Automated Sales Tax Collection with Commerce Hub

What is it?

Automated sales tax enables Commerce Hub customers to use accurate, on-demand sales tax calculations when selling with invoices, payment links, quotes, or subscriptions. Sales tax is automatically calculated based on your buyer's location and then collected at checkout.

Why does it matter?

Keeping track of ever-changing tax rules and tax rates is incredibly difficult. With automated sales tax, you can shift the burden of tax calculations to Commerce Hub so you can focus on selling.

How does it work?

To start selling with automated sales tax, first set up and configure sales tax within Taxes and policies in Payments Settings:

• Provide your tax business address
• Add tax registrations for the areas you collect tax
• Set a tax category on your products & services

Once automated sales tax is turned on, create an invoice, quote, or subscription and:

• Associate a Company with an address (or enter their billing address)
• Add products and services with tax categories
• Click Create

When the invoice, quote, or subscription is created, sales tax will be automatically calculated and added using the associated Company Address. The tax amount is visible on both the invoice or quote PDF as well as at Checkout.

When selling with payment links and automated sales tax, the sales tax amount is calculated at Checkout based on the buyer's billing or shipping information.

Note: Automated sales tax is powered by Stripe Tax. Commerce Hub customers using Stripe payment processing are subject to Stripe Tax fees.

Who gets it?

Commerce Hub customers who are based in the US & Canada and using Stripe payment processing or HubSpot payments.