Set up your WooCommerce integration

 After you've set up your TaxJar account, follow these steps to set up your WooCommerce integration.

Set up a TaxJar test account (optional)

If you have a WooCommerce test environment, a TaxJar test account might be useful for testing purposes. To set one up, simply sign up for a new (free) TaxJar account, then contact our customer support team at support@taxjar.com to let us know the email address associated with the account. We can then convert your trial account into a test account.

Install and activate the TaxJar for WooCommerce extension

1. Download the TaxJar for WooCommerce Extension. 
2. Go to: WordPress Admin > Plugins > Add New and Upload Plugin with the file you downloaded with Choose File.
3. Install Now and Activate the extension.

Set up and configure the TaxJar extension

Refer to WooCommerce’s documentation on Setup and Configuration.

Nexus information 

Once TaxJar is enabled for your WooCommerce store, a list of nexus states/regions appears under the Sales Tax Calculations checkbox. 

If no states appear, you’ll need to do one of the following: 

a. Click the Sync Nexus Addresses button if you recently made changes, or 

b. Click on Manage Nexus Locations to make the necessary changes in your TaxJar account, and then click the Sync Nexus Addresses button. 

Confirm that all of your nexus addresses are saved in TaxJar. Currently TaxJar supports one region from your Store Address in other countries. If you’re unsure where you need to collect sales tax, read our post on sales tax nexus. We also provide sales tax guides for each US state.

Set up your exempt products and customers

As part of the integration set-up process, you will need to set up your exempt products and customers within the TaxJar plug-in to ensure TaxJar calculates the right amount of tax at checkout. The TaxJar for WooCommerce set-up guide covers how to set up exempt products and how to set up your exempt customers. 

TaxJar’s tax code catalog can be found here: TaxJar Sales Tax Categories.

Product taxability

To exempt certain product categories such as clothing from sales tax, create a custom tax class and assign it to your products:

1. Go to: WooCommerce > Settings > Tax. 
2. Next to Additional tax classes there’s a box where you can type in a new tax class. 
3. To set up a clothing tax class, add “Clothing – 20010” on a new line. 20010 is the clothing product tax code passed to our sales tax API for exemptions. If your products belong in another category, refer to the list of categories and tax codes we support. 

4. Once you add a new tax class, make sure your products are assigned to the new tax class. When editing a product, change the tax class to “ Clothing – 20010” under the General tab and Save it. Now we’ll pass a product tax code with this product when making calculations through our sales tax API. 

For variable products, make sure each variation tax class is set to Same as parent:

Customer taxability

To exempt customers from sales tax, edit a given user in the WordPress admin panel and update the options listed under TaxJar Sales Tax Exemptions: 

1. Go to: Users > All Users. 
2. Edit a customer / user.
3. To exempt the customer, change Exemption Type to Wholesale / Resale, Government, or Other: 

To exempt the customer in one or more states, use the multi-select field to select the states. If no states are selected, the customer will be exempt in all states: 

Click the Update User button at the bottom of the screen to save the customer and sync them to TaxJar.

Importing orders to TaxJar

To import orders into TaxJar for sales tax reporting and filing, perform the following steps:

1. Go to: WooCommerce > TaxJar. 
2. Tick the box for Sales Tax Reporting: 
3. Save changes.

Once enabled, your completed WooCommerce orders and refund transactions will automatically sync to TaxJar. You can see how this works behind-the-scenes by going to the TaxJar tab under WooCommerce > Settings and clicking the Sync Queue link: 

Backfill historical sales