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Tax Documentation

This documentation set explains how tax works across eshopOS, when to stay on manual tax, when to move to advanced tax, and how merchants should operate each section without guessing.

The tax product in eshopOS is intentionally split into two layers:

  • Manual tax is the simple store policy that lets a merchant set a country, a default rate, whether prices already include tax, and whether shipping should be taxed.
  • Advanced tax is a separate control plane for merchants who need registrations, rules, product tax codes, and a simulator to validate checkout behavior before they go live.

That distinction matters. A merchant who only needs one default tax rate should not be pushed into the advanced interface. A merchant who actively collects tax in multiple jurisdictions should not try to force that complexity into the manual settings page.

What This Documentation Covers​

This handbook is organized to answer four different classes of questions:

  1. Concept questions
    Example: what is the difference between a registration and a rule?
  2. Operational questions
    Example: which tab do I configure first, and which tabs can I ignore?
  3. Checkout questions
    Example: how does tax affect totals, shipping, and price display?
  4. Rollout questions
    Example: when should a merchant stay on manual tax and when should they activate advanced tax?

If you are new to the system, start with the Glossary, then read Manual Tax Overview and Advanced Tax Overview.

Mental Model​

The simplest way to understand the system is this:

  • Manual tax answers: “What is my store’s default tax policy?”
  • Advanced tax answers: “How should tax change depending on destination, registration status, rule set, and product classification?”

When the advanced engine is not enabled, checkout can still run correctly using the manual store policy. When the advanced engine is enabled, checkout can ask the backend for a tax quote that reflects the engine’s settings, registrations, rules, and product mappings.

This means advanced tax is additive. It is not a forced replacement for the basic tax settings every merchant already understands.

Who Should Use Which Mode​

Stay on Manual Tax if:​

  • you sell in one primary country with one normal rate
  • you do not need per-country or per-region logic
  • you do not need tax code mapping by product
  • you want the least amount of configuration

Move to Advanced Tax if:​

  • you need destination-based collection
  • you monitor or collect in multiple jurisdictions
  • some products should be taxed differently from others
  • shipping tax treatment changes by rule
  • you want to simulate checkout tax before changing live behavior

What the Merchant Is Actually Expected to Fill​

Not every merchant needs every field.

  • In manual tax, most merchants fill all available fields because the surface is intentionally small.
  • In advanced tax, only the Engine tab is baseline configuration.
  • Jurisdictions are only needed if the merchant tracks or collects in specific jurisdictions.
  • Rules are only needed if the merchant wants destination-based logic.
  • Products & Simulator are operational tools for mapping and testing, not a mandatory checklist item for every store.

That is why the advanced workspace is tabbed. It is designed so merchants can work on one problem at a time instead of filling one giant tax form.

If you want the fastest route to confidence, use this order:

  1. Read the Glossary
  2. Read Manual Tax Overview
  3. Read Advanced Tax Overview
  4. Read the tab-specific guides for the parts you actually plan to use
  5. Finish with the Decision Guide

Important Scope Note​

eshopOS provides tax configuration and tax automation features. It does not remove the merchant’s legal responsibility to understand where they collect, report, file, and remit taxes.

That means this documentation teaches merchants how to use the platform correctly, but it does not turn the platform into legal or accounting advice. Operationally, the right question is not “What button do I press?” but “What tax behavior do I intend, and does the platform reflect that intent?”