Setting US Tax Rates

Where to set rates for shipped and picked up orders, and differences between the two.

Note: We are not tax professionals. For any questions asked of us about taxes or tax rates our answers cannot be construed as legal advice. Always consult a tax professional for how to properly collect sales tax for your business, we can merely help you implement their advice.

Set Up

There are three places in your Site Manager where you can set tax rates.

  • For in-store pickups, you can set the tax rates individually for each location you have under Store Information.
    • Additionally, you can set a sales tax override for each location in your pick-up shipping method.
  • For orders shipping, you will set a state tax rate for any applicable states under Commerce > Sales Tax.
    • Click the green pencil next to any state.
    • Fill in the appropriate tax rate.
    • Tax shipping as necessary, or required by each state.
    • Save Changes.
  • You can change taxable categories under Catalog > Catalog Structure.
    • Click the Tax Settings button.
    • Expand catalogs and categories and check boxes for products that need to be taxed, and un-check boxes for products that should not be taxed.
    • Click Save Changes in the modal and the updates are automatically applied to the catalog.

Troubleshooting

Orders going to other states aren't getting taxed

  • Have you checked to make sure you should be collecting sales tax in that state?
    • If you should be, check Commerce > Sales Tax to make sure you've got the right tax rate set for that state.
    • If you are unsure, consult your tax advisor for current tax laws regarding collecting sales tax on internet sales.

Orders getting picked up in-store aren't getting taxed at the local rate

  • Does each store location have the correct tax rate in Store information?
    • Go to Display > Store Information > Store Location(s) to edit or confirm each one.
  • Does your pickup shipping method have the correct Sales Tax Overrides in place for each location you have?
    • Go to Commerce > Shipping Methods > Pickup In-Store to make sure the tax rates are entered correctly.