How is gross to net formula calculated under expenses?
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The "gross to net" formula instructs Web TimeSheet how to calculate backwards from the gross (total expense amount) to the net (pre-tax amount) for an individual expense. Providing this formula will ensure expense amounts are correct, whether the user enters the net or the gross amount for a specific expense.
Below is the expansion of the formula on how gross to net is calculated in the help section.
Considering that tax is 7% of Net
Gross = Tax + Net
Tax = 0.07*Net
Substituting Tax with the formula mentioned above,
Gross = 0.07*net+Net
Gross = Net(0.07+1)
Gross = Net * 1.07
Net = Gross/1.07
More information about gross to net formula is available in the below page.