How to Set Up a Fixed Tax Rate?
In this help guide, we’ll highlight the details of how to charge employers a fixed tax rate during checkout.
First, you need to navigate to Payment Platform > Tax Settings to enable tax collection and choose the Fixed tax rate collection method:
Next, choose the Tax Rate — This is the fixed percentage that will be applied to all product purchases
For the Tax Behavior setting, you can choose one of the following options:
Exclusive: Tax is added on top of the product price.
For example, if the product is $50 and the tax rate is 15%, the employer will pay $57.50 — that's $50 plus $7.50 tax.
Inclusive: Tax is included in the product price.
For example, if the product is $50 and the tax rate is 15%, the employer will still pay $50 — with $6.52 of that amount being tax (i.e., the price already includes the tax).
Enabling Fixed Tax Collection
First, you need to navigate to Payment Platform > Tax Settings to enable tax collection and choose the Fixed tax rate collection method:
Next, choose the Tax Rate — This is the fixed percentage that will be applied to all product purchases
For the Tax Behavior setting, you can choose one of the following options:
Exclusive: Tax is added on top of the product price.
For example, if the product is $50 and the tax rate is 15%, the employer will pay $57.50 — that's $50 plus $7.50 tax.
Inclusive: Tax is included in the product price.
For example, if the product is $50 and the tax rate is 15%, the employer will still pay $50 — with $6.52 of that amount being tax (i.e., the price already includes the tax).
Updated on: 26/03/2025
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