Set up tax rates on a Volusion Store

Set up tax rates on a Volusion Store

All eCommerce merchants have one thing in common, and that is the tax that is deducted per order from each state that they serve. As long as you are active and running orders, the Sales tax element is something that’ll concern you.

As per the latest ruling States can now collect sales tax from any consumer for a purchase made from that state, which would then overturn the Quill law from 1992, that forbid states from levying any tax if you did not have a physical presence. Something that levels the playing field for brick and mortar stores.

Each state has now proposed to remit its share of Sales Tax from an order meant for that concerned state. Besides the common tax, also called the uniform tax, you’d be paying order plus county specific taxes.

This makes Tax compliance a major headache for every eCommerce store, as the processing and meticulous calculation involved to determine the exact tax for every sale, leads to lengthy spreadsheets, complicated CSV’s, wastage of valuable time and resources.

Let’s look at some of how you can overcome this difficulty with ease:

Automatic Feature

If you are already running a store on Volusion, you’d be familiar with the pre-set Tax model that lets you set the Default tax. This is an automatic feature that enables you to calculate the state-specific tax.

Just go to the dashboard and then select tax and it’ll give you a pop up of your applicable tax rate, depending on where your business is located.

However, if you wish to change the tax and let’s say your business is based out of Utah, enter the Pin code and instantly it will auto-fill the tax rate field for you.

And if you are a business which has a nexus, that is if you are currently spread out physically in more than one state in the USA, then you could opt to register for that state as well, following the same process which leads to the addition of a new rate.

Some states come with a flat rate, whereas in others the Sales tax varies from county to county.

Plugins

Fortunately to streamline the process of deducting the appropriate tax, nowadays we have a set of extensions that get the job done. No need to get into extensive tax registers and excel sheets, to arrive at the exact tax amount.

Install either TaxCloud, TaxJar or Avalara to deal with your tax woes. Simplify tax protocols at each stage, streamline the process of remittance, reporting, and filing. Never miss a deadline and on top of it never pay in excess. As it accurately determines the tax owed per state.

Any new updates, regulation changes or policy impacts are updated immediately and automatically from their end. Sit back and automate all the tax compliance issues to these plugins. As they handle all the tax related obligations on the back end, without needing any intervention from your side.

This means the valuable time saved can be invested in growing your business.

Plugins will instantly recognize any new tax rates, set county specific tax deductions and remit the tax to the state accordingly and even prepare the reports.

Set the plugin to submit tax reports or manually do the same at the end of each term.

Even integrate all of them with Virtina’s very own tax specific solution called Taxility that addresses all your jurisdiction wise sales tax issues, so you can dump all the paperwork and finally get a complete peace of mind.