Magento 1.3.1 Should Be Avoided at All Costs
I’ve been a very vocal proponent of Magento since it first stormed onto the market. I think it is an excellent ecommerce platform, but the latest update should be completely avoided. There is a MAJOR bug in how it calculates taxes in that it completely ignores your customer groups when determining the taxes to charge for an order.
This becomes a major issue when you have retail and wholesale customers. Even when you set everything in your backend to not charge shipping for your wholesale customers, Magento 1.3.1 calculates and charges taxes. Obviously, this is not going to fly with any business. I have a site right now that is stuck without the ability to sell anything via their wholesale store because taxes are being calculated on every order despite the fact that everything was setup to not charge taxes for their wholesale customer group. This site did not have this problem until we upgraded to 1.3.1.