Collecting Sales Tax
Barkpass allows you to collect sales tax when selling passes and other products to your customers.
Sales tax collection is powered by Stripe Tax which charges an addition fee per transaction when the feature is enabled.
Important: Barkpass does not offer tax advice. You should consult a tax professional for guidance about collecting sales tax and to ensure your business is meeting all legal requirements.
Enabling Sales Tax Collection
To enable sales tax collection, visit your Organization > Payments settings page.
In order to collect sales tax, you must first satisfy the requirements set forth by Stripe in your Stripe dashboard.
Once you have met Stripe's tax requirements, you can click the Start collecting tax button in Barkpass.
When tax collection is enabled, customers must enter a billing address during checkout. Stripe uses this address to calculate the sales tax it will collect for that payment based on:
- The customer's area of residence
- Your current tax liabilities for that given area of residence.
Stripe's Tax feature will monitor tax thresholds for different states in which your customers reside, and it will alert you once you breach a given threshold and should be collecting sales tax.
Once you've added a Registration for a given region in Stripe (e.g. a state's tax office), Stripe knows to collect tax from customers in that region.
Remember: Stripe only knows about the transactions you process through Stripe and Barkpass, so the threshold it calculates may not accurately represent your entire tax liability for a given region. Please consult a tax professional for advice on collecting taxes for your business.
You are responsible for remitting and reporting collected sales tax to the respective tax authorities. Barkpass does not remit taxes on your behalf.
Disabling Sales Tax Collection
You can disable sales tax collection at any time by visiting your Organization > Payments settings page and clicking the Stop collecting tax button.
Stripe Tax transaction fees
When sales tax collection is enabled, Stripe collects an additional fee based on the volume of transactions. This fee is listed at 0.5% at the time of writing. Please consult the Stripe Tax pricing documentation or your Stripe account representative for more information on pricing.