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FunnelFox Billing Taxes can add sales tax on top of your checkout prices. A single setting turns tax on and chooses how it’s calculated — automatically with Stripe Tax, or from rates you enter yourself.

How it works

FunnelFox Billing Taxes calculates tax on top of the price at checkout. Prices are always treated as net amounts, so tax is added on top and never included in the listed price. Tax is estimated live at checkout as the buyer enters their address, charged together with the payment, and reversed automatically when you refund an order. For a $20.00 monthly price point with a 20% tax rate, the checkout breaks down like this. Checkout without Taxes:
  • Amount charged: $20.00
    • Subscription price: $20.00
Checkout with Taxes:
  • Amount charged: $24.00
    • Subscription price: $20.00
    • Tax (VAT 20%): $4.00
The tax amount depends on where the buyer is, so the amount charged varies from one buyer to the next. You can always see the difference between the price point and the amount charged in the Support Tool when viewing a payment:

Customer address

Tax depends on the buyer’s address, which FunnelFox Billing reads differently by payment method:
  • Cards: the billing address the buyer enters at checkout (country and postal code).
  • Digital wallets (Apple Pay, Google Pay): tax is calculated twice, first from the buyer’s IP and then from the wallet address. The first payment is charged the IP amount; renewals use the wallet amount.
A wallet buyer whose IP location doesn’t match their wallet’s country is charged one tax on the first payment but billed another on renewals. When the provider is Stripe, calculations are also saved to your Stripe dashboard (refunds included). For wallets, the saved value is the wallet-based calculation.

Setup

Configure Taxes from your FunnelFox Billing Settings page. The three settings below control whether tax runs, which engine calculates it, and which checkout fields stay visible.
1

Choose a tax calculation provider

Set Tax calculation provider to one of:
  • None: Tax stays off (default).
  • Stripe: Calculate tax with Stripe Tax.
  • Static: Calculate tax from rates you enter on the Tax Rates page.
Stripe Tax requires activation on the Stripe side before you select it. Learn about setting up Stripe Tax.For the Static option, define your rates on the Tax Rates page.
2

Set the Tax Stripe region (Stripe only)

This setting applies only when the provider is Stripe. It names which connected Stripe account FunnelFox Billing uses to calculate, record, and reverse tax.Leave it blank if you have a single Stripe account. Set it to a specific account if you connect several and want tax to run against one of them.
3

Keep required checkout fields visible

Enable all required fields on the same Settings page before using this option.
Tax calculation needs the buyer’s country and postal code, so those fields must stay visible at checkout. The Strict tax-settings validation setting protects this and is on by default.While tax is enabled, this setting protects the checkout from saving changes that hide the country selector or the postal-code field.

Tax rates

The Tax Rates page in your FunnelFox Billing dashboard holds the rates for the Static provider. FunnelFox Billing uses these rates only when Tax calculation provider is set to Static (they have no effect in Stripe or None mode).
Each rate is one row with three fields:
  • Country: The country the rate applies to (ISO 3166-1 code).
  • Jurisdiction: An optional state or province code (ISO 3166-2, such as CA for California). Leave it blank to apply the rate to the whole country. Saving a country and jurisdiction that already exist updates its percentage instead of adding a duplicate.
  • Percentage: The tax rate, such as 20 for 20%.
A blank jurisdiction sets a country-wide rate. Setting a jurisdiction rate overrides the country-wide rate for that state or province.
FunnelFox Billing applies the most specific match: a matching jurisdiction rate wins, otherwise the country-wide rate applies. If a country has no rate, no tax is charged there.