Sales Tax Overview

 

On your WebAlliance website, sales tax is calculated and displayed to the user as an estimate. The sales tax amount does *not* import to your ERP system. Once the order itself imports, the sales tax will be recalculated by your ERP system.

Displaying correct sales tax is important in all cases, and it's especially important for Credit Card orders. The sales tax is added in to the authorized amount that you can charge a credit card. If no sales tax is shown on the website, the authorized amount won't reflect the true amount of the order.

If a user's Customer Code is marked as not taxable, then no sales tax will be calculated for that user. If the Customer Code is taxable, though, it could be calculated in one of three ways: standard B2B Ship To, manual shipping address, and Will Call/Customer Pickup.

Standard B2B Ship To

B2B users generally will select their shipping address from a list of Ship To addresses preconfigured in your ERP system. Each of those Ship To addresses is attached to a tax rate. That tax rate will be used to calculate sales tax on the order.

Manual Shipping Address

In cases where your users manually enter a shipping address, there's no Ship To that can be referenced. In those situations, the system can integrate with several tax calculation services to provide tax estimates.  

WebAlliance offers the possibility of integration with services such as Avalara and TaxJar.  To enable integration with either of those services, or to see if other options are available, please contact Aldrich Web Solutions. 

For an order with a manual shipping address, your ERP system will assign the default Ship To ID for the Customer ID associated with the order. This can affect your internal tax reporting.   If you have any problems with that reporting, you might find the Customer Address Ship To Overrides tool useful.

Will Call/Customer Pickup

If a user selects Will Call/Customer Pickup as their shipping method, the tax rate for their shipping address isn't relevant. In those cases, tax is calculated according to the tax rate for the user's selected pickup location.

Use the Inventory/Pickup Locations tool to configure the tax rate for each location that is applicable for Customer Pickup.