{"id":36947,"date":"2022-04-26T15:00:27","date_gmt":"2022-04-26T13:00:27","guid":{"rendered":"https:\/\/qodeinteractive.com\/magazine\/?p=36947"},"modified":"2026-02-09T09:27:56","modified_gmt":"2026-02-09T08:27:56","slug":"complete-guide-to-woocommerce-tax-settings","status":"publish","type":"post","link":"https:\/\/qodeinteractive.com\/magazine\/complete-guide-to-woocommerce-tax-settings\/","title":{"rendered":"A Complete Guide to WooCommerce Tax Settings"},"content":{"rendered":"<div class=\"wpb-content-wrapper\"><p>[vc_row][vc_column][vc_column_text]Taxes, as the adage goes, are one of the two things that are inevitable in life. Trying to escape from taxes usually doesn\u2019t end well, which is why it\u2019s better to think about them on time. If you\u2019re thinking about <a href=\"https:\/\/qodeinteractive.com\/magazine\/how-to-start-an-online-store\/\">starting an online store<\/a> with WordPress, checking out tax responsibilities would only be the first step. The second would be to find a way to add them to your workflow in the least disruptive way you can.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]For people who use WooCommerce to power their WordPress online store, the platform has given you a couple of choices to take care of taxes as part of your <a href=\"https:\/\/qodeinteractive.com\/magazine\/quick-guide-to-woocommerce-accounting\">WooCommerce accounting<\/a>. In this article, we\u2019ll guide you through WooCommerce tax settings using the native option.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]We\u2019ll cover:[\/vc_column_text][vc_empty_space height=&#8221;22px&#8221;]<ul class=\"qodef-unordered-list-item qodef-toc\">\n    <li>\n\t        <div class=\"qodef-ul-title-holder\">\n            <span class=\"qodef-ul-title-content\"><a href=\"#how-to-handle-taxes-in-woocommerce\">Choosing How You Want to Handle Taxes in WooCommerce<\/a><\/span>        <\/div>\n            <\/li>\n<\/ul>[vc_empty_space height=&#8221;5px&#8221;]<ul class=\"qodef-unordered-list-item qodef-toc\">\n    <li>\n\t        <div class=\"qodef-ul-title-holder\">\n            <span class=\"qodef-ul-title-content\"><a href=\"#starting-the-manual-tax-setup\">Starting the Manual Tax Setup<\/a><\/span>        <\/div>\n            <\/li>\n<\/ul>[vc_empty_space height=&#8221;5px&#8221;]<ul class=\"qodef-unordered-list-item qodef-toc\">\n    <li>\n\t        <div class=\"qodef-ul-title-holder\">\n            <span class=\"qodef-ul-title-content\"><a href=\"#diving-into-woocommerce-tax-options\">Diving into WooCommerce Tax Options<\/a><\/span>        <\/div>\n            <\/li>\n<\/ul>[vc_empty_space height=&#8221;5px&#8221;]<ul class=\"qodef-unordered-list-item qodef-toc\">\n    <li>\n\t        <div class=\"qodef-ul-title-holder\">\n            <span class=\"qodef-ul-title-content\"><a href=\"#creating-tax-classes\">Creating Tax Classes<\/a><\/span>        <\/div>\n            <\/li>\n<\/ul>[vc_empty_space height=&#8221;80px&#8221;][vc_widget_sidebar sidebar_id=&#8221;new-ecommerce-banner&#8221;][vc_empty_space height=&#8221;80px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h2 class=\"qodef-h4\"><a id=\"how-to-handle-taxes-in-woocommerce\"><\/a>Choosing How You Want to Handle Taxes in WooCommerce<\/h2>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;21px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"604\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Choose-a-Tax-Partner.jpg\" class=\"attachment-full size-full\" alt=\"Choose a Tax Partner\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Choose-a-Tax-Partner.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Choose-a-Tax-Partner-300x187.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Choose-a-Tax-Partner-768x479.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Choose-a-Tax-Partner-620x386.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]<strong>WooCommerce will give you several choices when it comes to setting up taxes with it.<\/strong> The options will be available to you when you navigate to <em><strong>WooCommerce &gt; Home<\/strong><\/em> and choose the Set up tax prompt. The four options you\u2019ll have include:[\/vc_column_text][vc_empty_space height=&#8221;22px&#8221;]<ul class=\"qodef-unordered-list-item qodef-toc\">\n    <li>\n\t        <div class=\"qodef-ul-title-holder\">\n            <span class=\"qodef-ul-title-content\">Use WooCommerce\u2019s tax extension,<\/span>        <\/div>\n            <\/li>\n<\/ul><ul class=\"qodef-unordered-list-item qodef-toc\">\n    <li>\n\t        <div class=\"qodef-ul-title-holder\">\n            <span class=\"qodef-ul-title-content\">Start a thirty-day trial for Avalara\u2019s tax service, <\/span>        <\/div>\n            <\/li>\n<\/ul><ul class=\"qodef-unordered-list-item qodef-toc\">\n    <li>\n\t        <div class=\"qodef-ul-title-holder\">\n            <span class=\"qodef-ul-title-content\">Set up taxes manually, <\/span>        <\/div>\n            <\/li>\n<\/ul><ul class=\"qodef-unordered-list-item qodef-toc\">\n    <li>\n\t        <div class=\"qodef-ul-title-holder\">\n            <span class=\"qodef-ul-title-content\">Forgo setting up taxes as you don\u2019t charge sales tax. <\/span>        <\/div>\n            <\/li>\n<\/ul>[vc_empty_space height=&#8221;28px&#8221;][vc_column_text]Choosing a tax partner will automate the process. However, you should note that tax automation isn\u2019t available for all countries and territories. <strong>If your store\u2019s located in one of them, you will have to set up the taxes manually.<\/strong>[\/vc_column_text][vc_empty_space height=&#8221;68px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h2 class=\"qodef-h4\"><a id=\"starting-the-manual-tax-setup\"><\/a>Starting the Manual Tax Setup<\/h2>\n<p>[\/vc_column_text][vc_column_text]<strong>The first thing you\u2019ll notice if you skip making any choices regarding taxation during the setup of the plugin is that, out of the box, it doesn\u2019t have any tax options available.<\/strong> Taxes are enabled separately in <a href=\"https:\/\/qodeinteractive.com\/magazine\/woocommerce-tutorial\/\">WooCommerce<\/a>. To get access to them, navigate to <em><strong>WooCommerce &gt; Settings &gt; General<\/strong><\/em>, and under <em>General Options<\/em> make sure you check the box next to <em>Enable tax rates and calculations<\/em>.[\/vc_column_text][vc_empty_space height=&#8221;50px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Enable-Coupons.jpg\" class=\"attachment-full size-full\" alt=\"Enable Coupons\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Enable-Coupons.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Enable-Coupons-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Enable-Coupons-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Enable-Coupons-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]After enabling the tax rates and calculations, a new card will appear in the settings in between the <a href=\"https:\/\/qodeinteractive.com\/magazine\/how-to-create-woocommerce-product-bundles\/\">products<\/a> and the shipping cards. <strong>That\u2019s where you\u2019ll be able to set tax options and rates manually.<\/strong> We\u2019ll head over there next, at <em><strong>WooCommerce &gt; Settings &gt; Tax<\/strong><\/em>, in a second.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]Before we do, it\u2019s important to remind you that the store address options you set could play a role in the tax and <a href=\"https:\/\/qodeinteractive.com\/magazine\/how-to-set-up-free-shipping-in-woocommerce\/\">shipping rates<\/a> that you charge.[\/vc_column_text][vc_empty_space height=&#8221;68px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h2 class=\"qodef-h4\"><a id=\"diving-into-woocommerce-tax-options\"><\/a>Diving into WooCommerce Tax Options<\/h2>\n<p>[\/vc_column_text][vc_column_text]Under <em><strong>WooCommerce &gt; Settings &gt; Tax<\/strong><\/em>, you\u2019ll be able to choose <em>Tax<\/em> options, as well as several other places that refer to rates \u2013 <em>Standard rates<\/em>, <em>Reduced rate rates<\/em>, and <em>Zero rate rates<\/em>. For now, we\u2019ll stick with the <em>Tax options<\/em> and go through them one by one.[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Prices Entered with Tax<\/h3>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;24px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Prices-Entered-with-Tax.jpg\" class=\"attachment-full size-full\" alt=\"Prices Entered with Tax\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Prices-Entered-with-Tax.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Prices-Entered-with-Tax-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Prices-Entered-with-Tax-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Prices-Entered-with-Tax-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]The first tax option you\u2019ll see is <em>Prices entered with tax<\/em>. It allows you to choose whether the prices you\u2019ll be entering for your products include or exclude tax.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]<strong>If they include it, the price you put in will be shown to the people to whom you charge taxes.<\/strong> Those that are exempt \u2013 if they\u2019re outside of your country, for example \u2013 will have the price you set reduced by the tax rate you\u2019ll set later on.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]<strong>If you choose to exclude taxes from the prices you enter into WooCommerce, taxes will be applied in the checkout when appropriate<\/strong> \u2013 based on the rules you set. Keep in mind that if you decide to change it later on, old products will not be updated.[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Calculate Tax Based On<\/h3>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;24px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Calculate-Tax-Based-On.jpg\" class=\"attachment-full size-full\" alt=\"Calculate Tax Based On\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Calculate-Tax-Based-On.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Calculate-Tax-Based-On-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Calculate-Tax-Based-On-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Calculate-Tax-Based-On-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]The <em>Calculate tax based on<\/em> options let you choose which address you want WooCommerce to use for calculating the tax rate. You have three options at your disposal \u2013 <strong>the customer\u2019s shipping address, their billing address, and your store address.<\/strong>[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Shipping Tax Class<\/h3>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;24px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Shipping-Tax-Class.jpg\" class=\"attachment-full size-full\" alt=\"Shipping Tax Class\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Shipping-Tax-Class.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Shipping-Tax-Class-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Shipping-Tax-Class-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Shipping-Tax-Class-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]<strong>Shipping tax can be based on the items in your cart, or on other rules, you have to define as additional tax classes.<\/strong> In this option, you\u2019ll get to choose whether you want the shipping tax class to be inherited from the items in <a href=\"https:\/\/qodeinteractive.com\/magazine\/how-to-reduce-shopping-cart-abandonment-in-wordpress\/\">your cart<\/a>, or you want to set a shipping tax class for all the items.[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Rounding<\/h3>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;24px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Rounding.jpg\" class=\"attachment-full size-full\" alt=\"Rounding\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Rounding.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Rounding-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Rounding-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Rounding-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]<strong>If there\u2019s rounding that needs to be done, this toggle lets you choose where you want it to occur.<\/strong> Leave it unchecked, and rounding will happen per line. Check it, and the tax will be rounded at the subtotal level.[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Additional Tax Classes<\/h3>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;24px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Additional-Tax-Classes.jpg\" class=\"attachment-full size-full\" alt=\"Additional Tax Classes\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Additional-Tax-Classes.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Additional-Tax-Classes-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Additional-Tax-Classes-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Additional-Tax-Classes-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]<strong>With this setting, you can create the tax classes that appear in the menu at the top of the Tax page, next to the tax options.<\/strong> The <em>Standard tax rate<\/em> is there by default. WooCommerce comes with <em>Reduced<\/em> and <em>Zero rates<\/em>, but you can delete them and create classes that you name however you\u2019d like \u2013 just do it before you set the classes. We\u2019ll cover that shortly.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]Creating additional tax classes is a handy way to control how many taxes you want to apply to your products. <strong>If there\u2019s any reason that a tax rate might deviate from the standard, you should consider creating an additional tax rate for it.<\/strong> Later on, when adding products to your store, you can assign it the tax class of your choice.[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Display Prices Options<\/h3>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;24px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Prices-Options.jpg\" class=\"attachment-full size-full\" alt=\"Display Prices Options\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Prices-Options.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Prices-Options-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Prices-Options-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Prices-Options-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]The following two options allow you to set how you want your prices to be displayed in the shop and when they\u2019re in the cart and at checkout. <strong>The options you have at your disposal are to include or to exclude taxes.<\/strong>[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]WooCommerce recommends that you set these options in line with what you chose under Prices entered with tax. If the prices were inclusive of tax, then set to display them including the tax, and vice versa. WooCommerce advises this because, if you don\u2019t, a rounding error might occur.<br \/>\n[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Price Display Suffix<\/h3>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;24px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Price-Display-Suffix.jpg\" class=\"attachment-full size-full\" alt=\"Price Display Suffix\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Price-Display-Suffix.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Price-Display-Suffix-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Price-Display-Suffix-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Price-Display-Suffix-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]This option lets you choose the words that will appear with your prices, such as \u201cincl. tax.\u201d <strong>For variable products, this functionality is turned off.<\/strong>[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Display Tax Totals<\/h3>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;24px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Tax-Totals.jpg\" class=\"attachment-full size-full\" alt=\"Display Tax Totals\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Tax-Totals.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Tax-Totals-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Tax-Totals-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Display-Tax-Totals-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]<strong>The final option lets you choose how you want to display tax totals \u2013 as a single total or itemized.<\/strong> After you\u2019ve set that option, and all the rest to your liking, click on the <em>Save Changes<\/em> button and move on to set specific tax rates.[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h2 class=\"qodef-h4\"><a id=\"creating-tax-classes\"><\/a>Creating Tax Classes<\/h2>\n<p>[\/vc_column_text][vc_empty_space height=&#8221;21px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Creating-Tax-Classes.jpg\" class=\"attachment-full size-full\" alt=\"Creating Tax Classes\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Creating-Tax-Classes.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Creating-Tax-Classes-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Creating-Tax-Classes-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Creating-Tax-Classes-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;38px&#8221;][vc_column_text]When you want to edit one of the tax classes you\u2019ve created in the tax option, head to the top of the page and click on the tax class you want to modify. <strong>There, you\u2019ll find a table with fields for the country code, state code, postcode or ZIP, city, tax rate, tax name, priority, compound, and shipping.<\/strong> The options allow you to insert rows, delete rows, and export and import tax rates via a CSV file.[\/vc_column_text][vc_empty_space height=&#8221;50px&#8221;]<div class=\"qodef-single-image-holder   qodef-has-border \">\n    <div class=\"qodef-si-inner\" >\n                                    <img loading=\"lazy\" decoding=\"async\" width=\"969\" height=\"518\" src=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Tax-Standard-Rates.jpg\" class=\"attachment-full size-full\" alt=\"Tax Standard Rates\" srcset=\"https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Tax-Standard-Rates.jpg 969w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Tax-Standard-Rates-300x160.jpg 300w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Tax-Standard-Rates-768x411.jpg 768w, https:\/\/qodeinteractive.com\/magazine\/wp-content\/uploads\/2022\/04\/Tax-Standard-Rates-620x331.jpg 620w\" sizes=\"auto, (max-width: 969px) 100vw, 969px\" \/>                        <\/div>\n<\/div>[vc_empty_space height=&#8221;82px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Filling Out the Geographic Information<\/h3>\n<p>[\/vc_column_text][vc_column_text]<strong>These rates can apply to multiple cases depending on the settings you choose.<\/strong> Under <em>Country code<\/em>, you need to add a two-digit country code, such as \u201cUK,\u201d if the tax is to be applied to people who shop from that country. If you want a global tax, simply leave this field empty. The state code works in the same way as the country code.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]Under <em>ZIP and postcodes<\/em>, you can add postal and ZIP codes as conditions for the tax to apply. Again, leaving the field empty means that the tax applies to all ZIP and postal codes. You can also use ranges in this option. For cities, you can include a single city, multiple cities separated by semicolons, or leave the field blank to apply to all cities.[\/vc_column_text][vc_empty_space height=&#8221;72px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h3 class=\"qodef-h5\">Filling Out the Tax Options<\/h3>\n<p>[\/vc_column_text][vc_column_text css=&#8221;&#8221;]<strong>The rate field lets you add the tax rate up to four decimal places.<\/strong> You should talk with an accountant or a financial advisor to find out which tax rates you need to apply. You can name <a href=\"https:\/\/sweepedia.com\/blog\/sweepstakes-casino-taxes-complete-guide-to-reporting-your-winnings\/\" target=\"_blank\" rel=\"noopener\">tax rates<\/a> if you want and set their priority \u2013 something you have to do if you have multiple taxes affecting the same area.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]Choose whether the tax rate is compound, which means it applies on top of other tax rates, and you\u2019ll be left with one final option, to set whether the tax applies to shipping. <strong>Repeat the process as many times as you need to cover all the cases that might come up in your business.<\/strong> Again, it would be best to consult someone who understands taxes and duties, as this isn\u2019t something you\u2019d want to mess with.[\/vc_column_text][vc_empty_space height=&#8221;68px&#8221;][\/vc_column][\/vc_row][vc_row][vc_column][vc_column_text]<\/p>\n<h2 class=\"qodef-h4\">Let\u2019s Wrap It Up!<\/h2>\n<p>[\/vc_column_text][vc_column_text]When you\u2019re thinking about all the things you\u2019ll need for your <a href=\"https:\/\/qodeinteractive.com\/magazine\/quick-guide-to-woocommerce-accounting\/\">online store\u2019s bookkeeping<\/a>, make sure that you place proper tax charging and accounting as your top priority. Failing to do so can have a severe negative effect on your business and setting everything up doesn\u2019t have to be that hard.[\/vc_column_text][vc_empty_space height=&#8221;28px&#8221;][vc_column_text]With WooCommerce tax settings, creating taxation rules is easy, even though it might become a little tedious if there are too many rules you\u2019d like to add. Still, it\u2019s a free option that\u2019s available to anyone who wants to use WooCommerce, plus it works well and is well documented.<br \/>\n[\/vc_column_text][\/vc_column][\/vc_row]<\/p>\n<\/div>","protected":false},"excerpt":{"rendered":"<p>Not sure how to set WooCommerce tax settings for your online store? Don&#8217;t worry, we&#8217;ll walk you through it and explain what each and every does. <\/p>\n","protected":false},"author":9295,"featured_media":37055,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[56,252,4],"class_list":["post-36947","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-resources","tag-ecommerce","tag-tax","tag-tips"],"_links":{"self":[{"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/posts\/36947","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/users\/9295"}],"replies":[{"embeddable":true,"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/comments?post=36947"}],"version-history":[{"count":0,"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/posts\/36947\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/media\/37055"}],"wp:attachment":[{"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/media?parent=36947"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/categories?post=36947"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/qodeinteractive.com\/magazine\/wp-json\/wp\/v2\/tags?post=36947"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}