ShootProof does not submit taxes on your studio's behalf, so you'll want to check with your CPA or the Department of Revenue to get information about what sales taxes you're required to collect from your clients. It is the studio's responsibility to remit any taxes due to the correct authorities.
To charge your clients sales tax, you'll set it up on each individual Price Sheet:
- Go to Commerce > Pricing
- Click on the price sheet
- Access the Price Sheet Settings in the top left
- In the Sales Taxes section, enter the required information:
- Tax Title - Give the tax area of your check out a custom title. Ex: State Sales Tax
- Tax Percentage - Set the percentage of the subtotal of taxable items that will be collected on each order.
- State/Province - If you are looking to charge sales tax ONLY on orders placed in a specific state or province, use this drop down menu to make this selection. Ex: If you select New York, ONLY those clients with Georgia addresses will be charged the applicable sales tax. A client ordering in Pennsylvania WOULD NOT be charged sales tax.
- VAT Number (not required for all studios) - If applicable, supply your VAT Number. Generally, this is only necessary for those studios with clients in countries that require this inclusive tax.
- Charge tax on ShootProof-Fulfilled Digitals - Activate this option if you want to charge your client tax on the ShootProof fulfilled digital items on your price sheet.
- Charge tax on shipping - Activate this option if you want to include shipping in your taxable subtotal.
As you click to Edit individual items on your price sheet, you will also be able to check the “Do not charge tax on this item” option. When this box is checked, you will see the Tax Exempt notation on the Details column for that item.
* ShootProof mails 1099K forms for any studio who had at least $20,000 in sales and 200 transactions processed through ShootProof Payments by January 31st in accordance with IRS guidelines. For studios not meeting these IRS reporting minimums, no tax forms will be generated or submitted to the IRS by ShootProof.