TaxJar API: Rounding during Calculations
When calculating sales tax on an individual transaction, the
TaxJar API is calculating sales tax on each line item.
- We do this because we support product exemptions.
- Orders could potentially have a mix of fully taxable, fully exempt, and/or reduced rate items, so we calculate the sales tax on each item individually.
- The "amount_to_collect" is the sum of these sales tax calculations, which is then rounded.
We explain more in-depth about rounding here and how it can affect sales tax returns.