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Sales Tax

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Jamison Estandian

28 Jul, 2017 04:05 PM

Is there a way we can calculate sales tax by customer or by plan? We need to calculate sales tax for our customers at different rates based on city and state. I see that there is a sales tax option at a product level, but taxing at that level is not useful to us.

If there is no way to do it, is there any work around to do this?

Thanks

1. Support Staff 1 Posted by Meghan Turner on 28 Jul, 2017 04:42 PM

   

   Hi Jamison,

   Yes, as of recently, you can add different tax rates to individual customer records rather than setting a product wide tax rate. Using the taxRate param, you can now pass in a tax rate for an individual customer with the customers/new, customers/edit, customers/import, and customers/edit-customer API calls. You can also assign a tax rate to an individual customer when creating or editing a customer record in the Cheddar user interface. Once you assign a customer a tax rate, that tax rate will be applied to all of their subsequent invoices. Although Cheddar doesn't calculate the sales tax rate for you, using the taxRate param, you can integrate your application with a service like TaxJar or Avalara to get a customer's tax rate and pass that into Cheddar when creating or editing a customer record.

   We've added information about this param to the API Documentation, but as this is a relatively new feature, we're still working on creating a Knowledge Base article that explains how to use this feature in more detail, so I'll go ahead and give you a quick rundown of the in's and out's of the tax rate feature here.

   First, to enable tax rates in your product, you'll need to have a tax rate configured in your product settings. You can set the tax rate to be the rate you think you may assign to the majority of your customers (a default tax rate, if you will) or you can set a tax rate and make customers exempt by default.

   Once you have a tax rate enabled, if you pass in a taxRate with one of the API calls I mentioned or add a tax rate to a customer record in the Cheddar user interface, it will override the tax rate (or exemption) that's in your product settings and the tax rate you've passed in for that customer will be applied to all of the customer's subsequent invoices.

   After you enable a tax rate for you product, you can assign an individual tax rate to existing customers by either making a customers/edit API call and passing in their tax rate or visiting the Edit Profile page of the customer's account in the CG user interface and entering a tax rate there.

   Let me know if I can answer any questions for you about this feature, Jamison!

   Meghan

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2. Marcela Poffald closed this discussion on 11 Apr, 2018 04:06 PM.