You are the developer of the WOOCOMMERCE store, you have a lot of things to do. The last thing you need to do is to sell taxes or omissions -this is the often forgotten but crucial aspect of the website, which will affect your development timetable. This is why we have compiled the last memo to help customers set up sales tax on their online store.
Five sales tax issues should be asked customers
Before their WoOOCOMMERCE stores set up sales tax levy, there are five basic questions to ask customers. We will introduce one by one, and why you need to know the answer to provide the best service tax settings for all -round service.
1. What states and countries do you levy sales tax?
According to the operating method of the US sales tax system, most merchants do not need to collect sales tax to all buyers. On the contrary, retailers only need to levy sales tax in states with sales tax. Your client may only need to collect sales tax in their state, or they may need to collect sales taxes in multiple states or countries/regions in the United States. You need to know this to ensure that they do not make mistakes, such as trying to collect sales taxes from each buyer, or not collecting sales tax at all.
The state where your customer charged the sales tax also decided Should they levy the sales tax on freight. Some states believe that freight is a necessary part of taxable e -commerce transactions, and requires online sellers to collect sales tax on any freight. If the price of the freight from the taxable products is significantly separated, other states do not require online sellers to levy the sales tax on freight. 
If your client is not sure where they need to collect sales tax, you can point them to educational resources targeted at merchants, such as the sales tax guide for WooCommerce sellers.
2. Which address will your product from shipping?
Due to another quirk of sales tax, you need to ask this question. In most states in the United States, \”delivery address\” is not important. These states are \”destination -based\” sales tax states, which means that businesses must levy sales tax at the tax rate of buyers’ \”delivery address\”.
However, a small number of American states are \”origin -based\” states. This means that the merchant can be charged to the starting point of the order (their homes, offices, shops, warehouses, etc.). In this situationIn the case, you need to know the address of the product to the product in order to levy taxes at the correct tax rate.
3. Whether you sell any tax -free or non -taxable items, such as these categories, such as these categories product?
Clothing
Software is Service (SaaS) Digital products -books, music, movies, information products, etc. Food and grocery
Prescription medicine or over -the -counter medicine
Books -textbooks or religious books
Subscribe to a magazine
In the United States, most \”tangible personal property\” should be taxed tax. Essence Therefore, if your client sells coffee cups, lamps, furniture, or most other products, they are likely to request a sales tax on these sales. But some products are tax -free in some states.
For example, in most states in the United States, food groceries are tax -free, although some states, such as Illinois, believe that they are taxable, although the tax rate is low. The prescription medicine is tax -free in each state, and not the prescription medicine is tax -free in most states. Although clothing should pay taxes in most states in the United States, there are also some exceptions to notice. For example, New York, as long as the price of single clothing is less than $ 110, clothing does not require taxation.
If your client sells it sometimes with tax exemption products, please please, please please, please please, please, please, please, please, please, please, please, please, please, please, please, please, please, please, please, please Be sure to classify these products correctly in their stores. For example, assuming that your client sells jeans and is obliged to levy sales tax on Florida, which is taxed in Pennsylvania, which is not taxed in clothing. In this case, the product tax code is applied to your client’s SKU to ensure that they collect sales tax when needed, and are exempt from tax levy when transporting a pair of jeans to customers living in clothing tax -free. To be exempted from the product, please use the \”reduction rate\” and \”zero tax rate\” tax level provided by Woocommerce, or set additional tax levels for specific categories such as \”clothing\”. From there, the customer’s products are allocated to these tax categories, and the tax rate is set up manually in the state that should be taxed only in the given class.
In order to automate this process and do not need to worry about the continuous changes in the taxation of the product, consider a WoOOCOMMERCE sales tax plug -in that can handle the product exemption for you. 
Sales of tax customers (such as duty -free entities or dealers)?
As some products are duty -free, some entities are authorized to purchase tax -free products. For example, some government entities, schools and non -profit organizations can purchase products with tax exemption. Retailers who buy products can also be tax -free to buy products. If your client sells products or plans to sell products in the future, they need a way to mark the customer as duty -free or other ways to avoid charging sales tax to specific customers. To be exempt from customers, use third -party plug -ins such as Capability Manager Enhanced to expand the customer role in WooCommerce. Then use the `set_IS_VAT_EXEMPT` to exempt customers by programming:
Global $ WOOCOMMERCE; if (IS_USER_LOGGED_IN ()) {
$ tax_exempt \u003d Current_can (\u0026#39; TAX_EXEMPT. );
$woocommerce-\u0026gt;customer-\u0026gt;set_is_vat_exempt($tax_exempt);
}
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5. How do you submit and pay the sales tax declaration form?
Some larger customers will have an internal accounting department to be responsible for sales tax reports and archives, while other customers need a solution integrated with its WooCommerce store. Your client may already have the preferred sales tax software, or I hope you provide them with suggestions to seamlessly collaborate with the stores that you have established for them. Understanding in advance will be very helpful, so compatibility will not become a problem in the future. In order to accurately and real -time calculation sales tax during the checkout of WOOCOMMERCE, TAXJAR provided an easy -to -use plug -in to start and run quickly. Install the Taxjar Woocommerce extension and paste it to your customer’s Taxjar API token. From there, synchronize your contact address and enable calculations. You are ready! Know how to start.
When the customer lives in a certain affiliated state of your customer, the plug -in will By the sales tax API S from TAXJARMartcalcs request tax rates to calculate the sales tax. The tax rate is stored in the local tax rate table of Woocommerce, and then the total amount of tax and order is automatically calculated by Woocommerce. If you open the box, you will obtain comprehensive support for transportable taxation, product exemption, procurement logic, discounts on item by item, and sales tax holidays. Computing is suitable for more than 30 countries/regions, including the United States, Canada, Australia and the European Union.
You can also open the sales tax report and archive directly in the Taxjar sales tax plug -in. After the use, TAXJAR will automatically introduce customers from Woocommerce to the customer’s order to generate reports that can be used to manually submit the return of returns. To better, you can register a customer in Autofile to file it automatically in the future.
For more information about the sales tax, please check the sales tax guide for our WooCommerce seller.
TAXJAR is a service that can simplify sales tax reports and archives for more than 10,000 online sellers. Immediately get the free expansion of TAXJAR and a 30 -day free trial to eliminate the issue tax in which you live!