering how to deduct a gift certificate from the total order after tax. I donate $300 gift certificates for charitable auctions. When a client places an order I used to just put the $300 in as a discount, but I have been told that the $300 should be subtracted after tax. So how do I do that either on an invoice, or as point of sale (I use my phone when the client is present) transaction? I was thinking I could record it as a deposit already paid, but I don't know how to do that either. Thank you!

[ConnieB]

Adding to this question.... Is there a way to issue an invoice that shows the entire order, that a deposit was made, and the balance due?

[frances_a]

Hi @ConnieB ! 

I'm not sure I understand what you're trying to achieve. 

Do you want your customer to pay the tax? So, assuming the total is $300+tax, do you want to apply the gift card after taxes so that they pay the tax on the $300? 

Our discounts or coupons are applied to the total of the sale, so applying them after taxes is not possible. 

We are not tax experts, so I would recommend seeking an expert to advise if you need to process the discount before or after taxes. 

And yes, if you create an invoice and your customer pays the deposit, they'll have to pay the balance due on the due date for the invoice. 

Let me know if this is helpful. 

Thank you ✨