Canadian Taxes

Hi,

The taxes will apply based on both the products and the shipping address.
When you configure a tax rule in the menu System>Taxes, you can select a tax category on which you want the tax rate to apply.
If all the products are set to the same tax category, then all the products will have the same taxes (which is what you want in most cases).
Similarily, when you configure a tax rule, you can select one or several zones on which you want the tax rate to apply. That way, based on the shipping address of the customer, the tax rule will apply or not based on that zones restriction setting.
Then, if you have two tax rules that apply for the same tax category and for the same zone, by default, HikaShop will pick the first one to apply it to the product. However, thanks to the "cumulative tax" setting of your tax rules, you can allow HikaShop to apply several tax rates at the same time to the same product. So as Canada as both a GST and a HST tax rates that apply at the same time, you'll want to activate that setting in your tax rules.

So suppose that you have a tax rate of 10% that applies to all the country, and a local tax rate of 5% for half of the states and 0% for the rest of the states which goes on top of the 10% tax rate.
You'll want to create two tax rules:
- one with the 10% tax rate selected, the tax category of your products and the country zone selected and finally the "cumulative tax" setting activated.
- one with the 5% tax rate selected, the tax category of your products and the state zones of that tax rate, and finally the cumulative tax setting activated.

That way, the people with an address outside your country won't have any taxes, the people in a state with the 5% local tax will pay the 5% tax + the 10% tax, and the people in a state with the 0% local tax will only pay the 10% tax.

Hi,

As I said, you need to go in the menu System>Taxes.
There, you click on the "new" button in order to create a new tax rule.

The thing is that if we do it for you, you'll not learn how to do it and you'll still have the same problem for the next two websites. so it's better that we take the time to explain to you how it works so that you can do it yourself I think.

Of course, if you need someone to add the rules for you, you can ask a partner here:
www.hikashop.com/home/our-partners.html


Let's do a step by step:
1. go in System>Taxes
2. click on the "manage tax rates" button
3. click on the "new" button, enter the namekey "GST" and the value 5% and save
4. click on the "new" button, enter the namekey "HST" and the value 10% and save
5. Go in System>Taxes, click on the "new" button, select the GST tax rate, the zone "canada", and turn on the "cumulative tax" setting and save.
6. Go in System>Taxes, click on the "new" button, select the HST tax rate, the zones "new brunswick", "Newfoundland and Labrador", "Nova Scotia", "Ontario", "Prince Edward Island (PEI)", and turn on the "cumulative tax" setting and save.

That's it. All your products will now have the correct tax for the states for the HST and for the states with only the GST, and then you can create the tax rates/rules for the GST and PST in a similar way.