Automatic Tax Rate – Incorrect?

  • Resolved mrbluesea

    (@mrbluesea)


    2 years, 10 months ago

    Hi, Setting up a store for a client and having an issue with Automated Tax Rates, seems to be charging tax when the item is tax-exempt.

    Here are some details,
    The store is based in PA and the checkout address is also PA, the item in the cart is a Lab Coat. I have added a tax class according to Taxjar categories. The tax class used is “46181532a0000”, but I set the Tax Status to “Taxable”. (I am not sure what effect the tax status has on the Automated tax from Taxjar, I expect that it will still request that tax but use the stated category and return the correct tax rate)

    However, on the cart, it seems to be returning tax for this item.
    Here is the WC Taxes Log.

    01 - 19 - 2022 @ 06: 46: 21 - ::::TaxJar Plugin requested::::(WCS Tax)
01 - 19 - 2022 @ 06: 46: 21 - ::::TaxJar API called::::(WCS Tax)
01 - 19 - 2022 @ 06: 46: 21 - Received: {
  "tax": {
    "amount_to_collect": 1.44,
    "breakdown": {
      "city_tax_collectable": 0.0,
      "city_tax_rate": 0.0,
      "city_taxable_amount": 0.0,
      "combined_tax_rate": 0.06,
      "county_tax_collectable": 0.0,
      "county_tax_rate": 0.0,
      "county_taxable_amount": 0.0,
      "line_items": [{
        "city_amount": 0.0,
        "city_tax_rate": 0.0,
        "city_taxable_amount": 0.0,
        "combined_tax_rate": 0.06,
        "county_amount": 0.0,
        "county_tax_rate": 0.0,
        "county_taxable_amount": 0.0,
        "id": "5661-ce8cd13cd936b4173acbfe124ea1b0f0",
        "special_district_amount": 0.0,
        "special_district_taxable_amount": 0.0,
        "special_tax_rate": 0.0,
        "state_amount": 1.44,
        "state_sales_tax_rate": 0.06,
        "state_taxable_amount": 23.99,
        "tax_collectable": 1.44,
        "taxable_amount": 23.99
      }],
      "shipping": {
        "city_amount": 0.0,
        "city_tax_rate": 0.0,
        "city_taxable_amount": 0.0,
        "combined_tax_rate": 0.06,
        "county_amount": 0.0,
        "county_tax_rate": 0.0,
        "county_taxable_amount": 0.0,
        "special_district_amount": 0.0,
        "special_tax_rate": 0.0,
        "special_taxable_amount": 0.0,
        "state_amount": 0.0,
        "state_sales_tax_rate": 0.06,
        "state_taxable_amount": 0.0,
        "tax_collectable": 0.0,
        "taxable_amount": 0.0
      },
      "special_district_tax_collectable": 0.0,
      "special_district_taxable_amount": 0.0,
      "special_tax_rate": 0.0,
      "state_tax_collectable": 1.44,
      "state_tax_rate": 0.06,
      "state_taxable_amount": 23.99,
      "tax_collectable": 1.44,
      "taxable_amount": 23.99
    },
    "freight_taxable": true,
    "has_nexus": true,
    "jurisdictions": {
      "city": "SCRANTON",
      "country": "US",
      "county": "LACKAWANNA",
      "state": "PA"
    },
    "order_total_amount": 23.99,
    "rate": 0.06,
    "shipping": 0.0,
    "tax_source": "origin",
    "taxable_amount": 23.99
  }
}(WCS Tax)
01 - 19 - 2022 @ 06: 46: 21 - ::Adding New Tax Rate::(WCS Tax)
01 - 19 - 2022 @ 06: 46: 21 - {
  "tax_rate_country": "US",
  "tax_rate_state": "PA",
  "tax_rate_name": "US-PA-LACKAWANNA-SCRANTON Tax",
  "tax_rate_priority": 1,
  "tax_rate_compound": false,
  "tax_rate_shipping": 1,
  "tax_rate": 6,
  "tax_rate_class": "46181532a0000"
}(WCS Tax)
01 - 19 - 2022 @ 06: 46: 21 - Tax Rate ID Set
for 17(WCS Tax)
01 - 19 - 2022 @ 06: 46: 21 - ::Adding New Tax Rate::(WCS Tax)
01 - 19 - 2022 @ 06: 46: 21 - {
  "tax_rate_country": "US",
  "tax_rate_state": "PA",
  "tax_rate_name": "US-PA-LACKAWANNA-SCRANTON Tax",
  "tax_rate_priority": 1,
  "tax_rate_compound": false,
  "tax_rate_shipping": 1,
  "tax_rate": 6,
  "tax_rate_class": ""
}(WCS Tax)
01 - 19 - 2022 @ 06: 46: 21 - Tax Rate ID Set
for 18(WCS Tax)

    Is this correct? I am under the belief that the tax category “46181532a0000” is exempt.

Viewing 5 replies - 1 through 5 (of 5 total)
  • Thread Starter mrbluesea

    (@mrbluesea)

    Any Ideas?

    Thread Starter mrbluesea

    (@mrbluesea)

    No one else have any more info?

    Plugin Support 3 Sons Development – a11n

    (@3sonsdevelopment)

    Hey @mrbluesea,

    Great question. I do not know if the class, 46181532a0000 is taxable or not. Setting the product’s tax status to “none” should prevent taxes from being added.

    If that doesn’t remove the tax, let us know.

    Cheers

    Thread Starter mrbluesea

    (@mrbluesea)

    Hmm, this doesn’t really resolve the issue, the correct usage would be to use the correct tax code category. What if that tax category rate gets changed? There would be no point of requesting a tax category if we rely on changing things manually.

    • This reply was modified 2 years, 10 months ago by mrbluesea.
    Plugin Support 3 Sons Development – a11n

    (@3sonsdevelopment)

    Hey @mrbluesea,

    My apologies for the delay. TaxJar has an API calculator demo. You can use it to test their tax codes. When I set it to use 46181532a0000 along with a Pittsburg address, it did return a 7% rate. Based on that, it seems like TaxJar believes this category is taxable in Pennsylvania.

    Here’s the URL to the calculator if you’d like to take a look at it.

    https://developers.taxjar.com/demo/

    Whether it should or shouldn’t be taxable is outside of what I can help out with. You could reach out to TaxJar and see if they can let you know more.

    Cheers

Viewing 5 replies - 1 through 5 (of 5 total)
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