The Goal: Create tax sets that combine one or more tax rates together, so taxes become available for selection when you create goods & services.
Before You Begin:
- You need permission to manage billing and tax settings.
- Setting up taxes is a multistep process. If any of your goods/services are taxable, you will need to configure each of the following first:
- Have your individual Tax Rates created. See Setup Tax Rates for information on setting up individual tax rates.
What is a Tax Set? Tax sets allow you to combine multiple tax rates. For example, if you have local, state, and county taxes, you can create a set that includes all of these tax rates so you can view the breakdown by collecting agency. Tax setup in the v2 back office is a single path, worked through in order on the Tax Settings page: Product Tax Categories, Tax Rates, Tax Regions, Tax Rules, then Tax Sets.
NOTE: Even if you are NOT combining several rates together, sets MUST be created to make the taxes available for selection when creating goods & services.
Step-by-Step Instructions
- Create individual Tax Rates. See Setup Tax Rates for information on setting up individual tax rates.
- Go to Finance, Administrative section, click Tax Settings and select Tax Sets and click Add.
- Enter a name for the new tax set.
- Select the Tax Region from the drop-down box.
- Click the add icon to select the tax rate to be included in the set. Begin typing the name of a tax rate created previously on the Tax Rates page.
- Repeat the previous step to add additional tax rates to the set.
NOTE: If you are simply creating a tax set for an individual tax rate, you need only select the one associated tax rate. - Click Done.
Common Pitfalls
- Skipping the tax set entirely: Even when a tax has only one rate, you must still create a tax set — otherwise the tax will not be available for selection when you create goods & services.