Charging taxes on events

Depending on where you are located in the world, your governing tax laws, and the nature of your business, you may need to charge your attendees tax on your events. In Corsizio, you can accomplish this by setting a default tax rate for your account and then enabling the tax feature for each event that it applies to. If you operate in the European Union, then also see European Tax - VAT.

In this article

How to Charge Taxes on Events

To charge taxes on events, follow these steps:

1
Go to the account Settings, and then select Payment Settings.
2
In the Currency and tax settings, select your  currency if you have not already. Each account can only be associated with one currency that applies to all events in that account. To learn about multiple currency needs, see Currencies accepted for online payments.
3
Fill in the Tax default rate and Tax label. You can always override these on an event-specific level.

Note: If you are not charging any tax and you need to make your attendees aware of this, you can leave the tax rate as zero and enable tax on the individual events, also with a tax rate of zero. This will visually show tax information on receipts, and inform your attendees that no tax was collected.
4
Fill in your Tax business number / ID, which will be shown along with the tax rate on your customer's receipt, and optionally your Tax business address.
5
When you have finished with this section be sure to Save payment settings.
6
Next, enable the tax feature on your Events by going to Step 2 – Pricing & Payment when you are creating or editing any event that requires a tax.
7
Turn on  Collect tax on payment to enable this for the event, and override the tax rate as needed.
8
When you are finished configuring this step be sure to Save & Exit, or proceed to the next step.
Note: Your account Reports will provide a breakdown of all of your totals, including how much of your funds have gone towards any taxes. For best results with reporting, set up your event pricing properly before you start accepting registrations.

How to Include Taxes in the Event Price Display

The price that attendees see for an event on event pages and the portal site  does not include the tax. The total along with the tax will be presented to them on the registration form.
If you would like your event pages and portal site to show your attendees the price with the tax already included, you need to configure this as follows:
1
Go to your account Settings, then select Configurations, and then Portal Site on the left side.
2
Navigate down to the Price Display Options section and check the box "Include any taxes in the display price labels on generated pages" to enable this feature for all of your events.
3
Be sure to Save site setup before leaving this area .

How Taxes Show Up on Attendee Receipts

Whenever the tax feature is enabled, taxes will be clearly shown and defined on your customer's receipts. This also applies to tax rates of zero that need to be shown on the customer's receipt, as shared in the note box under step 3 above.

Dealing with Different Tax Regions for the Same Event

Normally, you would only need to collect a tax in the province, state, or region where you operate your business, and customers are normally charged tax on goods and services they buy in the region they are in, whether it is their home region or not.

For example, when a person from France visits a state in the US, they pay the tax applicable in that US state on any products or services they buy while there. This also applies to people crossing states within the US or provinces within Canada. The same can apply to online purchases too. If you are a US-based event provider and need to collect taxes as part of doing business in your state and someone from France registers for one of your virtual events, they would be charged the tax rate you need to collect for your region accordingly. Your business is in that particular state and you are streaming the event in that particular state; the person in France is making a choice to join you there virtually.

In this straightforward case, you would turn the tax feature on and collect the tax rate applicable to your region, regardless of who registers from any part of the world.

However, with the rise of virtual events, some event organizers want to charge their attendees differently, depending on where they are from, which is not easy and poses various challenges.

For example, if you try to show different tax rates and prices or ask people to choose their location and tax that applies to them, this can lead to registrants bypassing the objective by selecting the lowest price category. Likewise, with more people working online, living abroad, and having multiple addresses and currency payment cards, it can be very difficult to determine or control what tax rate may apply to each customer. Online e-commerce, governments, and service providers are struggling with these very challenges today.

Note: Corsizio, similar to other such event registration platforms, does not have a built-in tax feature that would provide conditional logic on the registration form based on a geographical address to determine what tax rate a registering person should be charged.

You have the option to either turn the tax feature on and charge everyone the same tax rate on an event or keep the tax feature off, adjust the price accordingly, and deal with the taxes you need to collect separately. Otherwise, you can create distinct versions of the same event for different regions to reflect the different tax rates. This is viable if you only have a few regions you are serving and you feel that you can control that people will register for the event version of their region. You can configure a different tax rate per event in a Corsizio account, but as stated above, you cannot configure multiple tax rates on the same event listing.

Therefore, one of the easiest ways to solve the dilemma of charging different tax rates on an event is not to use the tax feature and charge everyone the same inclusive price. Adjust your event price accordingly to offset the tax you will need to remit and create one event with the same price, inclusive of the tax, for everyone. You can also create a checkbox using the custom form fields for attendees to check if you need to know if they reside in your specific region. This will prevent registrants from questioning different prices and tax rates on an event and prevent the behavior where a person would always select whatever option produces the lowest cost. At the end of the year or every month, you can export the data and tally up the amount collected from your customers to figure out the percentage that would amount to the taxes you are responsible for paying to your government.

In summary, as businesses serve multiple regions with their online events and classes, it is most valuable to stick with one consistent and inclusive price that all your customers see and pay. Your organization's tax obligation to its local region would then be accounted for in the price (inclusively) and calculated at the time of tax submission manually based on your specific needs and criteria. Check with your tax advisor for the most accurate and up-to-date information regarding your tax obligations.

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