Any information on sales tax rules and regulations provided herein is for informational purposes only. It is your responsibility to consult with local tax authorities or a tax professional to determine the relevance of sales taxes to your business, ensure that you charge your customers the correct sales tax rates, and file and remit your sales taxes correctly.
In this article:
- Kajabi Sales Tax
- Before You Begin Setting up Kajabi Sales Tax
- Fees
- Onboarding to Kajabi Sales Tax
- Setting up Additional Sales Tax Jurisdictions in Which You’ve Registered
- Enabling Sales Tax on Offers
- Sales Tax Report
- Exporting Sales Tax Report
Kajabi Sales Tax
Kajabi Sales Tax helps Heroes automatically calculate and collect sales tax on their products and services. Kajabi partnered with Quaderno (one of the world’s leading sales tax compliance platforms) to enable at-checkout calculation and collection of sales tax factoring in the tax jurisdictions you set up, the product or service (i.e. offer) being sold, and your customer’s location.
Kajabi Sales Tax also makes it easy for you to file and remit any sales tax you collect with detailed sales tax reporting. Kajabi Sales Tax does not file or remit sales taxes on your behalf. You are responsible for filing and remitting any sales tax that you collect.
If you're curious about whether your business and its products and services are subject to sales taxes, check out Quaderno’s Sales Tax Guides.
Before You Begin Setting up Kajabi Sales Tax
Before you begin you will need to determine whether you need to charge sales taxes, what jurisdictions (states, countries, etc.) you should charge sales taxes in, and what products or offers you should charge sales taxes on.
If you're not sure, we recommend you consult with local tax authorities or a tax professional. In addition, you can check out Quaderno’s helpful Sales Tax Guides as a starting point.
If you determine that you are responsible for charging sales taxes on your products or services in a jurisdiction, you must register with the tax authority of that jurisdiction. Each tax authority you register with will provide you with a Tax ID that you will need for the Kajabi Sales Tax setup.
Fees
With Kajabi Sales Tax, you only pay for what you use. The fee is charged per successful transaction and will only apply to transactions for Offers that have Kajabi Sales Tax enabled. Learn more.
Onboarding to Kajabi Sales Tax
To onboard to Kajabi Sales Tax:
- First, ensure that you have successfully set up Kajabi Payments in your account. Learn more.
- Next, open the Settings page from the Dashboard.
- Select Tax located under the Site Settings.
- Agree to the Terms and Conditions.
- Select your default Tax Code* and Product Type and click Save and Continue.
- Add your jurisdiction(s) and click Save and Finish:
Please be aware that the Tax Code and Product type chosen during setup will only serve as the default setting for your offers after you enable them for taxes. You will need to activate Sales Tax for each specific offer. The tax code and product types can be customized for each offer.
*Tax Codes
The following tax codes are available to choose from:
- e-Service – for digital goods or services (excluding e-books).
- e-Book – for electronic books.
- SaaS – for Software as a Service (a.k.a. on-demand software).
- Consulting – for consulting or other professional services in cases where sales in your own jurisdiction are taxable but sales to other jurisdictions are not taxable.
- Standard rate – for any general goods or services not included in the categories above with standard tax rates.
- Reduced rate – for any general goods or services not included in the categories above with reduced tax rates.
- Tax-exempt – for any tax-exempted goods or services.
Setting up Additional Sales Tax Jurisdictions in Which You’ve Registered
After you've registered with the tax authority in any jurisdiction where you are going to charge sales tax and have your Tax ID, you can set up your Kajabi Sales Tax.
To set up your tax jurisdiction(s):
- Open the Settings page from the Dashboard.
- Select Tax located under the Site Settings.
- Under Tax Jurisdiction, click Add Jurisdiction.
- Enter the jurisdiction information including the tax registration number you received:
Only jurisdictions that are Active based on the entered Valid From and Valid Until date will be factored into the sale tax calculation.
Enabling Sales Tax on Offers
To enable Kajabi Sales Tax on your offer:
- Open the Sales tab from the Dashboard.
- Click on Offers.
- Select the Offer you’d like to collect sales tax on.
- Click on the Pricing tab.
- Click on the Collect Sales Tax checkbox.
- Click on the “Include tax in the offer’s price” if you want tax to be inclusive of the offer price, otherwise, it will be tax-exclusive and will be added on top of the price.
- Select the applicable Tax Code* and Product Type for this particular offer.
- Click Save on the upper right-hand corner when complete:
Want to enable Kajabi Sales Tax on all of your Kajabi Payment offers? Kajabi now offers that feature!
To enable Kajabi Sales Tax on all of your Kajabi Payment offers:
- Open the Settings page from the Dashboard.
- Select Tax located under the Site Settings.
- Click Lets do it! On the top banner to start.
- Select if you would like to include tax in the offer’s price.
- Select if you would like to automatically convert all your Offers to Kajabi Payments.
- Click Enable Now to enable Kajabi Sales Tax on all of your Kajabi Payment offers:
*Tax Codes
The following tax codes are available to choose from:
- e-Service – for digital goods or services (excluding e-books).
- e-Book – for electronic books.
- SaaS – for Software as a Service (a.k.a. on-demand software).
- Consulting – for consulting or other professional services in cases where sales in your own jurisdiction are taxable but sales to other jurisdictions are not taxable.
- Standard rate – for any general goods or services not included in the categories above with standard tax rates.
- Reduced rate – for any general goods or services not included in the categories above with reduced tax rates.
- Tax-exempt – for any tax-exempted goods or services.
Sales Tax Report
You can view a detailed list of sales tax transactions from your Analytics page.
The sales tax report analytic page view can be customized by transaction date, payment type, currency, Offers, Customer Name, and Customer Email.
To view your sales tax report:
- From the Kajabi Dashboard, click Analytics.
- Scroll down to Sales Tax.
- Choose a transaction date period or apply a filter, then click Apply to view the results:
Exporting Sales Tax Report
To export your Sales Tax report from the Analytics page:
- Select the Analytics tab from the Dashboard.
- Once on the Analytics Page, click on Sales Tax.
- Select the date range and any filters you would like to add, then click Export:
To export your Sales Tax report from the Transactions:
- Select the Sales tab from the Dashboard.
- Once on the Payments Overview Page, click on Transactions.
- Select the “…” menu located next to Filters button and click on Export Transactions…
- Select the date range and click Export:
And that’s Kajabi Payments Sales Tax! If you have any questions, please reach out to our dedicated team at salestax.support@kajabi.com. Please vote below and let us know if you found this article helpful. We value your feedback. Thanks for being the best part of Kajabi