Setting up a tax

Modified on: Mon, Apr 7, 2014 at 11:50 AM


To set up a tax:
  1. In the administration panel, go to Administration > Shipping & Taxes > Locations and create necessary locations.
  2. Open the Manage taxes page (the Taxes link to this page is in the Shipping & Taxes tab).
  3. Add a new tax by clicking the + button or edit the existing one by clicking on it's name. The Editing tax page will open. On that page:
    1. Select the address depending on which this tax will be added to the product (Shipping address or Billing address) in the Rates depend on field.
    2. Select if the tax rate will be included to the product price or not in the Price includes tax option.



    3. Enter the desired tax rate into the input field of the created location in the Tax rates tab.
    4. Click the Save button.



      NOTE: You can enable the Display prices with taxes on category/product pages and Display prices with taxes on cart/checkout pages options on the Appearance page (the Appearance link is in the Settings tab).
  4. Apply the tax to products. You are able to apply the tax to all products (1) or to the certain products (2):
    1. Select the check box next to the name of this tax, click the button with the cogwheel icon and select Apply selected taxes to all products on the Manage taxes page.



      NOTE: If you have several taxes and want to  apply these taxes to the product price, then they should have the same  priority. For example, if the priority of tax A is 1 and the priority of tax B is 2, the tax A will be calculated for the product price and the  tax B for the product price with tax A.
    2. In the administration panel, go to Products > Products, open the details page of the product to which you would like to add the tax, select the check box of the tax in the Taxes option and click the Save button.

      NOTE: You are able to add Taxes for a product using the import option. The description of the correct format can be found in the Imported fields format article.
To apply the tax to a shipping method:
  1. In the administration panel, go to Administration > Shipping & Taxes > Shipping methods. Choose the desired shipping method and click on its name.
  2. Select the check box of the tax in the Taxes option.
  3. Click the Save button.



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