Setting Tax Preferences for Businesses Businesses can now specify whether products are tax inclusive or tax exclusive to ensure the correct tax convention is followed based on their requirements.
Enabling Tax Preferences This can be enabled for all products by changing the settings in Global settings, under Payments > Settings > Taxes OR on a product level while creating or editing the product.
Global Settings Preferences On a global level, there are 2 settings preferences – Tax Inclusive OR Tax Exclusive, which are answered as Yes or No to the question “Include tax in prices”.
Product Level Settings Preferences On a product level, there are 3 settings preferences – Follow Global settings OR Tax Inclusive OR Tax Exclusive, as answers to the question “Include tax in prices”.
If no selection is made at a global level, the default selection will be Tax Exclusive.
If the selection is changed to Tax Inclusive at the global level, then all products created thereafter will be Tax Inclusive by default.
Managing Existing Products All products created in the past will have default tax settings set to “As per Global settings”, ensuring that as the global settings change, the preference for these products will also change. Users can also manually change these settings to inclusive or exclusive, unlinking them from the global settings.
While creating or editing a product, the tax preference can be changed to Tax Inclusive or vice versa, depending on the need.
