saaslogic tax integration
Setup taxes for your customers and get them applied in the respective invoices
saaslogic offers tax integration services for computing the tax of its customers who are spread across the world. Tax varies with geographies and hence it is computed precisely based on the service addresses of the customers that were submitted during their onboarding. In saaslogic, tax integration is vital as it helps to work out the total cost of the subscription and this is reflected in the subsequent invoices.
Let’s discuss, how the tax integration services are provided by saaslogic and how it can assist in integrating the tax services of your customers.
How to enable tax integration services:-
Click on saaslogic Custom Tax Integration tile that is listed in the Integraions tab.
Once this is enabled, it will be seen as listed by clicking on the integration link that is listed in the Service Address of the Product Catalog.
Select the Type of Integration and the Integration Name at this point.
The different tax integrations that you have added in the Integrations menu will be listed
Select the appropriate one for your product.
Thus, you can integrate the tax against each of your product here.
To get here:-
Integrate your customers’ tax payments from the Integrations menu
It will list all the tools or services provided for tax integration.
On choosing saaslogic, you will be led to the saaslogic tax integration tile which when enabled will get listed in the integrations link in the Product Catalog’s service address section.
To calculate tax, saaslogic provides fields to define the various calculations for your customers subscriptions. However, the risk of tax calculation lies purely with you and saaslogic does not have any role in it.
To begin with, you need to develop tax codes that will be used to define the various tax calculations. You should develop a tax code against each of the defined tax calculations.
HOW TO CREATE A NEW TAX CODE?
Click on +New Tax Code from the Tax Code tab.
Enter a random name for the tax code that you will develop.
Choose a value for this code which can be either defined as an amount or as a percentage.
If amount is chosen, enter the amount value and the currency that will define this value. This amount can be either applied to the total amount or on the tax.
Give a short description for this tax code and save.
Now, it will be listed among the already listed tax codes.
In case of percentage as the chosen value, you only need to add the percentage of this chosen value against which the tax will be calculated. This value can either be applied to the total amount or on tax.
Give a short description for this code and save it so that it gets listed in the Tax Code list.
Finally, all the different Tax codes will be listed in a grid that gives the Tax Code, along with the description that was earlier provided and its status.
The status can either be:-
Active
Not Active.
All the codes with the active status can be edited as well as deleted.
Now, its time to group the various taxes so that it can be easily applied to a product or a subscription.
HOW TO ADD A NEW TAX GROUP?
Click on the +New Tax Group.
Give the Tax Group a random name to identify this group.
Give a short description to identify the group.
Now, add all the different tax codes which you want in the group.
Mention their validity and click on save.
Once saved, the different tax codes that was selected for a group will be listed in the Tax Group tab. In this manner, you can create several tax groups with the different tax codes.
Now, you can apply these Tax Groups to the subscription of your choice.
After creating the various tax groups link it to the service addresses of each of your products.
Tax integration is done to calculate tax during a customer subscription.
By clicking on the integration link placed against the service address, you can add the different third party integrations that you would like to be associated with that particular product. Tax will be calculated based on the Service address.
All the different integrations will be listed under the Type of Integration. Against this, the particular Integration Name can be selected.
In case of Tax Integration, you need to select SL Custom Tax under Integration Name. Once this is selected more fields like In State, Inter State and International will be displayed. These will display the different tax groups that was created earlier. Under In State, you need to select the tax groups that will be applicable to taxes within a state.
Similarly, you need to select the tax groups for Inter State and International too.
In this manner, you can integrate the taxes for your different products.
Each tax integration (Saaslogic or Avalara) can be linked only once during the integration process.
These defined tax codes will be finally reflected in the respective invoices of the subscriptions as various taxes.
