Deposit Recalculation Based on Tax Exemption and Tax Class Changes

Stay is enhanced to automatically recalculate the deposit amount when tax exemptions or tax class configurations are modified after a reservation is booked. This enhancement ensures the accuracy of the deposit amount when tax rules are modified after booking.

This enhancement is applicable only when taxes are included in the deposit policy associated with the reservations.

Deposits are recalculated when any of the following modifications are made after a reservation is booked:

• Removal of tax exemption for all dates

• Addition of tax exemption for all dates

• Addition or removal of tax classes at the date level

Both scheduled and immediate deposits are recalculated when any of the mentioned modifications are done.

Deposit Recalculation

Removal of Tax Exemption After Reservation Confirmation

Scheduled Deposit

When tax exemption is removed, the deposit amount is recalculated for the updated estimated total based on the deposit policy associated with reservation.

Consider the following example where,

• Original estimated total (tax‑exempt): $1,000

• Deposit policy: 50% at booking

• Deposit collected: $500

• Tax exemption removed → New estimated total: $1,200

• Recalculated deposit: $600

In this case, an additional deposit amount of $100 is required. This amount will be collected from the guest as follows:

• When a future deposit schedule exists, the excess amount is added to the next scheduled deposit, regardless of charge type.

• When no future deposit exists (or it is already paid), the remaining amount is collected at date roll or check-out.

• All other deposit schedules remain unchanged.

Immediate Deposit

For the same example, when the recalculated immediate deposit exceeds the amount already collected:

• The difference amount will be collected at date roll or check-out when no future schedule exists.

• No additional deposit due is created.

Addition of Tax Exemption After Reservation Confirmation

Scheduled Deposit

When the tax exemption is added from the Estimated Charges section, the deposit amount will be recalculated for the updated estimated total based on the deposit policy associated with reservation.

Consider the following example where,

• Original estimated total (with tax): $1,200

• Deposit collected: $600

• Tax exemption added → New estimated total: $1,000

• Recalculated deposit: $500

In this case, an excess amount of $100 exists. This amount will be adjusted as follows:

• When a future deposit schedule exists, the excess amount is deducted from the next scheduled deposit.

• When no future deposit exists, users can operationally refund the excess amount.

• The remaining deposit schedules remain unchanged.

Immediate Deposit

For the same example, when the recalculated deposit is less than what was collected and no future schedule exists, the excess amount will be refunded to the guest. When a future, manually overridden schedule exists, the excess amount is reduced from that schedule.

Date‑Level Tax Class Modifications

When tax classes or exemptions are modified for specific stay dates, deposits are recalculated based on the updated estimated total for affected dates only.

Consider a reservation booked from Nov 04, 2026, to Nov 07, 2026, with tax exemption applied to all nights of stay. After the reservation is booked, when the tax exemption is removed only for Nov 5^th, the modification will be handled as follows:

Date Roll

During the date roll from Nov 5^th to Nov 6^th, the room charges and tax applicable for Nov 5^th will be posted.

Check-Out

When tax exemption remains throughout the stay and is removed on the departure date, the recalculated tax is added to the estimated due at check-out and collected from the guest.

Deposit Amount

When the recalculated deposit amount exceeds the amount already collected, the excess amount is added to the next scheduled deposit, if available. Otherwise, it is collected at date roll or check-out. All other deposit schedules remain unchanged.