DocumentationCommerceConfiguration Reference

Sales > Tax

Last update: Wed Jan 24 2024 00:00:00 GMT+0000 (Coordinated Universal Time)

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NOTE
Adobe Commerce and Magento Open Source releases 2.4.0 through 2.4.3 included the Vertex vendor-developed extension used to integrate with the Vertex Cloud. Starting with the 2.4.4 release, this extension is no longer bundled with the core release and must be installed and updated from the Commerce Marketplace. The Marketplace also provides access to current documentation provided by the extension developer.



If you have the bundled extension enabled and configured, you must update your composer.json file as part of the 2.4.4 upgrade process and to manage extension updates going forward. See Upgrade modules and extensions in the Upgrade Guide for more information.

To access the store configuration settings, choose Stores > Settings > Configuration from the Admin sidebar.

Tax Classes

Tax Classes

For more information about changing these settings, see Tax classes in the Stores and Purchase Experience Guide.

Field
Scope
Description
Tax Class for Shipping
Website
Identifies the tax class that is used for shipping. Options include all available product tax classes: None / Taxable Goods / Shipping / Tax Exempt
Tax Class for Gift Options
Website
Adobe Commerce (Adobe Commerce only) Identifies the default tax class that is used for gift options.
Default Tax Class for Product
Global
Identifies the default tax class that is used for products.
Default Tax Class for Customer
Global
Identifies the default tax class that is used for customers.

Calculation Settings

Calculation Settings

Field
Scope
Description
Tax Calculation Method Based On
Website
Determines the method that is used to calculate the tax for an order. Options:
Unit Price - Tax calculations are based on the unit price of each product.
Row Total - Tax calculations are based on the line item total.
Total - Tax calculations are based on the order total.

Note: If a tax calculation extension is installed from the Marketplace, such as Vertex Cloud, the extension service is listed as an option.
Tax Calculation Based On
Website
Determines if the tax calculation is based on the shipping address, billing address, or the shipping origin. Options: Shipping Address / Billing Address / Shipping Origin
Catalog Prices
Website
Determines if catalog prices include or exclude tax. Options: Excluding Tax / Including Tax
Shipping Prices
Website
Determines in shipping prices include or exclude tax. Options: Excluding Tax / Including Tax
Apply Customer Tax
Website
Determines if tax is applied before, or after a discount. Options: Before Discount / After Discount
Apply Discount on Prices
Website
Determines if discount prices include or exclude tax. Options: Excluding Tax / Including Tax
Apply Tax On
Website
Determines if the tax applies to the original price, or to a custom price, if available. Options: Custom price if available / Original price only
Enable Cross Border Trade
Website
When enabled, applies consistent pricing across borders of regions with different tax rates. Options: Yes / No

Note: Using cross-border trade adjusts the profit margin by tax rate.

Default Tax Destination Calculation

Default Tax Destination Calculation

Field
Scope
Description
Default Country
Store View
Determines the country upon which tax calculations are based.
Default State
Store View
Determines the state upon which tax calculations are based. An asterisk (*) can function as a wildcard to indicate all states within the selected country.
Default Post Code
Store View
Identifies the postal code or ZIP code upon which tax calculations are based. An asterisk (*) can function as a wildcard to indicate all postal codes within the selected state.

Price Display Settings

Price Display Settings

For more information about changing these settings, see Configure price display settings in the Stores and Purchase Experience Guide.

Field
Scope
Description
Display Product Prices in Catalog
Store View
Determines if product prices published in the catalog include or exclude tax, or show two versions of the price; one with, and the other without tax. Options: Excluding Tax / Including Tax / Including and Excluding Tax

Note: If you set the Display Product Prices field to Including Tax, the tax appears only if there is a tax rule that matches the tax origin or there is a customer address that matches the tax rule. Events that can trigger a match include customer account creation, login, or the use of the Tax and Shipping estimation tool in the shopping cart.
Display Shipping Prices
Store View
Determines if shipping prices include or exclude tax, or show two versions of the shipping price; one with, and the other without tax. Options: Excluding Tax / Including Tax / Including and Excluding Tax

Shopping Cart Display Settings

Shopping Cart Display Settings

For more information about changing these settings, see Configure shopping cart display settings in the Stores and Purchase Experience Guide.

Field
Scope
Description
Display Prices
Store View
Determines if shopping cart prices include or exclude tax, or show two versions of the price; one with, and the other without tax. Options: Excluding Tax / Including Tax / Including and Excluding Tax
Display Subtotal
Store View
Determines if the shopping cart subtotal includes or excludes tax, or shows two versions of the subtotal; one with, and the other without tax. Options: Excluding Tax / Including Tax / Including and Excluding Tax
Display Shipping Amount
Store View
Determines if the shopping cart shipping amount includes or excludes tax, or shows two versions of the shipping amount; one with, and the other without tax. Options: Excluding Tax / Including Tax / Including and Excluding Tax
Additionally Show Order Total Without Tax
Store View
Determines if an extra line with the grand total amount without tax is displayed in the shopping cart. Options: Yes / No
Display Full Tax Summary
Store View
Determines if the shopping cart includes a full tax summary. Options: Yes / No
Display Zero Tax Subtotal
Store View
Determines if the shopping cart includes a tax subtotal when the tax is zero. Options: Yes / No

Orders, Invoices, Credit Memos Display Settings

Orders, Invoices, Credit Memos Display Settings

For more information about changing these settings, see Configure order, invoice, and credit memo display settings in the Stores and Purchase Experience Guide.

Field
Scope
Description
Display Prices
Store View
Determines if the prices on sales documents include or exclude tax, or if each document shows two versions of the price; one with, and the other without tax. Options: Excluding Tax / Including Tax / Including and Excluding Tax
Display Subtotal
Store View
Determines if the subtotal on sales documents includes or excludes tax, or if each document shows two versions of the subtotal; one with, and the other without tax. Options: Excluding Tax / Including Tax / Including and Excluding Tax
Display Shipping Amount
Store View
Determines if the shipping amount on sales documents includes or excludes tax, or if each document shows two versions of the subtotal; one with, and the other without tax. Options: Excluding Tax / Including Tax / Including and Excluding Tax
Additionally Show Order Total Without Tax
Store View
Determines if an extra line with the grand total amount without tax is displayed on sales documents. Options: Yes / No
Display Full Tax Summary
Store View
Determines if the full tax summary appears on sales documents. Options: Yes / No
Display Zero Tax Subtotal
Store View
Determines of the subtotal section on sales documents appears when no tax is charged. Options: Yes / No
Display Gift Wrapping Prices
Store View
Adobe Commerce (Adobe Commerce only) Determines if gift-wrapping prices are included in the subtotal. Options: Excluding Tax / Including Tax / Including and Excluding Tax
Display Printed Card Prices
Store View
Adobe Commerce (Adobe Commerce only) Determines if printed card prices are included in the subtotal. Options: Excluding Tax / Including Tax / Including and Excluding Tax

Fixed Product Taxes

Fixed Product Tax

For more information about changing these settings, see Fixed product tax (FPT) in the Stores and Purchase Experience Guide.

Field
Scope
Description
Enable FPT
Website
Determines if FPT is available. Options: Yes / No
Display Prices in Product Lists
Website
Controls the display of FPT in product lists. Options:
Including FPT Only - Displayed prices include fixed product taxes. The FPT amount is not displayed separately.
Including FPT and FPT description - Displayed prices include fixed product taxes. The FPT amount is displayed separately.
Excluding FPT. Including FPT description and final price - Displayed prices do not include fixed product taxes. The FPT amount is displayed separately.
Excluding FPT - Displayed prices do not include fixed product taxes. The FPT amount is not displayed separately.
Display Prices On Product View Page
Website
Controls the display of FPT on the product page. Options:
Including FPT Only - Displayed prices include fixed product taxes. The FPT amount is not displayed separately.
Including FPT and FPT description - Displayed prices include fixed product taxes. The FPT amount is displayed separately.
Excluding FPT. Including FPT description and final price - Displayed prices do not include fixed product taxes. The FPT amount is displayed separately.
Excluding FPT - Displayed prices do not include fixed product taxes. The FPT amount is not displayed separately.
Display Prices in Sales Modules
Website
Controls the display of FPT in the shopping cart and during checkout. Options:
Including FPT Only - Displayed prices include fixed product taxes. The FPT amount is not displayed separately.
Including FPT and FPT description - Displayed prices include fixed product taxes. The FPT amount is displayed separately.
Excluding FPT. Including FPT description and final price - Displayed prices do not include fixed product taxes. The FPT amount is displayed separately.
Excluding FPT - Displayed prices do not include fixed product taxes. The FPT amount is not displayed separately.
Display Prices in Emails
Website
Controls the display of FPT in email. Options:
Including FPT Only - Displayed prices include fixed product taxes. The FPT amount is not displayed separately.
Including FPT and FPT description - Displayed prices include fixed product taxes. The FPT amount is displayed separately.
Excluding FPT. Including FPT description and final price - Displayed prices do not include fixed product taxes. The FPT amount is displayed separately.
Excluding FPT - Displayed prices do not include fixed product taxes. The FPT amount is not displayed separately.
Apply Tax to FPT
Website
Determines if tax is applied to the FPT amount. Options: Yes / No
Include FPT in Subtotal
Website
Determines if FPT is included in the shopping cart subtotal. Options:
Yes - Includes FPT in the shopping cart subtotal.
No - FPT is not included in the subtotal, and is placed after the subtotal in the shopping cart.
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