When configuring tax for your location, you may find that you need to have multiple tax rates or even simply change the verbiage from 'Sales Tax' to something else. The Custom Tax Rate will allow you to choose the verbiage that displays for the tax rate and have multiple rates such as Sales Tax, VAT Tax, or anything you'd like. Take a look below to see how to set up custom tax rates!
Setting up custom tax rates
Click the steps below for a detailed walk-through:
Step 1: Click the Business tab
Step 2: Click the Sales Tax tab
Step 3: Click 'Add a State Tax' (or 'Add a Province Tax')
Step 4: Choose Tax State
Step 5: Choose 'Custom Tax Rate' Tax Mode
Step 6: Click 'Add New'
Step 7: Enter tax name in Tax District
Step 8: Enter Sales Tax Rate
Step 9: Click 'Add New' for additional rates
Step 10: Edit Products, if needed
Step 11: Place a test order
Step-by-step:
Step 1: Click the Business tab at the top of the page.
Step 2: Click the Sales Tax tab on the left-hand side of the page.
Step 3: Click the 'Add a State Tax' (or 'Add a Province Tax') button to create a sales tax rate.
Step 4: In the Tax State/Province drop-down, choose the location you would like to set a tax rate for.
Step 5: In the Tax Mode drop-down, choose the Custom Tax Rate option. This will allow you to change the verbiage of the tax name or charge multiple tax rates.
Step 6: In the Rate column, click the 'Add New' button.
Step 7: In the Tax District box, type the tax name you'd like to appear to your clients and in reporting.
Step 8: In the Rate box, enter the tax percentage that you would like to collected from your clients.
Step 9: If you need to create additional rates for this state, click the 'Add New' button again. Repeat steps 6-8 for the additional tax rate.
Step 10: In the Taxable Overrides column, click 'Edit Products'. When creating/editing products, you can choose whether the product is taxable or not. When creating a Tax, the system will use the product default on whether to charge tax or not. However, you can also choose whether to charge tax/not charge tax on a per-product basis within this window. This is helpful if you have products that are available in multiple states but you only need to charge tax in specific states.
- The green checkmark will override the product default to charge tax.
- The red X will override the product default to not charge tax.
- Leaving the selector without either chosen, the product's default taxable status will be used.
Step 11: You can now place a test order to see what your client will see in regards to your Custom Tax Rate. Your client will see any tax rates in the Payment Information section when placing their order. Note: if your client does not already have a billing address on file, they will be prompted to enter this information to proceed with the order. If you would rather use the property address and not ask for the client's billing address, click here for steps to enable that.
Click the help articles below for additional help on setting up and using the Sales Tax feature:
Setting up a Flat Sales Tax Rate
Setting up an Automatic Tax Lookup Rate
Do Not Ask For Client Billing Address - Sales Tax Lookup
For any additional questions, our Support Team is ready to help you!
Phone/Text: 509-515-3338
Email: [email protected]