Tool · Pricing · Panama

Price with ITBMS and real margin

The margin you think you have and the one left after ITBMS and the card fee are not the same number. Here is the real one.

ITBMS rates: 7% general · 10% alcoholic drinks and lodging · 15% tobacco (Tax Code art. 1057-V) · Computed in your browser

Compute your price

What the product or service costs you (B/.)

Margin you want on the pre-tax price (%)

ITBMS rate

Card fee on the total charged (%)

Or the other way: shelf price you already charge, with ITBMS (B/.)

Enter cost and margin, or the shelf price.

Margin on the pre-tax price (not on cost). The card fee is charged on the total with ITBMS, which is why it bites the margin more than it seems. ITBMS is not your income: you collect it for the DGI. Confirm your product's rate with your accountant.

Why is the real margin lower?

Because the card fee is computed on the total with ITBMS, and the ITBMS is not yours. A 40% margin on paper can end up at 35% or less after the card terminal.

Example: a product that costs you B/. 6.50 with a 40% margin sells for B/. 10.83 before tax, B/. 11.59 with 7%. If the customer pays by card at 3.5%, the fee is on 11.59, not on 10.83: you keep B/. 3.93, not B/. 4.33. That is a 36% margin, not 40%.

How to use it

To set a price: cost + the margin you want → price without and with ITBMS, and the real margin with card.
To review a price you already charge: type the shelf price and see how much is base, how much ITBMS and how much you keep.
To compare rates: change the rate and watch the final price move without touching your margin.

Source: Tax Code art. 1057-V; DGI, ITBMS instructions. This tool informs; it does not replace your accountant.

In Tadpole every product keeps its ITBMS rate and its cost; the point of sale breaks the tax out on the ticket and the real margin shows up in reports without a calculator.

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