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Not understanding Tax for US States and Cities


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Prestashop v 8.1.7

I am in the US and need to calc sales tax on the customers state and city.  I understand this is a 2 part process;  all my products must have a tax rate, then I must set up state tax rates and city tax rates for separate zip codes.

I can't assign a rate to a product, because we cannot know the tax rate until we know the city and state at checkout.  So to get around this I have set up a "Zero Tax" tax rule.  This is the rate assigned to my products at setup.  It has a 0% rate, is assigned to United States country, and has "Combine" behavior.

Now I have also set up a Nebraska tax rule of 5.5% with a combined behavior.

Lastly, set up a MyTown tax rule of 1.5% for my zip code in Nebraska with a combined behavior.

Now this makes sense to set it up this way but I must be wrong, because no tax is calculating even when I put in an address in Nebraska and MyTown.  Because Rate on the item = 0%, plus Nebraska 5.5%, plus MyTown 1.5% should equal 7% tax.  But I am getting 0% tax at checkout.

Surely I am not the only US user here that is struggling with this?  How is everyone else doing it?

 

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Hi,

You can try below steps to assign customized tax rules based on the Address-

1. Remove "Zero Tax" Rule from products.

2. Create State Tax Rule:
2a. Add Nebraska 5.5% tax.
2b. Set behavior to "Combine".

3. Add City Tax Using ZIP Codes:
3a. Add MyTown 1.5% tax for specific ZIP codes.
3b. Set behavior to "Combine".

4. Assign This Tax Rule to products.

5. Test Checkout with different ZIP codes to ensure correct tax application.

Regards.

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Thx for the reply.  If I assign MyTown 1.5% to my products, it will only charge tax when I have my zip code entered in.  But it only charges 1.5% tax, instead of the 7% it is supposed to (Nebraska + MyTown).  If I change the zip code to something else, it charges zero tax even though the state is still Nebraska (it should then only charge 5.5%)  Both tax rules, Nebraska and MyTown are set to "Combine" behavior.  Its almost like the combine behavior is broken or it is ignoring the state tax altogether.  Any suggestions?

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