With Stripe Tax integration, you may configure settings within your Stripe dashboard to calculate taxes on cities, states and countries. The full documentation for Stripe Tax set up can be found at: https://stripe.com/docs/tax/set-up
If you want to use Stripe Tax with Payment Intents, please email Stripe at firstname.lastname@example.org.
Once you receive confirmation from Stripe, you may continue with the steps below.
Enable Stripe Tax
Navigate to eCommerce > Payment Settings > Stripe > Enable Stripe Tax, and click the 'Save' button.
Exclusive - Tax is not included in the invoice subtotal
Inclusive - Tax is included in the invoice subtotal
The following table illustrates a 25% tax rate modifying the total amount due, depending on whether it’s exclusive or inclusive.
Stripe Tax Settings Configuration
To configure the Stripe Tax Settings:
1) Log into your account at dashboard.stripe.com
2) Click the gear icon in the upper right portion of the screen
3) Click on the 'Settings' link in the tax section.
The following 3 steps must be completed:
1) Enter in your Origin Address, which is where your business is located
2) Select the Default product tax code, which could be 'General - Services' or 'Web Advertising'. ( We highly recommend you speak to your accountant or adviser on the best tax code to choose from the list Stripe provides, as we cannot provide financial advice. )
3) Select 'Shipping' as the Default shipping tax code.
Adding tax registrations in Stripe Tax
When setting up Stripe Tax, adding tax registrations confirms the states or countries where you’re registered to collect tax—only collect tax where you’re registered or intend to register.
Under the Business Information section, there will be a 'Tax Registration' section. Click on +Add Registration
Next, you will be able to select your country and other location settings.
Please be sure to contact your financial team to confirm the necessary configuration settings for you to utilize the Stripe Tax integration.
For more information about adding tax registrations, please visit the Stripe Tax Registration documentation.
The complete documentation for Stripe Tax can be found here.