Tax Calculation

Overview of Tax Calculation

The tax calculation service provides real-time tax calculation for worldwide orders placed with your business. It also enables you to avoid the risk and complexity of managing online tax calculation.

The key services provided allow you to:

Important

IMPORTANT NOTICE FOR USERS OF TAX SERVICES

The tax calculation is based on the location of the customer's taxing jurisdiction, your nexus locations, and the tax and product codes that you provide to . The order price and quantity are included in the calculation to determine the order's total tax amount. You are solely responsible for selecting the appropriate tax and product codes for your business and its goods and services, including with respect to shipping and handling, and providing those codes to .

DOES NOT PROVIDE TAX CONSULTATION SERVICES, ACCOUNTING OR LEGAL ADVICE AND ASSUMES NO OBLIGATION, LIABILITY OR RESPONSIBILITY FOR ANY INCORRECT, INACCURATE, OR INCOMPLETE INFORMATION PROVIDED TO , OR FOR ANY INCORRECT TAX CALCULATIONS RESULTING FROM SUCH INFORMATION. STRONGLY RECOMMENDS THAT YOU CONSULT WITH A TAX PROFESSIONAL IN CONNECTION WITH YOUR SELECTION OF TAX-RELATED DATA FOR INPUT INTO THE TAX CALCULATION SYSTEM. TO THE EXTENT CUSTOMER USES 'S TAX CALCULATION SERVICE, CUSTOMER UNDERSTANDS AND AGREES THAT NEITHER NOR ITS THIRD-PARTY LICENSORS CAN GUARANTEE THE ACCURACY OF TAX OR VAT RATES OBTAINED FROM TAXING AUTHORITIES, AND, (ii) THAT CUSTOMER BEARS THE ULTIMATE RESPONSIBILITY FOR THE PROPER PAYMENT AND REPORTING OF TAXES APPLICABLE TO CUSTOMER'S SALE OF ITS PRODUCTS OR SERVICES.

Additional Information

In the , you can view transaction details, process customers' transactions, and manage the Tax Detail Report. For more information about tax calculation using the , see .

US and Canadian Tax Calculation

The tax calculation service determines the applicable US and Canadian tax rates based on the customer's billing or shipping address and your nexus locations. When the tax calculation service succeeds, the response includes a tax amount for each item and indicates whether the tax amount was calculated by the tax calculation service or provided by you.

International Tax and VAT Calculation

The tax calculation service supports international tax and VAT calculation for the countries and regions listed in Supported Countries and Regions. When you include the merchantInformation.vatRegistrationNumber or orderInformation.lineItems.vatRegistrationNumber field and VAT rules and rates are applicable, the service calculates a VAT tax, and the relevant tax amounts are returned in the response.

There are some countries where VAT registration is not required. More details are mentioned in Supported Countries and Regions.

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Last published: September 29, 2026