Tax Configuration
What this feature does
Tax Configuration lets you set up how taxes work for your business on the platform. You can turn tax calculations on or off, and choose whether the prices you enter for your products already include taxes or if taxes should be added on top of your prices. This ensures that your pricing matches your local tax obligations and displays correctly to customers at checkout.
Who it is for
This feature is essential for business owners and managers responsible for pricing and financial compliance. Whether you are setting up your venue for the first time or adjusting your tax approach to meet local regulations, this setting ensures your prices and tax calculations align with how you do business and what your tax authorities require.
When to use it
Configure your tax settings when you first set up your venue, before adding products or accepting orders. You should also revisit these settings if your country's tax laws change, if you start operating in a new location with different tax requirements, or if your accountant advises you to handle taxes differently. Getting this right from the start prevents confusion with pricing and customer charges.
Key concepts
Enabling Tax Calculations: This is a simple on/off switch that determines whether the system calculates and applies taxes to customer purchases. When enabled, applicable tax rates will be added to orders at checkout. When disabled, no tax calculations occur regardless of your product prices.
Tax-Inclusive Pricing: This means the prices you enter for your products already contain the tax amount. For example, if you list a meal at 50 currency units and tax-inclusive pricing is enabled, the customer pays exactly 50 units, with a portion of that representing tax. This approach is common in many countries where prices displayed to consumers must include all taxes.
Tax-Exclusive Pricing: This means the prices you enter are the base prices before tax. When customers reach checkout, the system calculates the applicable taxes and adds them on top of your listed price. If you list a meal at 50 currency units with tax-exclusive pricing, the customer might pay 60 units after a 20% tax is applied.
Universal Settings: Your tax configuration applies to all venues under your account. This creates consistency across your business locations and simplifies management, though you can work with support if you need different approaches for different venues.
Common questions
How do I know if my prices should be tax-inclusive or tax-exclusive?
This depends on your local regulations and how your business displays prices to customers. In many countries, consumer-facing businesses must show tax-inclusive prices (what customers actually pay). Ask yourself: when I write a price on my menu or display, does that price include tax already? If yes, choose tax-inclusive. If tax is added at the register, choose tax-exclusive. When in doubt, consult with your accountant or local tax authority.
What happens to my existing products if I change tax settings?
Changing your tax configuration does not automatically update the prices of products you have already created. However, it will affect how those prices are interpreted during checkout. If you switch from tax-inclusive to tax-exclusive, the same listed price will result in a higher final amount for customers. It is wise to review and potentially adjust your product prices after changing tax settings.
Can I operate without enabling taxes?
Yes, you can disable tax calculations if your business is not required to collect taxes, if you are in a tax-exempt category, or if you prefer to handle tax calculations outside of the system. However, most businesses operating legally need to collect and remit taxes, so we recommend consulting a tax professional before disabling this feature.
Do I need to enable taxes if I run a small business?
Tax requirements depend on your country, business size, and revenue levels, not on the size of your operation in terms of staff or locations. Some countries exempt very small businesses from tax collection, while others require it from the first sale. This is a legal question best answered by your local tax authority or an accountant familiar with your jurisdiction.
Will Servinn file my taxes for me?
No, Servinn helps you collect the correct tax amounts from customers and provides reports showing how much tax you have collected, but you remain responsible for filing tax returns and remitting payments to your tax authority. Think of the platform as a tool that makes accurate tax collection easier, not as a replacement for your tax obligations or professional tax advice.