including tax refers to the total amount to be collected, and excluding tax refers to all the money belonging to the seller. Tax-included invoice refers to the total amount of price and tax, and invoices have three amounts, one is the amount excluding tax (price amount), and the total amount of tax and price and tax is the sum of the first two.
the price including tax is the price including tax. Tax-included price includes value-added tax, that is, retail price. Some goods subject to consumption tax include consumption tax in addition to value-added tax, but do not include out-of-price expenses, such as packaging and handling fees. The amount on the ordinary invoice issued by the seller is tax-included price, while the value on the special VAT invoice is tax-excluded.
Because VAT is listed separately, under normal circumstances, retail sales, sales to small-scale and individual taxpayers, extra money collected together, and goods packaging deposit are all tax-inclusive prices. However, there are also special circumstances, such as no invoice, but when VAT should be calculated as sales, it should be calculated as tax-included sales without invoice.
Extended information:
Calculation method of VAT special invoice including tax
In actual business operation, quotations are usually tax-included, because it seems to be the default hidden rule. As for the separation of tax-included price into tax-excluded price and tax, most of them are things that should be handled when issuing special invoices for value-added tax and accounting for enterprises. The process is also relatively simple. The relationship among them is as follows:
price including tax = price excluding tax *(1+ applicable tax rate)
output tax = price excluding tax * applicable tax rate
price including tax = price excluding tax+output tax
VAT is an extra-price tax, so there will be price including tax and price excluding tax when quoting. For example, the tax-included price is 11,7 yuan, and the payment amount is 11,7 yuan. In fact, the price is 1, yuan [11,7/(1+17%)], and the tax is 1,7 yuan. If the price excluding tax is 11,7 yuan, then 17% value-added tax is required to pay 1989 yuan, and the total payment amount is 13,689 yuan.
Reference: Baidu Encyclopedia-Price including tax
Reference: Baidu Encyclopedia-Income excluding tax.