Bonanza has a tool that allows sellers to create, edit and manage tax rules so that buyers who meet the specified criteria will automatically have tax added to their purchase total. We recommend checking with your local legislation to determine when to charge tax and what the current tax rates for your location are.
Creating Tax Rules
You can create tax rules in your booth settings. Point your mouse over the "Selling" link in the upper left-hand corner of any page and select "Booth settings" from the drop down. Click on the "Payments & purchases" tab, then scroll to the bottom of the page to the "Tax Rules" section. Click the button to "Create and edit booth tax rules" to get started.
To add a new tax rule, enter the shipping destination details. You can set rules based on an entire state/province, or specify a particular zip code. For the state/province field, you can enter the abbreviation or the full name; our system will identify the appropriate location.
Only one rule will be applied to a purchase. The rule that is applied will be the most specific matching rule. For instance, if you have a rule for "US" and a rule for "US, TX", any purchase with a shipping address in Texas will have the "US, TX" rule applied - and only that rule will be applied.
Set the appropriate tax percentage for your specified destination. If you want the cost of shipping to be included in the taxable amount, check the box to "Include shipping cost in taxable amount;" otherwise, the tax will be based on the item cost only. Click the button to "Add Tax Rule" to save those settings. Any buyers who checkout from the specified destination will automatically have tax added to their purchase total. You can add tax rules for multiple destinations.
Any tax rules created for Alabama, Arizona, California, Iowa, Kentucky, New Jersey, Texas, Washington State or Wyoming will be overridden at checkout so that the tax is collected by Bonanza per Marketplace Facilitator Provisions.
Deleting Tax Rules
You can delete any tax rules you have previously created. Visit your "Selling > Booth settings > Payments & purchases" page and click on the button to "Create and edit booth tax rules." Scroll down to your "Existing Tax Rules" section, then click the gray "X" to the left of your tax rule to remove this rule. Buyers from that specified location will no longer be charged tax on purchases.
Where can I obtain tax documents as a seller on Bonanza?
Bonanza does not employ sellers and is unable to provide any tax documentation. Sellers can obtain documentation directly from the payment processors they accept payments from (PayPal or Amazon Payments).
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