The Tax Regions section displays all of the currently defined Tax Regions in Cartweaver. Click the name of a Tax Region to go to the Tax Region Details. If a Tax Region's Ship Tax Method is set to a specific Tax Group, click on the Tax Group name to go to the Tax Group Details. The Tax Region Details allow you to edit a defined Tax Region. You can change all of the default information displayed on the Tax Region list, as well as add new Tax Groups to the Tax Region.
Add New Tax Rate
To add a new tax rate, choose a Tax Group from the Unassigned Tax Group list and enter a Tax Rate. Click Add New Tax Rate to add the rate. If you don't see the desired group in the list of Unassigned Tax Groups, click Add New Tax Group to add it.
The Tax Groups section shows all tax rates currently assigned to this Tax Region. Clicking on the name of a particular group will take you the Tax Group Details page. To delete a tax rate from the region, select the Delete check box and click Update Tax Rates.
The Tax Regions list shows all currently defined Tax Regions and allows you to add new Tax Regions. A Tax Region is a specific geographical location with its own unique tax rules. You can define a label for the region, as well as a tax ID, and you have the option of displaying the Tax ID on the final invoice for a customer (meets VAT requirements for the EU).
Add Tax Region
To define a new Tax Region, choose the Country and State/Province for the new Tax Region. You can also choose to define a Tax Region for an entire country by selecting "Entire Country" from the State/Province list.
The Tax Label is shown during the check out process so that customers can see which tax has been applied to their order.
The Tax ID Number is the number used by your local taxing authority to identify your company. If you would like the Tax ID shown on customer invoices, check the Show Tax ID on Invoice box.
The Shipping Tax Method determines how taxes should be applied to shipping costs for the Tax Region. The options are:
- No tax on shipping: No tax is applied to shipping costs.
- Use Tax Rate of the highest taxed item in the order: This option determines which item in the order has the highest tax rate, and that rate is used to calculate the taxes on shipping. If one item in the order has a tax rate of 5%, and another item in the same order has a tax rate of 15%, then tax will be calculated on shipping at 15%.
- Based on a Tax Group: This option allows you to choose a specific Tax Group for the shipping tax rate. This allows you to set up a Tax Group specifically for shipping to ensure that the same Tax Rate is always applied to the shipping costs.
Once all fields are completed, click Add to add the new Tax Region.