Feature Requests
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Allow for US Based Taxes based on Counties

aironz shared this idea 5 years ago
Currently Declined

In the United States for the State of Ohio our tax rates are based on each county in the state. Allow WHMCS to setup tax rates based on zip codes in addition to State based tax rate.

Best Answer
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We are curious to hear the community's thoughts on how this could be implemented - as you many know, county and city tax rules can complicate the tax calculation of an order exponentially. Some of the replies in this feature request allude to how this feature could be added, or make mention of how easy it would be to add this functionality of the process, but I can't say that we are convinced.

WHMCS would like to implement a solution that would help solve this need, but we need some more feedback/ideas from the community.

Comments (36)

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To ScottN's question - Such integration may or may not be possible, but it is a slightly different question regardless. That particular product is intended for those with crazy layers such that it is near impossible for any human to know what is actually accurate. I know across the border from us there is a city where they have different taxes depending on where you are within the city. Fortunately we don't do business there but a product like this would likely be the only solution short of mental therapy.

In our case, we know how much taxes we should charge in any given situation, but collecting that data for all of our customers on a continuous basis for proper submission to the taxing authority is very different from knowing how much customer X should be paying. If we only wanted to make sure that each customer paid their fair share we could just adjust their monthly rate, but that is not what this is about. It matters very little how much customers actually pay. It matters a lot how much we submit and being able to back up that number in case of an audit. Technically none of us has to collect any sales tax as a line item. It could be added into the cost of the product and people just pay your set price. The thing is the taxes would have to come out of that amount exactly as if you collected it as a separate line item or not. The reason for that point is to illustrate that it is the reports and management of these numbers that matters more than the actual charges.

This relates to comments such as those from ThomasB above. Submitting too much taxes is never going to be questioned as he stated, but what we can never do is charge a customer more tax than we actually pay in. It would be far safer to just raise the price of your product than to risk that kind of an audit. All that would take is one customer questioning their local government why you are charging more taxes than are due to get someone's attention. At least if your answer was that you just overpay, they might stop looking there.

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The tax rules already allow for Country > State, we just need Country > State > County. Just need another level. Some may need Country > State > County > City but for most I think the 3 levels would be fine. IT doesn't have to be complicated, we just need an additional level.

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It doesn't have to be complicated. Instead of trying to complicate this by using "rules" we just need to be able to setup our own tax table like ALL OTHER BILLING SYSTEM ALREADY DOES. Then via the clients profile we select that table item we created and your done, thats it. No complicated rules. Just select and go.