Bold Checkout allows you to set your own tax rates, use Checkout's calculated rates, or integrate TaxJar. There are 2 settings that Bold Checkout offers:
- Tax is Included
- Tax on Shipping
When Tax is Included is enabled, taxes will be included in your product prices and calculated within the checkout, but will not be added to the product price. When disabled, taxes will be added to the total order cost within the checkout.
Tax on shipping changes whether or not you charge extra taxes on shipping. These will be broken down underneath the Shipping in the order confirmation sent to your customers.
If you are located in Canada or the United States and are using Bold's Tax Service with Bold Checkout, taxes will be calculated based on your store's warehouse location.
- From the BigCommerce admin, select Apps.
- Select Bold Checkout.
- Select Payment Options, then Tax Settings.
- Under Charge Settings, select:
- Include taxes in the price of my products; and/or
- Add taxes to shipping cost.
- Select Create With Presets or Create Custom Zone.
- Create With Presets - Allows you to select predetermined tax rates on a per country basis.
- Create Custom Zone - Allows you to set custom tax rates for a single or group of countries. This is the setting you will need to use for the US and Canada as they are not listed within the preset North America region.
Note: Selecting Bold Checkout on the Choose your tax provider option will automatically pull the most up to date tax rates we have for the selected countries.
- Under Connect Tax Provider, select Connect. (optional)
The percentage you use for custom tax rates will be used to calculate your customer's taxes.
Each custom tax rate needs to be defined as they ensure you won't need a Warehouse Zone within that specified zone.
Using Bold Checkout as your primary tax provider means that Checkout will be calculating your customer's tax rates depending on your warehouse settings. These settings can only be used if your store is located in Canada, or the United States.
As a general rule of thumb, taxes only need to be charged in areas that your store has a presence in (usually a nexus or warehouse), but there may be laws specific to each zone that require you to charge different taxes.
Your store has a warehouse in New York, USA and a customer purchases an item. This customer will be charged taxes local to the state of New York and applicable county.
Your store has a warehouse in New York, USA and a customer from Canada purchases an item. This customer will not be charged any tax.
In order for Bold Checkout to automatically calculate your customer's taxes, you will need a warehouse. The warehouse address must be a real address, but doesn't need to be your store's actual address.
Bold Checkout's integration with TaxJar allows you to simplify how your customer's tax rates are calculated.
When this integration is enabled, TaxJar will calculate your customer's tax rates directly through the TaxJar service. TaxJar will also then collect your customer's tax information and file it on your behalf (on a pre-determined basis). Please visit TaxJar's website for more information.
In order to complete this integration, open Bold Checkout and navigate to Payments, then Tax Settings. Beside the TaxJar option, select Connect, then enter your TaxJar API token.
Taxes in Europe are called VAT, which stands for Value Added Tax.
Depending on your customer's country, taxes charged through the Bold Checkout will not able to be removed. This means that if VAT is currently set up, it will have to be a default charge on all orders.
In order to resolve this, you will need to change Bold Checkout's Tax Settings so that the tax is added to the price of the item. Changing this ensures your customers will get charged taxes.
Bold Checkout is otherwise not able to exclude specific customers from being charged taxes.