Recommended Tax configuration for Canadian Stores

J2Commerce (formerly known as J2Store)

This is an example setting for stores in Canada. For detailed information on tax, please consult an expert.

NOTE: The example given below, assumes you have a store in Canada, Saskatchewan and you charge 5% GST and 5 % Saskatchewan-PST on the goods sold to customers.

Step 1 : Create a geozone for Canada

Go to Components > J2Commerce > Localisation -> Geozones -> New

Geozone Canada

Geozone Canada

Geozone Name: Canada geozone

Country : Canada

Zone : *

Step 2: Create a tax rate

Go to Localisation -> Tax Rates -> New

Tax Rate Canda

Tax Rate Canda

Name : Canada-GST

Tax Percent : 5

Geo Zone : Canada geo zone

Enabled: Yes

Step 3: Create another tax rate for Saskatchewan-PST

Go to Localization -> Tax Rates -> New

Saskatchewan Tax Rate

Name : Saskatchewan-PST

Tax Percent : 5

Geo Zone : Canada geo zone

Enabled: Yes

Step 4: Create a tax profile and rules

Go to Localization > Tax Profiles > New

Name: Canada Tax Class

Enabled: Yes

Tax rules

Click Add

Rate: Canada - GST

**Associated Address: ** Shipping

Click Add

Rate: Saskatchewan-PST

**Associated Address: ** Shipping

Step 5: Configure tax settings

Go to Setup > Configuration > Tax

Prices Entered with Tax: No, I will enter prices EXCLUSIVE of tax

Calculate tax based on: Shipping address

Default Customer address: Store address

Display prices on product pages: Excluding tax

Display prices in cart / checkout: Excluding tax

Apply discounts: Before tax

Save.

Step 6: Adding the tax profile to a product

J2Commerce uses Joomla! articles as products. So go to Article Manager and create a New Article / Product (If you use any other catalog source like Zoo or Sebold, you should head there).

Product creation steps are explained under the topic Products.

Here let us just see how to choose the tax profile

Go to J2Commerce (or J2Store Cart) tab > General tab

Tax Profile: Canada Tax Class

IMPORTANT If you do not choose the tax profile, then tax will not apply in the storefront.

Video Tutorial: