WooCommerce Taxamo

WooCommerce Taxamo connects you to the Taxamo SaaS solution for compliance with 2015 EU VAT rules.

Using Taxamo’s API, it provides correct TAX calculation, evidence collection and registration of payments, plus covering EU MOSS settlement and audit services.

Requirements ↑ Back to top

  • A Taxamo account. More info at: Taxamo

Installation ↑ Back to top

  1. Download the .zip file from your WooCommerce account.
  2. Go to: WordPress Admin > Plugins > Add New and Upload Plugin with the file you downloaded with Choose File.
  3. Install Now and Activate the extension.

More information at: Install and Activate Plugins/Extensions.

Setup and Configuration ↑ Back to top

To set up Taxamo:

  1. Go to: WooCommerce > Settings > Integration > Taxamo.
  2. Enter the Private Token and Public Token from your Taxamo account.
  3. Enable Self Declaration (recommended).
  4. Enable VAT Number Field (recommended).
  5. Select whether to Show Invoices.
  6. Select whether to Force Universal Pricing. This must be in line with your setup under WooCommerce > Settings > Tax.
  7. Save changes.

Get your personal API tokens from the Taxamo dashboard. Note that there are test and production tokens. We advise testing your integration first with the test tokens before using production tokens on your live website.

Get your Taxamo API tokens from your Taxamo dashboard
Get your Taxamo API tokens from your Taxamo dashboard

Product Setup ↑ Back to top

The Taxamo extension only updates taxes for virtual products and only when the customer is in the EU.

To set a product as virtual, edit the product and tick the Virtual checkbox. This prompts the EU Exempt checkbox to display.

If the product is an E-book also tick the E-Book checkbox, and it automatically becomes a virtual product. Set your product to Taxable  by selecting this status in the dropdown under Tax Status.

Usage ↑ Back to top

Customer ↑ Back to top

WooCommerce Taxamo calculates the correct taxes on the checkout page, based on your customer’s location.

Taxes are automatically calculated based on customer's location
Taxes are automatically calculated based on customer’s location

The order review section is updated automatically when the customer enters a billing address, applying correct taxes based on location. It displays and savse each applied tax as a separate tax rate.

Shop owner ↑ Back to top

Items in the order details screen will display applied taxes. Orders are also stored in your Taxamo account. Via your Taxamo dashboard, you can view more details about taxes applied to the order, evidence that were stored, and detailed reports on what taxes are collected.

The order details screen with the applied taxes.
Order details screen with applied taxes.

If your customer entered a valid VAT number, the tax rate is set to 0%. The VAT number is stored in your WooCommerce order and in your Taxamo account; and the My Account page of the customer.

You can view the customer VAT number via your order details.
You can view the customer VAT number via your order details.

Frequently Asked Questions ↑ Back to top

What methods of customer location verification are done? ↑ Back to top

The customers billing country and IP address are sent to the Taxamo API. If they don’t match, the customer is asked to manually verify his location — this is called ‘self declaration’. Self Declaration is an option that’s enabled by default.

Customer Self Declaration is required when billing country and IP address don't match.
Customer Self Declaration is required when billing country and IP address don’t match.

Which shop location is used when calculating taxes? ↑ Back to top

The shop location entered in your Taxamo dashboard is used when calculating taxes. Ensure that your WooCommerce shop location and Taxamo shop location always match.

Does WooCommerce Taxamo allow taxes to be exempt by entering a valid VAT number? ↑ Back to top

Yes, the Taxamo extension adds a VAT field to your checkout page. When a VAT number is entered the Taxamo API will be used to validate the VAT number and if correct the tax rate will be set to 0%.

Troubleshooting ↑ Back to top

Taxes are not showing in my shop. ↑ Back to top

Be sure that you have taxes set up under WooCommerce > Settings > Tax.

WooCommerce also needs at least one tax rate that can be used for default taxes when Taxamo isn’t used (non-digital products).

Default tax rate
Default tax rate

Taxes are not exempt when a valid VAT number is entered. ↑ Back to top

Taxes are only exempt when the customer location differs from the shop location set in the Taxamo settings. Make sure your WooCommerce shop location matches the shop location entered in the Taxamo settings.

The correct tax label shows up but there VAT is set to 0. ↑ Back to top

Verify that you have a billing country field on your checkout page. Without a billing country, the Taxamo extension cannot gather enough evidence on where the customer is located. EU law enforces you to have at least two (2) pieces of non-conflicting evidence of where your user is located.

Why do all my orders show up at Taxamo, even ones without EU VAT? ↑ Back to top

Due legal requirements, the reports must contains all orders, regardless of their VAT status.

Questions and Feedback ↑ Back to top

Have a question before you buy? Please fill out this pre-sales form.

Already purchased and need some assistance? Get in touch with a Happiness Engineer via the Help Desk.

Have a suggestion regarding a feature you’d like to see included in this product? Add it to our Ideas Board.

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