header-logo
Learn how to use Wix to build your site and business.
Design and manage your site using intuitive Wix features.
Manage subscriptions, plans and invoices.
Run your business and connect with members.
Learn to purchase, connect or transfer a domain to your site.
Get tools to grow your business and web presence.
Boost your visibility with SEO and marketing tools.
Get advanced features to help you work more efficiently.
Find solutions, learn about known issues or contact us.
placeholder-preview-image
Improve your skills with our courses and tutorials.
Get tips for web design, marketing and more.
Learn to increase organic site traffic from search engines.
Build a custom site using our full-stack platform.
Get matched with a specialist to help you reach your goals.
placeholder-preview-image

Automatic Tax Collection

3 min
In this article
  • Keep up with tax changes
  • Tax specific items at different rates
  • FAQs
Make sure your business complies with local tax regulations by setting up automatic tax calculation. Wix offers automatic tax calculation through Avalara, a third-party app.
Avalara makes it possible to fine tune your tax collection when a subdivision, such as a county or city, has a tax rate that is different from the default rate.
Important:
  • You are solely liable at all times for confirming that your tax calculation conforms to all applicable laws and regulations. We recommend getting advice from a professional to help you understand what's required and meet all your obligations.
  • If you previously set up tax (and shipping) in a merchant account (e.g. in PayPal), remove these settings before starting.

Keep up with tax changes

Avalara makes sure your tax is calculated based on the latest tax rules, so you don’t have to update tax rates yourself. When there is a change in a tax rate, your site updates automatically. 

Tax specific items at different rates

Each tax location (country, or state/province) has a default tax rate. In addition, particular products or services may be taxed at a lower or higher rate. If you sell items with different tax rates, you can account for it by creating tax groups.
Let's look at an example. Let's say that your location's default tax rate is 10%, but car seats are taxed at 0%. To collect the correct tax rate, you can create a custom tax group for car seats and add the relevant items to this group. Next, you add a code from Avalara's extensive database so they know what type of product is in this tax group. 
Avalara knows how this group of items in taxed is each location. 
A screenshot showing the selection of tax codes from Avalara's list

FAQs

Click any of the questions below to learn more about automatic tax calculations with Avalara.