To avoid unpleasant surprises down the road, be sure to properly set up and configure the tax rates that apply to your store.
This article provides basic tax information related to online store settings but does not offer tax advice. Each shop owner must do their own research to get up-to-date information and make accurate tax decisions.
Opening the tax settings page
Log in to your store.
Click Settings on the side menu.
Click Tax.
Setting the VAT/tax number
Click the Where is your business based? field.
Select a country on the drop-down menu.
Depending on the country, the page displays two or three tax checkboxes. Click the relevant boxes if you need to collect taxes in the UK, US, or EU.
Enter your company VAT/Tax number (if applicable) into the VAT/Tax Number field box so it can be shown on invoices and order receipts.
US and EU nexus
If you suspect online sales could trigger a US or UK nexus, check the appropriate boxes.
Setting Up Tax & VAT UK
If your business is based in the UK, check the Charge Tax on Sales box. This opens several new fields.
Product Prices include or exclude TAX? - Click the field and select an option: prices exclude tax or prices include tax.
If you select Prices Include Tax, Stor displays the amount of tax within the checkout's price breakdown.
Tax on Delivery Charges? - Click the field and select an option: exclude or include tax on shipping/delivery charges in the price. Within the UK, certain Royal Mail services are tax-exempt, however, others are subject to a 20% tax rate. More information on Royal Mail's tax implications can be found here.
Example If you select Include Tax and set a £10.00 product price, the price breakdown at checkout will show this as Cost £8.33 and Tax £1.67.
Product Specific tax rates (UK)
Shop owners can set a specific tax rate for each product. This is useful when managing products with tax rates that differ from the standard 20% rate (e.g. 5% for baby car seats or zero for antiques).
System users can adjust the tax rate of each individual product. Go to the Edit Product page, select Basics on the side menu, and scroll down to the Price section.
To display the VAT drop-down menu on the Basics page, users must enable the Charge on Tax Sale option on the tax page (see above).
Setting Up Tax US
If your business is based in the US, check the Charge Tax on Sales box. This opens new fields. Enter a general tax rate and your tax number.
Product Specific tax rates (US)
Shop owners can set a specific tax rate for each product. State sales tax will be automatically calculated depending on the customer's address. If you need to verify, click this link to learn more.
If you have any queries about this guide, feel free to get in touch with our Support team on Live Chat or via email.