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Documentation

Finalizing Draft Invoices

Invoices are initially created with a draft status, and this is the only state in which an invoice can be edited or deleted. Once an invoice is ready to be paid, it should be finalized. This sets its status to open. Subscriptions automatically create draft invoices during each billing cycle. The subscription's simultaneous_invoice field determines when the invoice is automatically finalized.

The Finalize Method

You can finalize an order or a subscription invoice via the Finalize method

Restrictions on Finalized Invoices

After an invoice is finalized, it can no longer be deleted and its final status can be one of the following:

  • Paid

  • Uncollectible

  • Void

Calculation of Invoice Total

The total amount due under an invoice is calculated as follows:

  1. The subtotal is the sum of all invoice lines. An invoice line describes the amount to pay for an invoice_item or a subscription_item.

  2. The subtotal is reduced by the amount of the discounts available to the subscription.

  3. The adjusted subtotal is multiplied by the tax rate, which produces the amount of tax due.

  4. The total amount due is the sum of the tax and the adjusted subtotal.

The discount is calculated as a percentage or a fixed monetary amount, depending on the settings of the amount_off or percent_off fields of the coupon object.

Percentage Discount

When the discount is a percentage, the formula is as follows:

TInvoice = ( (sum(ItemsSubscription) + sum(ItemsInvoice) ) x ( (100 - DPercent) /100) ) x (1 + (RTax / 100) )

where:

  • TInvoice is the total due under the invoice.

  • ItemsSubscription is the charges for all the subscription items.

  • ItemsInvoice is the charges for all the invoice items.

  • DPercent is the percentage discount.

  • RTax is the tax rate as a percentage.

Fixed Discount

When the discount is a fixed monetary amount, the formula is as follows:

TInvoice = ( sum(ItemsSubscription) + sum(ItemsInvoice) - DFixed ) x (1 + (RTax / 100) )

where:

  • TInvoice is the total due under the invoice.

  • ItemsSubscription is the charges for all the subscription items.

  • ItemsInvoice is the charges for all the invoice items.

  • DFixed is the fixed discount.

  • RTax is the tax rate as a percentage.

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