Sales tax, GST and VAT
Choose whether your prices include tax, add it on top, or leave tax off entirely, set your rate and tax number, and let quotes, receipts and checkout follow.
Last updated 2 September 2026
Set tax up once in the Tax card on Shop profile, and your quotes, receipts and online checkout follow. The card uses your market's word: GST in Australia and New Zealand, VAT in the UK and Europe, Sales tax in the US, GST/HST in Canada.
Three ways to treat tax
- Prices include GST (or VAT, or sales tax, whichever your country uses), the default outside North America. Totals never change; once registered, quotes and receipts show how much of the total is tax.
- GST added on top at checkout, the default for US and Canadian shops. Quote totals become items plus tax, added at checkout.
- No tax on sales. Quotes and receipts never mention tax.
Not sure? Ask your accountant. The defaults match how prices usually work in your country.
The registered switch
Registered for GST (or VAT, or your market's word) gates every tax mention a customer sees. Off, customers see no tax breakdown and no tax number, the safe default below your country's registration threshold. On, receipts show your number and the tax amount.
Your rate and tax number
- Enter your rate as a percentage: 10 in Australia, 15 in New Zealand, 20 in the UK, or your combined state and local rate in the US
- Your tax number is checked against the market's own checksum where one exists, so an ABN or UK VAT number with a typo is rejected
- The card refuses a setup that looks on but does nothing, such as registered with no rate
Labour that is not taxable
Shops in states that tax parts but not the work can switch on Labour is not taxable: services carry no tax, parts and inventory items still do, and any line can be switched either way. The toggle only appears when tax is added on top.
Where it shows up
- Quotes: each line carries your rate or an exempt marker, and the totals block follows your market. See quotes.
- Receipts: payment receipts show the tax portion and your tax number.
- Online checkout: the checkout charges the same tax the quote shows.
This card decides what customers see. With Xero connected, invoices land there with tax mapped to your Xero tax rates.