Stripe Tax

Automatically calculate, collect, and file sales tax, VAT, and GST with Stripe Tax. Works with any payment gateway on your funnel. You do not need to use Stripe for payments.


How it works

The Stripe Tax app connects your funnel to Stripe’s tax engine. When a customer reaches your checkout, Funnelish sends the order details and the customer’s address to Stripe Tax. Stripe returns the correct tax amount, and it’s added to the order total automatically.

Because the calculation happens on the Funnelish side, it works with every payment method on your funnel: PayPal, credit card gateways, and everything else. Stripe is only used for the tax calculation, not the payment.

Stripe Tax supports tax calculation in over 100 countries, including US sales tax, EU VAT, UK VAT, and GST in countries like Australia and Canada.

:warning: Legacy pages are not supported
This app does not work properly on pages built with the legacy (v1) page builder. You must upgrade those pages to the new editor first. The legacy builder reaches end of life on October 31st, and upgrading will not be possible after that date. Upgrading is free, automatic, and takes one click. See the Upgrading legacy pages section below.


Pricing

Funnelish does not charge anything extra for this app. Stripe charges for Stripe Tax usage directly, and you can pay in one of two ways.

Option 1: Pay-as-you-go

No monthly fee. Stripe charges $0.50 per tax transaction. A “transaction” here means a Stripe Tax transaction (a completed order where tax was recorded), regardless of which payment gateway your customer used.

Each tax transaction includes 10 free tax calculations. Stripe only charges extra ($0.05 per calculation) beyond those 10. Calculations happen when the checkout updates tax in real time, for example when a customer enters or changes their address, so most orders stay well within the free 10.

In short: $0.50 per order with tax, with 10 calculations included per order. Filing is not included and is handled separately.

Option 2: Tax Complete (subscription)

Stripe’s all-in-one plan for full tax compliance. It starts at $90/month (1-year contract) and includes, at the entry tier:

  • 200 tax transactions per month
  • 2,000 calculation API calls per month
  • 2 tax registrations per year
  • 4 tax filings per year
  • Tax obligation monitoring and alerts

Higher tiers scale these limits up. If you process a steady volume of orders, the subscription can work out more generous than pay-as-you-go — 200 transactions on PAYG would already cost $100/month, before any filing costs. And unlike pay-as-you-go, filings and registrations are bundled in.

Additional fees may apply for registrations and filings outside the US, or if you exceed your plan’s limits.

Prices can change, so always check Stripe Tax pricing for the latest and to compare tiers.


What you need

1. A Stripe account. Free to create at stripe.com. If you already use Stripe anywhere in your business, you can use that same account.

2. An activated Stripe account. Stripe asks for basic business information (KYC) when you activate your account for live use. You do not need to process any payments through Stripe, but the account itself must be activated, since Stripe bills its tax fees from your Stripe account.

3. Stripe Tax enabled on your account. Done in a few clicks from the Stripe Dashboard (covered below).

4. Tax registrations added in Stripe. Stripe only calculates tax in places where you’ve told it you’re registered to collect tax. Without a registration for the customer’s location, the calculation returns zero tax. This is the most common reason “tax isn’t showing” — more on this below.

5. Funnel pages built on the new (v2) page builder.


Part 1: Set up Stripe Tax on your Stripe account

If you already have Stripe Tax running, skip to Part 2.

Step 1: Create or log in to your Stripe account

Go to dashboard.stripe.com and sign in, or create a new account. If your account is new, complete the activation form (business details, address, and so on).

Step 2: Enable Stripe Tax

Open the Tax settings page in your Stripe Dashboard.

  • Confirm your head office address. This is where your business is located, or where you ship goods from. Stripe pre-fills it from your business address.

  • Select a preset tax code. This tells Stripe what kind of product you sell (physical goods, digital goods, services, and so on) so it applies the right rates.

Step 3: Add your tax registrations

This step is required. Go to the Registrations (Locations) tab on the Tax page in your Stripe Dashboard and add every state, province, or country where you’re registered to collect tax.

A few things to know:

  • If you’re not registered anywhere yet, Stripe’s threshold monitoring tool shows you where your sales may have crossed local registration thresholds.

  • You can register yourself with the local tax authority and then add the registration in Stripe, or ask Stripe to register on your behalf (available in the US and, through Taxually, in many other countries).

  • You can also schedule a registration to start on a future date.

:bulb: Remember: no registration = zero tax. If a customer’s location has no active registration on your account, Stripe simply returns 0% tax for that order. This is by design.


Part 2: Connect Stripe Tax to your funnel

Step 1: Open the app

In your funnel, go to Apps and click Stripe Tax.

Step 2: Connect your Stripe account

Click Connect to Stripe. A secure Stripe window opens where you log in and approve the connection.

Once connected, you’ll see a green confirmation: “Your Stripe account is set up and ready to calculate tax.”

Step 3: Activate the app

Turn on the toggle at the top of the panel. The status changes from Inactive to Active.

Step 4: Save

Click Save changes. That’s it — tax is now calculated automatically at your checkout.


Assign tax codes to your products

A tax code (product tax category) tells Stripe what kind of product you’re selling, so it applies the right tax treatment. This matters more than it sounds: clothing, food, digital goods, and services all have different rules depending on the jurisdiction.

To set a tax code, open your product’s settings in the funnel and use the Sales tax code dropdown. You can search by name (e.g. “Clothing”) or paste a code directly (e.g. txcd_30011000).

If no tax code is set on a product, the default (preset) tax code from your Stripe tax settings is used. That’s fine if everything you sell is the same kind of product. If you sell a mix — say physical goods plus a digital course — set the code per product, or some orders will be taxed under the wrong category.

See the full searchable list of codes in our Product Tax Codes reference.


Optional settings

From address
The address you sell or ship from. Stripe uses this as the transaction origin when calculating tax. If left empty, your Stripe head office address is used.

Show tax entry when tax rate is 0%
When on, the order summary shows a tax line even when the calculated tax is 0%. Useful if you want customers to always see that tax was checked.

Sales tax text format
Controls how the tax line is labeled in the order summary. Use the {{RATE}} variable to show the rate. Example: Sales tax ({{RATE}}) displays as Sales tax (8.5%).


Upgrading legacy pages

The legacy (v1) page builder is being deprecated and reaches its end of life on October 31st. After that date, pages can no longer be upgraded, so we strongly recommend doing it now.

Upgrading takes one click:

  1. Open your funnel and find the page.
  2. Click the edit (pencil) icon.
  3. Choose Upgrade to new editor (recommended).

The upgrade is free and automatic. Your page is converted to the new page builder, and you get access to all the latest features, including this app.


FAQ

Do I need to use Stripe as my payment gateway?
No. That’s the whole point of this app. Your customers can pay with PayPal, any card gateway, or anything else. Stripe is only used to calculate (and optionally file) the tax.

Do I need a fully verified Stripe payments setup?
You need an activated Stripe account, which means completing Stripe’s standard business information form. You do not need to enable or use card payments on that account.

What does Stripe Tax cost?
Nothing from Funnelish. Stripe offers two options: pay-as-you-go ($0.50 per tax transaction with 10 free calculations each, filing billed separately) or the Tax Complete subscription (from $90/month, which bundles transactions, calculations, registrations, and 4 filings per year). See the Pricing section above.

Why is tax showing as 0%?
Almost always because there’s no active tax registration for the customer’s location on your Stripe account. Add the registration in your Stripe Dashboard under Tax → Registrations. Other reasons include tax-exempt products or reverse-charge B2B transactions.

Do I need to set a tax code on every product?
It’s recommended. Without one, Stripe falls back to the default preset code from your Stripe tax settings, which may not match what you actually sell. See the Product Tax Codes reference for the full list.

Does this handle tax filing too?
Yes, through Stripe. Once you’re collecting tax, you can set up automated filing from your Stripe Dashboard: US filings are handled by Stripe (powered by TaxJar), and filings in 90+ other countries go through Stripe’s partner Taxually. Filing is bundled with the Tax Complete subscription, or billed separately on pay-as-you-go.

Which countries are supported?
Stripe Tax supports 100+ countries, including all US states, the EU, UK, Canada, and Australia. See Stripe’s supported countries list.

Does it work with test mode?
Yes. If your funnel is in test mode, no real payments are processed and tax calculations run against your connected account without creating live tax transactions.


Troubleshooting

Tax isn’t showing at checkout

  • Check the app toggle is Active and you clicked Save changes.
  • Check Stripe Tax is enabled on your Stripe account.
  • Check you have an active registration for the customer’s location.
  • Check the page is built on the new page builder, not the legacy editor.

Wrong tax amount

  • Review your From address in the app settings.
  • Check the product has the correct Sales tax code assigned in its settings.
  • Check the preset tax code on your Stripe tax settings matches what you sell.
  • Check whether your prices are set as tax-inclusive or tax-exclusive in Stripe.

Connection issues

  • Click Disconnect in the app panel, then reconnect your Stripe account.

Related topics


Got feedback or found an issue with this app? Use the Let us know link inside the app panel, or reply below if it’s related to this topic. For anything else, post your question in the Ask the community category and we’ll help you out.