Sales Tax

We are a bar and now adding in food. We have always included sales tax in the price of our alcohol. A beer is advertised as $4, the customer pays $4, we pay the tax out of the $4. We are now adding food. We want to add the tax on top of the food items. Tots are $10. So the customer would pay $10.70 (our tax rate is 7%). I am unsure what my settings should be to have these two options. 

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@CrystalBlin ;

You should be able to go to your Square dashboard on a Computer to access you Business Settings and then Sales tax.  You can then create a sales tax with Tax Included in the Price.  I would name the Tax instead of just sales Tax... sales tax Included in Price or something similar to avoid confusion.  This way Square still calculates the Tax able sale for reporting.  Here is a screen shot of the Screen and the red circle shows how to include the sales tax in the final price.

 

tax included.png

Keith
Owner
Pocono Candle

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Thanks for the idea. Currently we have that toggle on that you have switched. Do you know where you go to create a custom tax. 

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@CrystalBlin ;

you go on your Dashboard > Account and settings > Business Settings > Sales taxes

then in the sales tax screen Create Tax...  then for the names of the tax do not use your current name of 6% but for the name of the tax put 6% included in Price if it can be that long.

I think this link will take you there:

https://squareup.com/dashboard/business/manual-taxes 

Keith
Owner
Pocono Candle

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@CrystalBlin ;

Then it your Square Catalog for each Item you need to choose the Tax you want applied.  This is why I told you to name it with Sales tax and then Sales tax Included in the name.  To create the Custom Amount that I have enabled, its that way by default when Creating a New Sales Tax.... I enter the % of the sales Tax and change the name from Sales Tax to something I know what it is.  ie Local Sales Tax, State Sales Tax, Sales Taxes included in price.... etc.  Then you need to go to each Item in your catalog and switch the applied Sales Tax to the one you want since you want some on top of the price and some included.

As you see below this is the Edit Screen for the Item then I clicked in the Sales Tax box where I can choose No Sales tax, Pa Sales Tax or Sales Tax Included in Price.  This is the last step to apply which tax you want for each Item.

Candlestore_0-1694099384562.png

 

Keith
Owner
Pocono Candle

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Square Support Number 855-700-6000.
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https://squareup.com/dashboard/business/manual-taxes

From other comments, it looks like you are almost there.  Create a new tax called food tax, set it to 7%, but do NOT toggle on include in price, and then your $10 tots will ring up $10 with a separate line of $.70 for sales tax for a total of $10.70.

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