Functioins don't want to "function"

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RickK
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I apologize in advance if this question has been asked. I have looked through several hundred pages of topics and done a search and cannot find it, so, here goes…

I’m creating an invoice for large ticket items that requires the application of three levels of taxes on the subtotal. Tax 1 is on the total amount of the item at .07. Tax 2 is on the first $1,600 at .0225. Tax 3 is on the remainder of the subtotal after subtracting the first $1,600 but, on no more than $3,200. I need to write these in a way that the entirety of the tax will show in a single cell.

So far, this is what I have:

Tax 1 – =SUM (C12*.07) (This works)

Tax 2 – =IF (C12>=1600, 1600*.0225) (This works. It still works when added to the first function.)

Tax 3 – bupkus

Apparently, I don’t understand the system enough to write a complicated function to handle the math. I’m now facing a deadline and have spent more than a week trying to find something that would work. Can anyone help?

Ratskinger
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This may help. See the edit
This may help. See the edit portion of the answer on this Post.

EDIT:
This should work for Tax 3 ( used .01 rate as example since you didn’t specify)


   =IF(A2 > 3200, 1600 * 0.01, IF(A2 < 1600, 0, (A2-1600)* 0.01))

Also I believe your Tax 2 should read:


  =IF (C12>=1600, 1600*.0225, C12 * .0225)

You accounted for > 1600 but not less than.

Ratskinger
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Here is the one line which
Here is the one line which accounts for all three taxes ( still using .01 in Tax 3):

=(C12*.07)+IF(C12>=1600, 1600*.0225, C12 * .0225)+IF(C12 > 3200, 1600 * 0.01, IF(C12 < 1600, 0, (C12-1600)* 0.01))

RickK
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Multiple tax rate.
Thank you so much Ratskinger. I really do appreciate your help. I apologize for not including more information. The third tax is limited to the first $3,200 of the purchase price. So, the tax process would look like this.

1. Tax of 0.07 on the sales price.
2. Tax of 0.0225 on the first $1,600 of that amount.
3. Tax of 0.0275 on any amount up to $3,200 of the sales price.

I think you absolutely nailed it. Need to go root through all of the balled up paper to find where I messed up. Thanks so much.

Ratskinger
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You are quite welcome.
You are quite welcome. However you did mean:

3a. Tax of 0.0275 on any amount from $1600.01 to $3,200 of the sales price.

and not:

3. Tax of 0.0275 on any amount up to $3,200 of the sales price.

The statement provided utilizes 3a and not 3 – as stated in your original question.

RickK
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Between the two amounts
Sorry it took so long to get back to you. Yes, I meant between the two amounts of 1600.01 and 3200. It’s basically a split on the first 3200 amount. However, there’s another factor that my boss wants included and that is a limit of $44 imposed on the third tax. That I simply cannot figure out. So, to recap (and hopefully remove any confusion??):

Tax 1: entire amount taxed at .07%

Tax 2: first 1600 taxed at additional 0.0225%

Tax 3: second 1600.01 taxed at additional 0.0275% (up to 3200) and no more than $44 total on the third tax.

I’m lost.

Ratskinger
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Nothing to Change!
The statement as is will produce what you want. Tax 3 is on 1600.01 to 3200.00 which is a maximum taxable amount of 1600.00 which times .0275 (NOT .0275%) is a maximum Tax 3 of 44.00!

Nothing to change.

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