Tax and eCommerce Order Fulfillment FAQ

Edited

How are taxes calculated for Delivery orders in BentoBox? 

BentoBox uses TaxJar to calculate tax amounts based on the origin, destination, method of fulfillment, items being sold.

To find information on your state, click here. 

Is the shipping fee taxed? Should it be?

This depends on the state your business is located in as well as the location of your customer who you are shipping to.

Typically, only orders which have a shipping address in the same state as the store OR a state which has a tax nexus to the store will charge taxes.

Visit this link to learn more on which states charge taxes for shipping. 

Is the gratuity fee taxed? Should it be?

This also varies per state and depends on whether the tipping is voluntary or involuntary. In most states, gratuity is not taxed.

What taxes do I have control over for online ordering? 

You can control whether you tax each item on your menu; this can be set at the item-level in Online Ordering. In addition to this, you can also control additional settings at the location level. This includes the ability to tax or not tax any custom fee, the $0.99 service fee for each order, as well as any COVID-19 Relief Fund add-ons that diners may selecting at checkout. You do this through toggling ON/OFF whether you want to apply a sales tax. 

Are Gift Cards Taxed? 

No — gift card sales are not taxed. A sales tax charge for this item occurs during redemption,  when the customer comes in to use their gift card. 

Can BentoBox do my taxes? 

No, BentoBox cannot give sales tax advice nor can we complete your taxes for you. We encourage you to speak to your accountant for further advice on the best way you should be capturing taxes. 

Please contact support@getbento.com if you believe there is a new law or regulation where taxes are not being calculated correctly for your business.

More info on Taxes:  

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