Automatic Tax Calculation

Basic automatic U.S. state sales tax calculation is available to all BigCommerce plans. Automatic tax calculation will determine sales tax rates at checkout based on a standard tax rate for states in which you are required to collect sales tax. Avalara will use the customer's shipping address and the store's shipping origin for their calculations.

If you or your customers require any special exemptions, if you sell products which require an excise tax, or if you have other special requirements, we recommend switching to manual tax configuration.

 

Have an Avalara AvaTax account? You can connect your paid Avalara account to your store for extended tax functionality, like product tax codes, tax-exempt customer category codes, tax document submission, and customer address validation.

Enabling Automatic Sales Tax Calculation

1. Go to Store SetupTax.

2. Next to Tax Calculation, click Automatic.

Tax Calculation set to "Automatic"

3. Under Advanced Tax Settings, enter a Tax Label. This will be shown to your customers when tax is displayed in your store during the checkout process and on manual orders.

Advanced Tax Settings for Automatic configuration

4. Enter your applicable states for Charge my customers sales tax in the following states (you may enter more than one). Start typing the name of a state, and a dropdown will appear for you to select from.

5. For Prices Entered With Tax, we recommend No, I will enter prices exclusive of tax if the product prices you will be entering do not already include tax. If you will be entering your product prices with the tax component already applied, choose Yes, I will enter prices inclusive of tax.

6. Save your changes.

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