Who Is This For?
StoreHub merchants in the Philippines with BIR (Bureau of Internal Revenue) enabled accounts who use Beep Cashback alongside special discounts for senior citizens, persons with disabilities (PWDs), national athletes/coaches, and Medal of Valor holders.
Overview
In the Philippines, your customers still earn Beep Cashback when they get a special discount, such as a senior citizen or PWD discount. However, they cannot use their cashback on that transaction. BIR rules do not allow double discounts, so your customers must choose the special discount or another discount.
This article explains how cashback is calculated when special discounts are applied, and how to handle transactions where both cashback and special discounts are involved.
Before You Begin
Beep Cashback must be enabled in your BackOffice. See this article for setup instructions.
BIR must be enabled on your account. See this article for more details.
Update your StoreHub POS app to the latest version.
Step-by-Step Guide
Understand the No Double Discount Rule
BIR mandates that when a special discount is applied, no other discount can be combined with it. Your customer must choose one of the following (whichever has the higher value):
A special discount (senior citizen, PWD, national athlete/coach, or Medal of Valor holder)
Any other discount, such as using their Beep Cashback balance or a merchant promotion
If your customer chooses a special discount, they still earn cashback on that transaction, but they cannot use their cashback on it. Your POS does not let you apply cashback once the special discount is added. If your customer chooses to use their cashback or a merchant promotion instead, do not add the special discount. Treat it as a normal transaction.
How Cashback Is Calculated with Special Discounts
When a special discount is applied, cashback is calculated based on the final payment amount (tax inclusive) after the discount has been deducted.
Calculation Example
A transaction where 1 adult and 1 senior citizen (2 customers total) each purchase a hamburger priced at PHP 100 (tax inclusive):
Step 1: Determine the tax-exclusive price.
Customer | Tax-Inclusive Price | Tax-Exclusive Price |
Adult | PHP 100 | PHP 89.29 |
Senior Citizen | PHP 100 | PHP 89.29 |
Step 2: Calculate the senior citizen discount.
The 20% senior citizen discount is applied to the tax-exclusive price, divided proportionally by the number of eligible customers:
Senior Citizen Discount = Tax-exclusive price x 20% x (number of SC/PWD customers / total customers)
= PHP 89.29 x 20% x (1 / 2)
= PHP 8.93
Step 3: Calculate the final amount.
Final Amount = Tax-exclusive total - Senior Citizen Discount
= PHP 89.29 - PHP 8.93
= PHP 80.36
Step 4: Calculate the cashback earned.
If your cashback rate is 5%:
Cashback Earned = Final Amount x 5%
= PHP 80.36 x 5%
= PHP 4.02
Line Item | Amount |
Subtotal (tax inclusive) | PHP 100.00 |
Tax-exclusive total | PHP 89.29 |
Senior Citizen Discount (20%) | - PHP 8.93 |
Final amount | PHP 80.36 |
Cashback earned (5%) | PHP 4.02 |
Note:
The cashback is always calculated on the final payment amount after the special discount has been applied, not on the original price.
Process a Transaction with a Special Discount
1. On your POS Register, add the items to the order as usual.
2. Add the special discount for the eligible customer (e.g. senior citizen or PWD discount).
Note:
If your customer prefers to use their cashback or a merchant promotion instead of the special discount, do not add the special discount. Process the transaction normally. They still earn cashback on the final amount they pay.
3. Complete the payment. The cashback earned will be calculated on the final amount after the special discount.
4. The customer receives their receipt with a QR code to claim their cashback.
Troubleshooting
Use this table to fix common problems with Beep Cashback and senior citizen, PWD or other special discounts on your POS.
Problem | Solution |
Customer wants to use both cashback and a special discount on the same transaction | BIR rules do not allow both, but your customer still earns cashback when they get a special discount. Ask them to choose the special discount or another discount (such as using their cashback balance), whichever has the higher value. |
Cashback amount seems lower than expected after a special discount | Cashback is calculated on the final payment amount after the special discount has been deducted, not on the original price. This is correct behaviour under BIR rules. |
POS does not show the option to apply for a special discount | 1. Update your StoreHub POS app to the latest version. 2. In your BackOffice, go to 'Settings'. On the 'Account Settings' page, scroll down to the 'Danger Zone' section to find 'Enable BIR Compliant Settings'. 3. If it is not enabled yet, follow How to Enable BIR Compliance and Configure Receipt Details before you turn it on, because turning it on permanently removes your past transaction data. |
FAQs
1. Can a customer use both cashback and a senior citizen discount at the same time?
No, your customer cannot use or redeem their cashback on a transaction with a senior citizen, PWD, national athlete/coach or Medal of Valor discount. They still earn cashback on that transaction. BIR rules do not allow double discounts, so they must choose the special discount or their cashback, whichever gives them the higher value.
2. How is cashback calculated when a special discount is applied?
Cashback is calculated on the final payment amount (tax inclusive) after the special discount has been deducted. See the calculation example above for a detailed breakdown.
3. What if my customer does not want the special discount and prefers to use their cashback instead?
Do not add the special discount. Process the order as a normal transaction so your customer can use their cashback. They still earn cashback on the final amount they pay.
4. Which types of special discounts does this apply to?
This applies to BIR-mandated special discounts for senior citizens, persons with disabilities (PWDs), national athletes/coaches, and Medal of Valor holders.
5. What POS version do I need for this feature?
Update your StoreHub POS app to the latest version.
Need Help?
Contact StoreHub Support via live chat in your StoreHub app or email [email protected].
Was This Article Helpful?
Let us know below or contact support for further assistance.