In this sectionStripe and payouts6 articles
Charging tax on your sales
Tax on your sales is yours to handle, because you're the merchant of record. Here's how to switch it on and how Koarge fits in.
Why this is your responsibility
You are the merchant of record on every sale. The transaction is between you and your buyer, which means whatever tax obligations apply are yours — not Koarge's and not Stripe's.
Koarge passes tax collection to Stripe Tax on your own Stripe account. You're responsible for registering where you sell and keeping your rates current. Koarge doesn't calculate, file, or remit tax for you.
Turning it on
Enable Stripe Tax in your Stripe dashboard, and register the locations where you're obliged to collect. That's the only step you have to take. Koarge can't do this part — Stripe holds your account.
Koarge detects it. Under Setup → Stripe, the Sales tax card confirms Stripe Tax is enabled on your account and switches itself on, so tax starts being calculated at checkout without you doing anything else.
Until you've enabled it in Stripe, that card tells you so and there's nothing to turn on in Koarge.
Turning it off
The Sales tax toggle under Setup → Stripe lets you stop charging tax at checkout while leaving Stripe Tax enabled in Stripe. This is dashboard-only; there's no equivalent in the plugin.
Only use it if you know you shouldn't be collecting. Switching it off while you're registered and obliged to collect means under-collecting on every sale, and you'd still owe the tax.
How the amount is worked out
From your buyer's billing address. They enter it at checkout, Stripe Tax reads it, and the tax is calculated from where they are and where you're registered.
There's no tax ID or VAT number field at checkout — buyers can't enter one to zero-rate a purchase. If you sell to businesses that expect reverse-charge treatment, that's worth knowing before you launch.
Tax shows as its own line on the order, separate from the sale amount, so your Orders screen always shows what was charged as tax and what wasn't.
Whether you need to
That depends on your country, your registration status, your revenue, and where your buyers are. Digital goods in particular have their own rules in many places, and those rules are strict about cross-border sales.
Koarge can't tell you what applies to you. If you're unsure, talk to an accountant in your own country — a wrong assumption here is expensive to unwind.
Remitting
Stripe Tax calculates and collects. Filing and remitting is still yours to do. Money collected as tax sits in your Stripe balance alongside everything else; it isn't set aside or sent anywhere on your behalf.
If it doesn't work
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No tax is being added at checkout. Check Setup → Stripe. If the Sales tax card says Stripe Tax isn't enabled on your Stripe account, enable it there. If it's enabled but the toggle is off, someone has turned it off.
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The wrong amount is charged. Check your registrations in your Stripe dashboard. Stripe calculates from what you've told it.
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You enabled Stripe Tax but Koarge still shows it as disabled. Reload your dashboard. If it persists more than a few minutes, contact support.
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A buyer wants to supply a VAT number. There's no field for it at checkout. You'd need to handle that with them directly, outside the sale.