Taxes - can't live with 'em, can't live without 'em! Podia does the heavy-lifting to collect order taxes. 💪

In this article, we will guide you through how you can start collecting taxes on Podia 📝

In this article:


Collecting sales taxes

Step 1: From your dashboard, go to Settings > Payments.

Step 2: In the Taxes section you'll find a checkbox labeled Collect taxes. Check the box and watch the magic begin. ✨

Step 3: Now it's time to configure your tax behavior and add the jurisdictions you'd like. Let's take a closer look at each one of the options.


Tax behavior

You can select both the Inclusive and exclusive options for your taxes.

Inclusive- Choose inclusive if your product prices already include tax

Exclusive- Choose exclusive if your product prices do not include tax.

⚠️ Note: This is a site-wide setting that applies to all products.


Business name & Country

We pre-fill your business name, here. If you operate under a different business name, use that here.

Also, make sure to select the country your business is registered in.


New jurisdiction

A tax jurisdiction is an area subject to its own tax regulations. In order to get started, simply click on "+ New jurisdiction". Here's a list of all of the jurisdictions we currently support.

⚠️ Note: Adding a jurisdiction is MANDATORY in order to have your sales taxes calculated correctly upon checkout.

Add a jurisdiction for each location you are registered to collect taxes in. All tax jurisdictions supported by Quaderno are also supported here on Podia.

A valid Tax ID is required for each location you're registering.


Once you're done, click on Add jurisdiction. Feel free to repeat the process until you add as many jurisdictions as needed. 📈


How will it affect customers?

Enabling the option to collect taxes will change a couple of things for your customers, as of now, customers that meet the jurisdictions and settings you set up will be charged based on where they are located.

Here's how it works:

Location

We calculate taxes based on the customer's location.

They are able to override their country as long as they pay with a payment method in the same country they're choosing.

Reverse charges

If a customer chooses to provide their own tax ID and a reverse charge applies we'll set the tax rate to 0%.


FAQ

Does Podia remit taxes for me?

Podia doesn’t file or remit your sales taxes for you. What we do is help you collect these taxes by charging customers the correct amount upon checkout.

It would be up to you to remit these taxes based on your sales from Podia and/or any additional information you might find useful via your Stripe and/or PayPal accounts.

What are tax jurisdictions and why do I need them?

A tax jurisdiction is an area subject to its own tax regulations. It can be a country, region, group of countries, city, county, etc.

Taxes are calculated based on your customer’s location and your registered jurisdictions. Make sure you configure your jurisdictions correctly and update these whenever you register for tax collection on other jurisdictions as well! 📝

What jurisdictions are currently supported by Podia?

Here's a list of all of the jurisdictions we currently support.

Can I set up multiple jurisdictions on Podia?

Yes! You need to add a jurisdiction for each location you are registered to collect taxes in.

How do reverse charges work?

If a customer chooses to provide their own tax ID and a reverse charge applies we'll set the tax rate to 0%.


Any questions at all, please send us an email at hello@podia.com or click the purple icon below to chat. 😃

Did this answer your question?