Tax Configuration & Management Settings

Modified on Wed, 23 Apr at 1:18 PM

In this article, we will explore the meaning of the settings located in the Tax Configuration and Management section of the Company Settings page.

Setting	Description
Tax Configuration & Management	This section allows you to specify tax rates for services, products, packages, memberships, and environmental fees. Learn more here.
Display prices inclusive of VAT/GST in Online Booking	When enabled, clients will see prices that include VAT/GST when booking online. If the setting "Activate VAT pricing" is ON, 'VAT inclusive' will be displayed. If the setting "Activate VAT pricing" is OFF, 'GST inclusive' will be displayed. This setting is typically used for countries that apply VAT or GST.
Activate VAT for pricing	This setting controls how taxes are calculated in the POS system. When activated, the subtotal amount includes VAT, meaning the total amount is the same as the subtotal. When not activated, tax is calculated on the subtotal and added separately to determine the total. This setting should be only activated once, before you use the POS system. This setting is typically enabled for countries that apply VAT or GST. Learn more here. When the "Activate VAT for Pricing" setting is ON, prices in the online booking interface will display as "VAT inclusive." If "Activate VAT for Pricing" is OFF and "Include Taxes in Display Price?" is ON, prices will display as "GST inclusive." If both "Activate VAT for Pricing" and "Display prices inclusive of VAT/GST in Online Booking" are OFF, prices will display as they were previously, without tax inclusion.
Default Tax ID number	This Tax ID will be used as the default on client receipts if no Tax ID is provided under Business Setup > Business Profile > Location > Edit Location.
Apply Membership Value Credits	Before Tax - This setting allows the client's membership value credit to be deducted from the total cost of products or appointments before any taxes are calculated. In other words, the membership credit is applied to the pre-tax amount. This can be beneficial for clients, as it reduces the overall cost. After Tax - This setting allows the client's membership value credit to be deducted from the total cost, including taxes. This means that taxes are calculated on the full price of the products or appointments before the membership credit is applied. If the "Before Tax" option is selected, the "Select Locations to Apply Sales Tax After Membership Credits" option will appear. From the dropdown menu, you can choose all locations to apply the value credit before tax, or you can specify individual location(s). Learn more here.