Need to be able to apply tax rates by individual product category

Is there any word on when commerce shops on Squarespace will be able to specify if some items or product categories are exempt from sales tax? I have a client who is looking for a work around so that she doesn't charge customers for tax on a specific product category in her shop. 

I realize this isn't an option now, but it would be such a great (and necessary) feature for so many reasons!

For the items you want to be tax exempt, you can list them as a service instead of a product. You also have to figure your tax manually. When you go into the state to set up the manual tax rate you can check to not tax services.

1 minute ago, ArtandPoetry said:

For the items you want to be tax exempt, you can list them as a service instead of a product.

The problem with this workaround is that service products won't prompt for shipping.

Good point, Paul. Mine really is a service, so I didn't notice that. Maybe shipping costs could be added to the product price. Strange that this isn't an easy thing to do. I'm sure it is common.

On 2/10/2022 at 10:21 PM, ArtandPoetry said:

Maybe shipping costs could be added to the product price. Strange that this isn't an easy thing to do.

Shipping costs cannot be added to a service product so you'd need to use a physical product. Here's hoping this (and the other commerce limitations are fixed soon)!

Hi,

Is there any solutions on VAT and zero VAT rated products.  Can someone explain how I set up both types of product within Squarespace as I'm currently struggling to do this?

Thank you

On 4/25/2022 at 11:11 AM, MrCutto said:

Is there any solutions on VAT and zero VAT rated products. 

VAT exemption isn’t available for individual products. See my longer answer here: 

For more information, see my up-to-date list of Squarespace Commerce Limitations.

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On 4/25/2022 at 1:39 PM, paul2009 said:

VAT exemption isn’t available for individual products. See my longer answer here: 

For more information, see my up-to-date list of Squarespace Commerce Limitations.

 

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But in sweden we have 25% VAT. and we have 12% VAT. And we have 6% VAT & we have 0% VAT.

Is there anyway to run a SQSP commerce store legally in Sweden..? I can't see how without individual tax rates?

7 minutes ago, www.Marsden.IT said:

But in sweden we have 25% VAT. and we have 12% VAT. And we have 6% VAT & we have 0% VAT.

The issue is the same in many other countries where VAT rates also vary. In the United Kingdom, we have a standard rate of 20% that applies to most goods, a reduced rate of 5% and a 0% rate for most food and children’s clothes. 

If all your goods are subject to VAT at the same rate then Squarespace works well because you can set this VAT rate for all physical products, and optionally charge this for services.

However if you sell products outside the US that are subject to different VAT rates then Squarespace isn't currently suitable because you cannot use product tax categories outside the US.

How is this still an issue?!  New business, new site, new e-store.  Our products are GST exempt in Australia but shipping is not, we have no option or workaround for this which is really frustrating.  Having serious regrets that we didn't just go with Shopify instead!  Shopify has a checkbox and you can just make the product tax exempt, squarespace is being lazy AF.

Found this issue, setting up for a client and its a bakery selling online in the UK.  Goods are exempt from Tax (VAT) but shipping isn't.  There is no way to apply tax to shipping without applying it to products.  What a ridiculous limitation?!

I'm a small business owner in Australia and I sell both GST applied AND GST free products. I'm currently spending a small fortune with accountants trying to manually reconcile my sales waiting for Squarespace to catch up to their competition in this area by offering a checkbox to offer product items tax exempt. Has there been any movement in the last two years on this?? Or is there a reasonably effective workaround?? Right now my only option seems to be to move platforms back to Shopify? 

I have discovered that you can not assign different taxes to different products which I need for my Australian store.

Has anyone just added no GST then sent a separate tax invoice to customers - is this a legitimate work around?

Is a viable (although time consuming)  work around to not specify GST to customers on SS then send a separate tax invoice that details tax paid?

is a legitimate work around to send a follow up invoice detailing taxes

This is an issue in the US as well. Clients that live in cities like NYC who charge a sales tax on Services and a different rate on products. 

Seems like after several years at the very least there could be a different tax rate on services.

This has to be updated or we all need to leave, enough time has passed by.