Pricing Plans: Setting Up Tax Collection
4 min
In this article
- Adding tax to pricing plans
- Managing tax on pricing plans
- Removing a location from collecting tax
Add your business location to calculate tax for Pricing Plans. Depending on where you're located, you may be required to collect tax when selling pricing plans. You can choose whether to include tax in the price or add it at checkout.
Important:
- Different tax rules apply in different regions. Consult with an accountant or with your local tax authority for specific information relevant for your business.
- After setup, tax is applied to all plan buyers, regardless of location.
- You can only set one fixed tax rate for all of your plans.
Adding tax to pricing plans
You can add tax to your pricing plans at any time. This is useful for complying with local, state or federal laws, depending on your location. You can choose to include the tax in the price of your plans, or add it to the total at checkout.
To add tax to pricing plans:
- Go to Pricing Plans Settings in your site's dashboard.
- Click Set Up Tax next to Tax.
- Choose from the following options to determine how tax is calculated for your pricing plans:
- Customer location: Calculate tax based on where your customer is located.
- Your business location: Calculate tax based on your business address for all customers.
- Click Manage tax next to Tax settings.
- Set up how your business collects tax:
Tax locations
Tax settings
Tax groups (optional)
Customer tax exemptions (optional)
Managing tax on pricing plans
You can update how you charge tax on your pricing plans from the dashboard. This is useful when there are changes in the tax system where your business operates. You can also change how you display the taxes you charge your customers.
To manage the tax on your pricing plans:
- Go to Pricing Plans Settings in your site's dashboard.
- Click Set Up Tax next to Tax.
- Click Manage tax next to Tax settings.
- Make the relevant changes (e.g. Tax locations / settings).
- Click Save.
Removing a location from collecting tax
You can stop charging tax on your pricing plans if your business qualifies for a tax exemption or if there has been a change in tax regulations where your business operates. Make sure to check with your accountant or financial advisor before you stop charging tax on your pricing plans.
To remove a location:
- Go to Pricing Plans Settings in your site's dashboard.
- Select the checkbox(es) next to the relevant location(s).
- Click Remove Locations.
- Click Remove to confirm.
