SellTreez: Why Does My Sales Report and Tax Report Have Different Amounts for the Same Time Period?

Question:

Why does my Sales Report and Tax Report have different amounts for the same time period?

Answer:

The net sales amount in the Product Summary Report reflects all sales collected while the net sales amounts shown in the Tax Report automatically account for tax exemptions depending on how that tax was configured (Configurations > Config Page > Taxes > Point of Sale Tax Set Up.) For example, in California, Medical-MMID patients are exempt from sales tax on cannabis products. Certain product categories like merchandise would typically be exempt from cannabis taxes while the non-inventory category is completely tax exempt.

If you export your Sales Report and export your Tax Report for the same time period, you can see your medical customers versus adult use customers purchases’, and this workflow helps you understand and match up the omitted taxes based on the customer profile.

Example of the tax structure (this differs from county/city) - Sales Report doesn't take exemption taxes into consideration where the tax report does.