Sales Tax Calculation for Kit Products
For most products, sales tax calculation is simply a function of the sell price and ship to address.
However, for Kit products, there is an option to base the sales tax calculation either on the Kit sell price or each individual component sell price.
To select how sales tax is calculated for a Kit ...
- Navigate to Warehouse Management ➤ Products.
- Open a Kit product and select the Bill of Materials tab.
- Change the Tax API Sales Tax Calculation Base setting to your preferred option.
- Kit: The Kit part number and sell price will be sent to the Tax API.
- Component: Each component part number will be sent to the Tax API along with each component's sell price.
A note about Fixed Price Kits ...
When selling Fixed Price Kits, it is mandatory to calculate sales tax based on the Kit sell price.
If the Fixed Price setting is enabled, the system will automatically change the sales tax calculation setting to match.
