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About this tool
Stack successive discounts, a flat coupon and tax to get the true effective discount, final price and total saved.
A cascading discount is a chain of offers applied one after another, each on the price the previous one left behind, so the effective discount is 1 minus the product of the remaining fractions — never the sum of the percentages. This calculator takes a list price, any number of stacked percentage offers, a flat coupon and a tax rate, and returns the single equivalent discount, the net price and exactly how much the naive addition overstates your saving. It is built for shoppers comparing offers and for sellers pricing a promotion stack.
Open Discount and Cascading Discount Calculator on AltFTool — it loads instantly in your browser.
Enter the values you already know.
Fine-tune the options to match your scenario.
Read the result and use it in your planning or reporting.
Each offer is applied to the reduced price, which is how successive discounts actually work at the till.
The gap between the plain sum of the offers and the real effective discount is printed as a percentage-point figure.
The flat coupon comes off after the percentages and tax is charged on the discounted value, matching normal invoice sequencing.
No — it is 60% off. The second discount is taken on the already-reduced price, so 100 becomes 50 and then 40, a total saving of 60. The single equivalent discount for two offers is d1 + d2 - (d1 x d2)/100, which here is 50 + 20 - 10 = 60%.
Multiply the remaining fractions and subtract from one: effective = [1 - (1 - d1/100)(1 - d2/100)(1 - d3/100)] x 100. Three 50% discounts give 1 - 0.5 x 0.5 x 0.5 = 0.875, so 87.5% off, not 150%.
No. Multiplication is commutative, so 20% then 10% and 10% then 20% both leave 72% of the price. The order only matters when a flat rupee coupon or a rupee cap is mixed in, because a fixed amount removed early is worth more than the same amount removed after a percentage cut.
After. Under section 15 of the CGST Act, 2017 the taxable value is the transaction value, and a discount recorded on the invoice at the time of supply is excluded from it, so GST applies to the discounted amount. Post-sale discounts are only excluded if they were agreed before the supply and are linked to the relevant invoices — confirm the treatment with your tax adviser for your own invoices.
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