Is it possible to add customer-specific tax rules through Square?

[GreySoul]

[The title of this thread has been edited from the original:Customer level tax exemption (online and POS)]

I am trying to set up my online store (Weebly) and running into an old problem I've always had. 

In my store I do about 50/50 every day taxable retail and B2B sales. Many of my B2B customers are tax exempt on manufacturing consumables, but not tools/apparel/misc items. In store this has been a minor issue as we use a more manual invoice system where we can add up tax and apply it as a line item in square rather than have square calculate tax... still a pain, but it's worked for years.

As I get my store online however, my B2B customers do not want to see tax calculated on their sale. I can't use a discount code or make duplicate non-taxable items as that would just be exploited by taxable customers, and I'm liable for the tax either way, so they would just use it as a ~8% discount.  

Is there a way in Square Online or POS to apply a field on a customer by customer basis that would allow me to apply tax or not on an item by item basis?

If not, are there any apps that do this? I've looked at Shopventory and SFR, but neither seem to specifically address this need. 

[Alex_]

Hello @GreySoul,

Thank you for posting in the Seller Community. Glad to see you back.

To make sure i'm understanding, you're looking to apply a tax rule on a customer-by-customer basis, and even then, when a specific customer purchases a set of items, within your item library, there are certain items you do and do not want taxed?

For example:

You have Tommy and Jimmy stop by your store to buy something.

If Tommy processes a transaction, you only want specific items taxed, but the items taxed could vary and be different than the items purchased by Jimmy?

Once I get more insight, I could definitely look into this a bit more. I'll keep an eye out for your reply. 

[GreySoul]

I think you have it right. Sorry of. 

A customer is either exempt or not. If they are they get the same exemption that any other exempt customer would, but not all customer's are exempt, and not all items can be sold without tax. 

My state (New Mexico) issues a form called an NTTC, or a Non-Taxable Transaction Certificate. 

They exempt a qualified buyer from paying our version of sales tax on materials used in manufacturing and/or resale. But not all items are exempt, only items that will be made into a product or directly resold to the end user. 

E.g.:  wire, screws, glue, wood, glass, and bricks would not be charged tax as these materials are used to manufacturer a product for resale. But durable tools and items used in the process but retained by the manufacturer, such as screw drivers, hand saws, glass cutters, and gloves must be charged tax. 

I can only exempt taxes for certified companies who file an NTTC with me. Hobbyists, end users, and anyone who isn't a qualified manufacturer has to pay tax. 

So I need to be able to set a flag for NTTC on a customer's profile, and then at the item level have a flag that determines if that item is exempt or not. 

Thanks for looking into this!

[Alex_]

@GreySoul,

Gotcha! So currently we do not have the ability to apply tax rules to your buyers on a per-customer method. We only have the ability to apply tax rules to specific items. 

Yet, we definitely see how it could benefit your business model. Our teams are constantly looking through our seller's feedback to make necessary improvements. The minute we release any new features, we will be sure to notify you via email.

Please let me know if you have any other questions by replying to this thread. 

[pbeukema]

Hi Alex, just wondering if this customer specific tax rule has been developed yet. I see this initial post was in 2020. I have been looking around but dont seem to be able to find a way to create a rule for a custome for tax exempt. When we sell to resellers, majority have a tax exemept number as tax is only charged to final user not resellers.

Please let me know if this is available now or in the works.

Thanks you

Paul Beukema

pbeukema@carholdings.ca

[Kassi_]

Hey there, @pbeukema - 

Thank you for checking in on this Feature Request. At the moment, this has not been added to the roadmap by our Product Team. 

I would recommend heading over to our Ideate Board & posting this. That way you can be in the loop whenever a Community Moderator makes any changes to the status throughout the feature request process.