Product custom option pricing ignores tax calculation settings

[bentideswell]

Preconditions and environment

• Magento version: 2.4.6

Steps to reproduce

1. Create new simple product and set price as 0.00 and add a custom option with a fixed price of $10.00
2. Navigate to Stores > Configuration > Sales > Tax
3. Change 'Calculation Settings > Catalog Prices' to 'Includes Tax'
4. Change 'Price Display Settings > Display Product Prices in Catalog' to 'Including Tax'
5. Change 'Shopping Cart Display Settings > Display Prices' to 'Including Tax'
6. Change 'Default Tax Calculation Destination' to 'United Kingdom'
7. Setup a 20% tax rule that is auto applied to the United Kingdom.
8. Browse to the product on the frontend and view the option price

Expected result

The website is configured to input prices including tax and then display them including tax. The product has a price of $0.00 and the option has a price of $10.00 so the option should display at $10.00. When added to the cart with this option, the price should be $10.00.

Actual result

The option price is $12.00 (assuming a 20% tax rate), which is incorrect. Product pricing is configured to be entered including tax so the $10 entered for the option should not have tax added to it.

Additional information

I first noticed this bug on 2.4.3-p3 but have tested this on a 2.4.6 CE install for this bug report and confirm it is still there.

When product prices are entered inculding tax and configured to display including tax, tax is added to option price, which is incorrect as this has been entered including tax.

I have since noticed that this bug only exists when setting the tax rule for the UK (which is what my client uses). When using the US, this does not occur. The only difference here potentially is the State field.

As a workout around users must enter their product custom option prices excluding tax. This is confusing as all other pricing on the site is entered inclusive of tax.

Release note

No response

Triage and priority

• Severity: S0 - Affects critical data or functionality and leaves users without workaround.
• Severity: S1 - Affects critical data or functionality and forces users to employ a workaround.
• Severity: S2 - Affects non-critical data or functionality and forces users to employ a workaround.
• Severity: S3 - Affects non-critical data or functionality and does not force users to employ a workaround.
• Severity: S4 - Affects aesthetics, professional look and feel, “quality” or “usability”.

[m2-assistant]

Hi @bentideswell. Thank you for your report.
To speed up processing of this issue, make sure that the issue is reproducible on the vanilla Magento instance following Steps to reproduce. To deploy vanilla Magento instance on our environment, Add a comment to the issue:

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[bentideswell]

@magento give me 2.4-develop instance

[magento-deployment-service]

Hi @bentideswell. Thank you for your request. I'm working on Magento instance for you.

[m2-assistant]

Hi @engcom-Bravo. Thank you for working on this issue.
In order to make sure that issue has enough information and ready for development, please read and check the following instruction: 👇

• 1. Verify that issue has all the required information. (Preconditions, Steps to reproduce, Expected result, Actual result).
• 2. Verify that issue has a meaningful description and provides enough information to reproduce the issue.
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[magento-deployment-service]

Hi @bentideswell, here is your Magento Instance: https://ab81156ae7abd5c9da29e584face3978.instances-prod.magento-community.engineering
Admin access: https://ab81156ae7abd5c9da29e584face3978.instances-prod.magento-community.engineering/admin_c6dc
Login: 422e9745
Password: 07ec4d0bca87

[bentideswell]

Issue recreated using the provided Magento instance here

You can see option price being displayed as $12.00 but price was entered as $10.00.

I had to change the tax country and default country to the United Kingdom as setting it as the United States didn't trigger the error. I've edited the initial comment/steps to include this. I've also tried using France and Ireland and both also had the bug present. Only the US did not.

[engcom-Bravo]

@magento give me 2.4-develop instance

[magento-deployment-service]

Hi @engcom-Bravo. Thank you for your request. I'm working on Magento instance for you.

[magento-deployment-service]

Hi @engcom-Bravo, here is your Magento Instance: https://ab81156ae7abd5c9da29e584face3978.instances-prod.magento-community.engineering
Admin access: https://ab81156ae7abd5c9da29e584face3978.instances-prod.magento-community.engineering/admin_82e0
Login: d8e60e0c
Password: 2f708bcd0126

[bentideswell]

@engcom-Bravo If it's helpful, I have an instance here that is configured to replicate the bug.

The option price was entered as $10 and product pricing configured to be entered inclusive and display inclusive, so it should display as $10, but you can see it as $12 in the custom options dropdown.

[engcom-Bravo]

Hi @bentideswell,

Thank you for reporting and collaboration.

Verified the issue on Magento 2.4-develop instance and the issue is not reproducible.Kindly refer the screenshots.

Steps to reproduce

• Create new simple product and set price as 0.00 and add a custom option with a fixed price of $10.00
• Navigate to Stores > Configuration > Sales > Tax
• Change 'Calculation Settings > Catalog Prices' to 'Includes Tax'
• Change 'Price Display Settings > Display Product Prices in Catalog' to 'Including Tax'
• Change 'Default Tax Calculation Destination' to 'United Kingdom'
• Setup a 20% tax rule that is auto applied to the United Kingdom.
• Browse to the product on the frontend and view the option price

We have created tax rule for united kingdom and default country set to united kingdom.The custom Price showing $ 10.00.

Kindly recheck the behaviour on Magento 2.4-develop instance and elaborate steps to reproduce if the issue is still reproducible.

Please let us know if we are missing anything.

Thanks.