Configure Your Store for Sales Tax

Before you can configure tax rates, you'll need to do the following:

  • Determine which products should be taxed
  • Decide if tax should be included in the product price and if shipping rates should always be taxed.
  • Enter all physical locations for your company (if you plan on using the tax calculator).


NOTE
: This option is only available if you store is on the Business Plan or above.

When you create products for your store you can select the Tax Exempt checkbox. Tax will not be charged for this product. By default, new products are not tax exempt.

​Make sure you have that selected only for products that should not generate a tax charge. In some states, items considered necessities are not taxed. Again, consult your tax advisor.

Determine Tax Calculations

​Once you set the products to be taxed, by default, the amount of taxes charged is determined by applying the tax rate(s) to the total price of all taxable items in an order. You can make two changes to this calculation - you can include tax in the item price, and you can also tax shipping.

Include Tax in Item Prices

When you decide to include sales tax in the item price, tax is treated more as something that the store owner will need to pay, rather than the customer. The amount of tax is shown in the order, but not added to the total.



To include taxes in prices:

  1. From the Weebly Editor, go to STORE > Settings > Taxes.
  2. In the Tax Calculations area, select Taxes are included in item prices.

Tax Shipping

​If you always want to charge tax for shipping, you can do so. Whether or not you should varies state by state. You can turn taxable shipping on or off for all orders, and Weebly will override that setting if it detects that it's incorrect for the state you are shipping to.

TIP: The automatic tax calculator knows which states tax shipping, so if you're using that, there's no need to turn this on.

To tax shipping:

  1. From the Weebly Editor, go to STORE > Settings > Taxes.
  2. In the Tax Calculations area, select Charge Taxes on Shipping Rates.

Add Physical Store Locations

If you are located in the US and are using the tax calculator, then you need to enter the addresses for all locations where your company has a presence. This includes any third party warehouse you might ship from (again, ask your tax professional about where you have nexus if you're not sure).

And if you're not using the tax calculator, this Store Address area is a great way to see all your locations so that you can refer to them as you determine taxes manually.

If you've set up shipping rates, the shipping address you entered in the Shipping tab displays as a location on the Taxes tab. If you entered an address on the Store Setup page, that is also displayed. If you need to, you can enter additional addresses here as well. Each entered addresses means that you have nexus at that location and you may be responsible for US-based sales tax when shipping to that location.

To add a store address:

  1. From the Weebly Editor, go to STORE > Settings > Taxes.
  2. In the Store Address area, click Add store address.
  3. Enter address info - name and address are required.

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