How to Add Sales Tax to Wix

Setting up sales tax on your Wix store is essential for staying compliant with local tax regulations and providing a transparent shopping experience. Wix provides built-in tools for tax configuration, including automatic calculations and manual customizations. This guide will walk you through the full process.

Access the Wix Tax Settings

To begin, you need to reach the correct section in your Wix dashboard.

1. Log in to your Wix account.
2. Go to Settings in the left-hand menu.
3. Select eCommerce & Finance and then Tax.

Enable Automatic Tax Calculation

Wix integrates with Avalara AvaTax to offer automatic sales tax calculation for businesses in the US, Canada, and select other regions. This method ensures real-time updates and region-specific compliance without manual effort.

Steps to enable automatic tax:

1. Navigate to Settings > Tax in your Wix dashboard.
2. Click Set Up Automated Tax.
3. Enter your store’s physical address. This will act as your tax nexus.
4. Confirm your business category and any product-specific exemptions if applicable.
5. Save changes and toggle the switch to activate automatic calculation.

Once enabled, AvaTax will automatically determine applicable sales tax at checkout based on the customer’s shipping address, your store’s location, and the item category.

Configure Manual Tax Rules

Manual setup is ideal for businesses operating in regions not covered by AvaTax, or those who prefer full control over how taxes are applied. You can define fixed tax rates by country, state, or ZIP code.

How to add a manual tax region:

1. Go to Settings > Tax.
2. Click + Add Tax Region.
3. Select the country (and optionally the state or province).
4. Enter a fixed tax rate percentage (e.g., 7.25%).
5. Decide if this tax should apply to shipping as well.
6. Click Save to activate the rule.

You can create multiple regions and assign different tax rates for each. For example, you might set one rate for California and another for New York, or define a national rate across Canada.

Manual setup lets you:

• Define flat tax rates by region.
• Control how tax is shown (inclusive or exclusive of product price).
• Apply tax rules to specific product types (e.g., exempt groceries or services).

Tax Setup for Digital Products

If your store offers digital downloads or services, tax rules may differ.

• Navigate to your product settings.
• Mark products as digital goods if applicable.
• Review regional tax regulations—some areas do not tax digital items.

Digital tax compliance can vary. Consider checking with a local tax advisor.

Location-Based Tax Rates in Wix

Wix allows you to set different rates for customers based on their shipping or billing addresses. You can:

• Set up multiple tax zones (e.g., California, New York).
• Apply different tax rates based on ZIP codes.
• Decide whether to show prices with or without tax.

Adding VAT or GST

For international businesses, especially in the EU, UK, Canada, or Australia, VAT or GST setup is crucial.

1. Go to the tax settings area.
2. Add a region where VAT or GST applies.
3. Enter the correct rate and specify whether tax should be included in the price.
4. Label the tax as VAT or GST accordingly.

Wix does not automatically file VAT/GST returns, so you’ll need to report collected tax to local authorities.

Customizing Tax Rules in Wix

In addition to general settings, you can tailor how tax is applied:

• Choose whether to apply tax to shipping charges.
• Apply tax based on billing or shipping address.
• Choose if tax is added on top of the price or included in the displayed price.

Troubleshooting Common Issues

Some users experience problems while setting up tax. Here’s how to fix them:

Sales tax not showing? Make sure tax is enabled in the Wix dashboard and assigned to the product category.

Wrong tax rate applied? Check your region settings and confirm your store address is accurate.

Digital products being taxed incorrectly? Ensure they’re marked as digital in the product settings.

Stay Compliant with eCommerce Tax Laws

Whether you use automatic or manual settings, regular review is necessary to stay compliant:

• Review tax settings quarterly or when laws change.
• Keep business location and contact details updated.
• Export tax reports regularly for accounting.

Useful Links

Setting Up Automatic Tax Calculation – This guide explains how to enable and configure automatic sales tax calculations using Avalara AvaTax, ensuring compliance with local tax regulations.

Setting Up Tax Calculation Using the Manual Method – Learn how to manually set up tax regions and rates for your Wix store, allowing for customized tax configurations based on your business needs.

Including Tax in the Product Price – Understand how to display product prices with tax included or excluded, and configure your store's tax display settings accordingly.

Wix Analytics: About Your Accounting Reports – Access detailed accounting reports in Wix Analytics to manage your store's financial data, including sales summaries and transaction details.

Wix Stores: Displaying Tax and Shipping Info with Product Prices – Learn how to display tax and shipping information alongside product prices to ensure transparency for your customers.

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Conclusion

Adding and managing sales tax on Wix is straightforward once you understand the options. Use automatic tax calculations when possible to reduce manual workload. For global or niche needs, manual configuration ensures flexibility. Always verify your tax rules regularly to keep your store compliant and your customers informed.