Change a jurisdiction's tax collection method

Introduction

Anrok provides the flexibility to choose when to apply sales tax on customer-facing invoices in a jurisdiction. Within each jurisdiction, you can select the following tax collection methods:

  • Paid by sellerAnrok will calculate sales tax but will not include the tax amount calculated on customer-facing invoices. In this case, as the seller, you will absorb that sales tax cost and pay it on your customer's behalf. Paid by seller is often selected if you have not communicated to customers about a sales tax change to their invoices.
  • Collected from customer — Anrok will calculate tax and include the tax amount calculated on customer-facing invoices. In this case, your customer will pay sales tax as part of their invoice. 

If a jurisdiction's tax collection method needs to be updated, you can switch between Paid by seller and Collected from customer. You also have the option to specify and change a jurisdiction's collect-from-customer start date.

 


 

Edit a jurisdiction's tax collection method

You can edit a jurisdiction's tax collection method to change whether sales tax is paid by your customers or your business.

Try editing a jurisdiction's tax collection method in the demo above ☝️

  1. In the Anrok app CleanShot 2023-07-20 at 12.02.21@2x.png, go to Jurisdictions. Take me there!
  2. Select the Remitting tab, then select the jurisdiction you'd like to edit.
  3. Under Jurisdiction details, click Edit.
  4. Next to Tax collection method, select one of the following tax collection methods from the drop-down box:
    • Paid by seller
    • Collected from customer
  5. Under Collect tax from customer starting, specify the date Anrok should begin adding tax to customer-facing invoices. This option is only available if Collected from customer is selected as the tax collection method.
  6. When you are finished, click Save.

 

Can't find what you're looking for?

Submit a request to our customer care team!