On PayWhirl, you can charge taxes based on your customer's location. For example, in the United States, you are required to charge sales tax on all purchases made from the same state in which your business has physical locations. However, other countries work differently. For example, in Australia, you are just required to inform customers that the GST taxes are included in the price of the plans. https://www.ato.gov.au/Business/GST/Issuing-tax-invoices/
If you need, you can customize your email receipts and/or invoice template in the system to add additional information about taxes, etc.
Disclaimer: Tax rules can be extremely complicated, and we are not tax experts. If you are unsure about how the tax rules apply to your business, you should consult a tax expert.
To set-up tax rules, go to "Account Settings" and then click on Tax Rules:
If you don't have any tax rules setup yet you will see a button that says "Create a Tax Rule," and you can click it to begin. If you already have tax rules setup, you will need to click the "New Rule" button in the top right corner of the system. We also have an import tool to make it easier to upload lots of rules.
When you click the Import button, it will ask for a CSV file with the tax rates. There is a sample file to help format the CSV for import.
Note: If you make a mistake with the formatting, there is a bulk delete option on that page.
If you only need to create a few rules, they can be created directly in the system. In this example, we're going to add a rule that applies to ALL of California, but you can make more specific rules by Zip Code if you need as well. To begin, give your tax rule and name and a percentage. Then select the Country and State / Region you want the tax rule to apply to:
In this rule, we are NOT setting a Zip Code because we want it to apply to the entire state of California. However, if you needed to charge a different tax percentage for a specific zip code, you could create a more specific rule in addition to the rule for the entire state, and if a customer from that zip code checked out, the zip code rule would override the state rule because it's more specific.
If you are not collecting an address on signup but still need to charge taxes, you can leave the country field blank. That will cause it to apply to all customers regardless of location.
Note: Tax rules only apply to plans that have the tax rules enabled. Also, not all invoice line items are charged taxes. For example, a setup fee on a plan is not charged taxes. A few other line items are also not charged taxes.
- How to create payment plans
- How to add shipping charges based on location
- What's the difference between products, services & fees on invoices?
- Need help customizing PayWhirl?
Please let us know if you have any questions.
The PayWhirl Team