How To Set Up Taxes Using Flags
If you go to "Settings" > "Payment", the first option you’ll see is Taxes.
Setting up taxes is straightforward, and there are two main types:
- Additive: Common in the U.S., this tax is added on top of the listed price at checkout. The price you set does not include tax.
- Inclusive: Common in Europe (e.g., VAT). The price you set already includes tax.
To apply taxes, you’ll use something called Flags.
Think of Flags as labels that connect different rules or objects. For example, you might create a flag called “Has Tax.” The flag itself doesn’t perform an action, but it tells the system how to match products with tax rules.
Here’s how it works:
- Create a tax and assign it a flag.
- Whenever you want that tax to apply to a product, give the product the same flag as the tax.
This ensures the correct tax is applied automatically based on the flag association.