Why is this required?
All AXOMO stores are responsible to set up sales tax preferences. This is because sales tax varies for every location and business type. We recommend consulting with your accounting or legal team to ensure sales tax information for your store is set up correctly.
How to set up sales tax for your store
1.) Consider Your Store Type
Is your store reselling merchandise or used to reorder products you’ve ordered before? Not sure? Here’s how to determine your store type and what to do next:
- Reorder Stores
- Strictly used to reorder products from Namify, AXOMO’s product supplier
- Doesn’t use store credit, budgets, or gift cards
- No markup on items
Is your store a reorder store? If so, nothing else is needed for now. Sales tax information is only needed for reseller stores.
- Sells and distributes products to users
- Marks up items
- Uses store credit, budgets, or gift cards
Is your store a reseller store? If so, you’ll need to complete the next steps to get sales tax information set up for your store
2.) Set Up Sales Tax Rates
In the admin panel, head over to Billing > Sales Tax and click “Add New”. Add your tax rate (commonly found on your state’s business tax website) and location information and save your changes.
Here, you can also toggle sales tax on budgets and store credit. When turned off, the store credit or budget amount will be removed from the subtotal before sales tax is calculated. This will reduce the tax liability for the product you are giving away.
3.) Provide W9 (Resellers Only)
In the admin panel, head over to Billing > Sales Tax. Upload a copy of your W9 for the final verification of your tax details.
That’s it! After completing these steps, your store’s sales tax information is ready to go
We understand that sales tax can get complicated in certain scenarios. If you need outside help from a legal team, contact us at firstname.lastname@example.org and we’ll connect you with a tax expert.Tags: sales, tax