Paypal Sales Tax Calculation

[Victor Congionti]

I noticed that in the current Paypal integration, there is no field for sales tax as indicated per attachment 1. This field is very important for tax liability reasons as you can imagine. When logging into Paypal I realized that the sales tax amount that I was supposed to see was not present (attachment 2). Are there any plans on integrating this in the near future? I don't see this as a major enhancement as its just a matter of mapping a field from attachment 1 to the Paypal API field. Thank you for your response in advance. 

[Open eSignForms]

On Thursday, March 20, 2014 11:12:04 AM UTC-7, Victor Congionti wrote:

I noticed that in the current Paypal integration, there is no field for sales tax as indicated per attachment 1. This field is very important for tax liability reasons as you can imagine. When logging into Paypal I realized that the sales tax amount that I was supposed to see was not present (attachment 2). Are there any plans on integrating this in the near future? I don't see this as a major enhancement as its just a matter of mapping a field from attachment 1 to the Paypal API field. Thank you for your response in advance. 

Can you create an issue for this? http://code.google.com/p/openesignforms/issues/list

We can probably get it added to the next release as it does seem a small matter from a coding perspective.  It looks like for a total sales tax we just need to include the param TAXAMT when we submit to PayPal.

I do not think it has anything to do with tax liability, though. In general, you need to track sales tax yourself, make all appropriate payments to the state, etc.  The PayPal tax amount is like the shipping amount in that it allows you to show a breakout on the PayPal invoice, but for most who are doing their own credit card processing, they don't even see such a value.  Each state is quite different as it relates to sales tax, so calculating it can be tricky.

In Washington State, for example, we have different tax rates based on what is being sold, with many professional services non-taxed (a web application service is taxable, but hosting a web site is not -- so go figure!).  We also have different tax rates based on addresses within the state, and we have to report and remit the taxes on a "location code" basis.  PayPal has nothing to do with any of that.

[Victor Congionti]

We've already developed custom logic for specific states and their corresponding sales taxes. Every quarter we have a report that we can run within esign forms to calculate the sales tax. I suppose this will do but I thought it was helpful to pull that information into Paypal when running reports from Paypal. 

[Open eSignForms]

We agree.  As mentioned, please open an issue and we'll get it added.  You can even reference the PayPal NVP name TAXAMT



[Theodis Butler]

I'm getting ready to try the Pay Pal integration and will add it as an issue as soon as I have the specifics.

Thank you!