Example for VAT Metrics and Calculations

The following sample check illustrates several VAT metrics.

The three tables below provide details for each line item in the sample check. Each table notes a different line item with sales and operational metrics and their calculations. The image below the tables displays this information in a different format.

Table 1-1 Menu Item: Roederer Cristal for 120.00

Metric	Amount or Calculation
Gross Sales before Discount	Sum of menu items. 120.00
Menu Item VAT (before Discounts)*	The sum of menu items subtracted by the sum of menu items divided by 1 plus the tax rate. 120.00 - ((120.00 ÷ (1 + 20%)) = 20.00
Net VAT before Discount*	The sum of menu items subtracted by the sum of menu items VAT. 120.00 - 20.00 = 100.00

Table 1-2 Discount: 50% Discount for -60.00

Metric	Amount or Calculation
Total Discounts	Sum of discounts. -60.00
Discount VAT*	The sum of discounts subtracted by the sum of discounts divided by 1 plus the tax rate. -60.00 - (-60.00 ÷ (1 + 20%)) = -10.00
Discounts less VAT*	The sum of discounts subtracted by the sum of discount VAT. -60.00 - (-10.00) = -50.00

Table 1-3 Tax and Sales Total: Total for 60.00

Metric	Amount or Calculation
Gross Sales after Discount	Sum of menu items plus the sum of discount. 120.00 + (-60.00) = 60.00
VAT Total	Sum of menu item VAT plus the sum of discount VAT. 20.00 + (-10.00) = 10.00
Sales Net VAT	Sum of menu items plus the sum of discounts subtracted by the sum of menu item VAT plus the sum of discount VAT. (120.00 + (-60.00)) - ((20.00) + (-10.00)) = 50.00