Why is Squarespace not collecting sales taxes?

I live in TN. My aunt just purchased a product with a shipping address in LA. I have my site setup to collect sales tax at checkout (I just double checked to make sure it was set up). For some reason, it's not collecting sales tax at checkout. 

Hi,

I'm having the same issue when I run my test orders. I'm brand new to selling online and I'm not seeing why it's not working. I haven't opened my shoppe yet because of this problem. Have you by chance found out the answer?

Hi! And no! I've had sales tax turned on, but it's not being added. No solution yet. Thankfully I'm not selling a lot right now, but I don't want to start promoting the business until this is fixed. Thanks for responding.

On 4/22/2024 at 6:41 PM, WinterFox said:

I live in TN. My aunt just purchased a product with a shipping address in LA. I have my site setup to collect sales tax at checkout (I just double checked to make sure it was set up). For some reason, it's not collecting sales tax at checkout.

From your screenshot, it looks like you have enabled TaxJar to set up automatic tax rates, so this should calculate the taxes automatically using 'origin-based sales tax rates' for TN. If you haven't already done so, I'd encourage you to contact TaxJar for help. Let us know how you get on.

2 hours ago, irishcolleencreates said:

I'm having the same issue when I run my test orders.

How have you configured tax rates? Have you set up manual tax rates or are you using automatic tax rates with the TaxJar extension? If you're using the manual setup, how is it configured? If you're using TaxJar, have you contacted them?

I have the automatic tax rates with the Taxjar extension. I did contact Taxjar, they say I am good to go from their end and I just needed to toggle on the "enable automatic calculations" on my tax panel on Squarespace. Honestly, I don't see a toggle. I've contacted Square space and they are sending me back to Taxjar to register my business locations. I've done that, but there's still the block on my taxes panel saying I need to register. My business is brand new. I haven't officially opened my shop yet and therefore haven't made any sales. I'm not sure if that's why things aren't working or what. If you have any suggestions, solutions, or advice, I'd appreciate it.

I have the same issue. Added taxjar and it is giving me taxes for California only which is my location. I need sells tax at checkout for all states in the US

I'm having the same issue on my Squarespace store. Set it up to use TaxJar and it's not working.
Connected my accounts and everything. 😪

Hi! Taxjar and Squarespace are now working for me in my store. For my situation, it turned out that for some reason, my Taxjar account was showing I wasn't connected to some accounts in Squarespace and I needed to fix the issues. When I tried to fix the issues, nothing happened so I took a screenshot and sent to Taxjar support. They replied that they were having internal issues and would look into it. A few hours later, everything was working and I was able to open my shop. As far as the sales tax showing up in check out, I'm still learning all about that. I'm a newbie to the online business world and have been doing a lot of research on my responsibilities with sales tax. There is a thing called nexus and there are different types of nexus. You may have sales tax collection responsibility in the state in which you have your business (physical nexus), but not in some other states you're selling to until you've crossed their threshold (economic nexus). If it sounds confusing, it is. There is an accounting group that has a YouTube channel called, ledgergurus. They're very good at explaining the whole sales tax thing. Try to take screenshots of your accounts and contact Taxjar with your issues. Hopefully, they can help you out.

On 6/4/2024 at 10:51 AM, irishcolleencreates said:

You may have sales tax collection responsibility in the state in which you have your business (physical nexus),

I'm having the same exact issue. Nothing is being collected at checkout, but everything is set up correctly with TaxJar. Any updates on this front? I have specific tax categories enabled for the various products on our shop: www.stockprovisions.com

Hi, I am having the same issues.  It isn't clear how sales taxes work.  I have a client trying to collect sales tax, but when I contacted TaxJar, they were not very forthcoming.  They said once we hit a certain threshold of sales and set up our Nexus - Vermont, then; sales tax will be collected. 

This is weird because they sell on Bandcamp, and collect sales taxes all over the USA.  Squarespace makes this so freaking confusing/convoluted. Then once the sales tax IS collected, my client asked me where we send the sales tax we collect. I am not a tax expert I told her that was a great question. I am researching this for her, and myself. I know that sounds like a noob question, and it is I agree. I just need to know. 

Anyone able to help with this? 

I'm experiencing this same issue. I'm all set up in TaxJar, and I've connected the extension to my website. However, when I go to test at checkout, it appears as though no taxes are being collected. Please help!

On 8/22/2024 at 11:16 AM, KoriLinaeC said:

This is weird because they sell on Bandcamp, and collect sales taxes all over the USA.  Squarespace makes this so freaking confusing/convoluted. Then once the sales tax IS collected, my client asked me where we send the sales tax we collect. I am not a tax expert I told her that was a great question. I am researching this for her, and myself. I know that sounds like a noob question, and it is I agree. I just need to know. 

Your client sounds like a musician, and since I am also a professional musician, I can answer this one.  You need to register as a business with the state in which you live.  Once you do, you'll need a seller's permit or license or whatever other requirement your state has.  At that point, your client will register with the state to file those taxes.  I think the best idea is for your client to work with an accounting professional to get all of this stuff set up and hten you can automate from there. All the best.

On 9/2/2024 at 9:25 AM, colleenraney said:

Your client sounds like a musician, and since I am also a professional musician, I can answer this one.  You need to register as a business with the state in which you live.  Once you do, you'll need a seller's permit or license or whatever other requirement your state has.  At that point, your client will register with the state to file those taxes.  I think the best idea is for your client to work with an accounting professional to get all of this stuff set up and hten you can automate from there. All the best.

Funny you should say that - we are both musicians!  This is good to know. I did talk with another musician friend of mine and she gave me the same advice. Thank you very much!