Tax Setup

SmithCart > Tax

If you need to charge a flat sales tax, state/region sales tax, VAT, GST, or other tax, SmithCart gives you an array of flexible options to automatically apply tax charges. This article will guide you through setting up tax and show you other tax-related options of the SmithCart system.

The following sections discuss the options available to configure Tax:


Getting Started

To configure tax in your cart, navigate to the BuyNow module and select "Setup -> Tax" from the admin menu:

The following tax setup page will be displayed:

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Tax Methods

The following describes the Tax Method options available for configuring tax in your store:

Flat Tax All Orders – Select “Flat Tax All Orders” if you want to charge a flat tax rate to all orders in the store. All customers will be charged tax regardless of what city, state/region or country they are ordering from. This option requires you enter a tax rate.

Flat Tax in Regions  – Flat Tax in Regions List allows you to charge a flat tax rate for all regions you define. Only customers with a shipping address in the taxable regions will be charged tax. This option requires that you define  one or more taxable regions and enter a tax rate.  Please see the “Flat Tax in Regions” KB article for more information.

Use Tax Tables – SmithCart provides the ability to import and manage your tax tables. Select “Use Tax Tables” if you want the cart to lookup the exact tax rate in the tax tables.

For configuration instructions for the Use Tax Tables option, see the “Use Tax Tables” KB article for more information.

To setup the cart to calculate tax using the tax table option you will first need to populate the Smith_Tax table for your taxable regions using the Tax Management Screen accessed from the Store Admin Menu.

Flat Tax Home Country – When you select “Flat Tax Home Country” the cart will compare the country entered by the user during checkout with the store country selected under the “General Store Setup” section above. If the store country matches the country entered by the user the cart will charge tax on the order. This option requires that you select one or more states in the taxable state list and enter a tax rate.

HST (Canada) – HST stands for Harmonized Sales Tax and is the emerging tax standard for Canadian Provinces. When you select HST as the tax option in your store the cart uses the tax table to lookup the province and get the tax rate. HST is only charged for customers in your home province. This option requires that you add provinces you want to charge tax in to the “Smith_Tax” table.

For configuration instructions for the HST (Canada) option, see the “HST (Canada)” KB article for more information.

GST/PST – GST stands for Goods and Services tax and PST stands for Provincial Sales Tax and is typically used for Canadian Provinces. PST is only charged for customers in your home province.

For configuration instructions for the GST/PST option, see the “GST/PST” KB article for more information.

VAT/GST (Product Inclusive) – Value added tax (VAT), or goods and services tax (GST) is a tax used by non-United States countries that is levied on any product that is added to the cart.

For configuration instructions for the VAT/GST (Product Inclusive) option, see the “VAT/GST (Product Inclusive)” KB article for more information.

Apply EU VAT Regulations – When you select the tax option “Apply EU VAT Regulations” the cart will apply tax calculations according to European VAT regulations (last updated by Directive 2006/112/EC).

For configuration instructions for the Apply EU VAT Regulations option, see the “Apply EU VAT Regulations” KB article for more information.

Apply EU VAT Regulations By Product – When you select the tax option “Apply EU VAT Regulations” the cart will apply tax calculations according to European VAT regulations (last updated by Directive 2006/112/EC).

For configuration instructions for the Apply EU VAT Regulations By Product option, see the “Apply EU VAT Regulations By Product” KB article for more information.

Zip2Tax Real Time Tax – SmithCart is integrated to import data and receive real time tax calculation with Zip2Tax.com. When you select the Zip2Tax Real Time Integration the cart will do a real time lookup to the Zip2Tax service and display the appropriate tax to the user in the cart checkout.

For configuration instructions for the Zip2Tax Real Time Tax option, see the “Zip2Tax Real Time Tax” KB article for more information.

No Tax – Select the “No Tax” option if you do not want to charge tax in your cart. If you choose this option no tax will be charged on all store orders.

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Tax Shipping?

The Tax Shipping? section allows you to configure how the store charges tax on shipping.

  • Tax shipping always – The cart will tax shipping always.
  • Never tax shipping – The cart will not tax shipping.
  • Tax shipping only for taxable products – The cart will look up the tax flag for the product and only tax shipping for products that you have set up as taxable.

Tax Handling – When this option is enabled, tax will be charged on the handling charge of all store orders. For configuration instructions for Handling, see the Handling Setup KB article for more information.

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Tax Discounts?

The Tax Discounts? section allows you to configure how to apply tax when a Discount or Coupon has been applied to the order.

Apply Tax Before Discounts (Default) – This option is enabled by default and will calculate tax on the subtotal before discounts are applied.

Apply Tax After Discounts – This option calculates tax on the subtotal after discounts are applied.

For configuration instructions for Coupons, see the Coupons KB article for more information.

For configuration instructions for discounts, see the Discounts KB article for more information.

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