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How to

Set up sales tax for the shop

The counter, your store's location and your online checkout each charge the tax you intend, and the tax report can place every sale.

  1. 1

    Set the counter rate first. Open Settings → Purchasing (the 'Procurement & workspace shape' card), find 'point of sale', and enter 'sales tax rate %'.

    Shop · Settings → Purchasing → point of sale → sales tax rate %

    This rate applies to taxable lines at the register only. The form's example is Berkeley, CA at 10.75%; look up your own combined rate for your address. A tax-exempt customer or the per-sale exempt switch zeroes it.

  2. 2

    On the same page, fill in 'store tax jurisdiction': city, county, state and ZIP of the register.

    Shop · Settings → Purchasing → point of sale → store tax jurisdiction

    Optional, but without it the tax report cannot allocate in-store tax to a county. State takes any two-letter code, but the county allocation, the automatic rate lookup and the report are built for California.

  3. 3

    Set online checkout separately. Open Settings → Storefront settings, find 'tax & shipping charges' and choose a 'tax calculation': a manual flat rate (everywhere, or California only), the automatic California rates, or 'no tax — intentional'. Enter 'tax rate %' for the manual options.

    Shop · Settings → Storefront settings → tax & shipping charges

    'Not configured — test only' blocks live checkout. 'California only' charges the rate to California addresses and pickup and 0% elsewhere. Automatic California rates charge the exact rate per California address; out-of-state orders collect no tax. You remain responsible for registering and remitting.

  4. 4

    Check Settings → Payments, 'Checkout readiness', to see that tax and the live checkout switches are on.

    Shop · Settings → Payments → checkout readiness

  5. 5

    After some sales, open Reports → sales tax to check the totals by jurisdiction.

    Shop · Shop → Reports → sales tax

Worth knowing

  • Three places hold tax: the counter rate (Purchasing), the store's location (Purchasing), and online checkout (Storefront settings). Changing one does not change the others.
  • Tax on invoices in Billing is set by tax classes in Billing's own settings, separate from all of the above.

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