TIW -20% before or after tip?

[Melani]

I think this has been answered before, but

Do they take the 20% off before or after adding in the tip or taxes?
If after, is it 18% w/ or w/o discount or taxes?

I am trying to compare dining discount options.

What about the 10% discount for DVC or AP, do they take that off before or after?

I was making a chart & when I looked at discount after tip vs before that's $2.715 on $75 meal. It could add up.

I doubt we break even on the cost of the card on this trip and since they blackout some days of our Dec trip, I thought I'd better run some #s.

 

[Brian Noble]

For DDE, my recollection is that tax is charged on the post-discount amount, but the 18% service charge is based on the pre-discont/pre-tax amount.

So, if your bill is $100, your total would be:

($100 - $20) * 1.065 + ($100 * 0.18)

I'm not sure about the tax part, but absolutely certain about the service charge---whenever your meal is discounted in some way, it is customary to tip on the pre-discount total.

For a DVC or AP discount, it doesn't matter, because the service charge is not automatic unless you have six or more in your party. In that case, I'd be pretty sure that the service charge would be on the pre-discount/pre-tax amount as well.

 

[RobDoc]

As Brain noted, the discount is applied first and then the balance is taxed. The tip is now automatically added at 18% for TIW members. If you want to add additional gratuity you can do that, but be aware that the total bill will already include the 18%.

 

[Melani]

so the tip is non taxable?

$100
-20
===
$80
+ 5.20 (6.5% tax)
+18 (tip)
===
$103.20

 

[CarolMN]

so the tip is non taxable?

$100
-20
===
$80
+ 5.20 (6.5% tax)
+18 (tip)
===
$103.20

Yes, that is correct.