Configure Stripe Automatic Tax for SaaS Subscriptions

SaaS V1 (Stripe-based) accounts can collect taxes automatically through Stripe Automatic Tax. Configure where taxes apply, how they're calculated, and whether prices are inclusive or exclusive of tax. Settings sync directly with Stripe.

This feature is not available on SaaS V2 or with non-Stripe payment providers.

Step 1: Enable automatic tax collection

1. Go to SaaS Configurator → Automatic Tax.
2. Toggle Enable automatic tax collection for SaaS products to ON.

Step 2: Configure tax registrations

1. Under Tax Registrations, click Manage Tax Registrations. You'll be redirected to your connected Stripe account.
2. Add or manage the jurisdictions (countries and states) where you collect taxes.
3. Saved registrations appear back inside Sparkforge.

Stripe calculates taxes based on the customer's billing address and your registered jurisdictions.

Step 3: Select a product tax code

1. Under Product Tax Code, choose a code from the dropdown.
2. Click Save.

Choose the code that matches the type of product you sell, with input from your local tax consultant.

Step 4: Configure tax behavior

Under Tax Behaviour, pick a default:

• Automatic: exclusive pricing in the US and Canada, inclusive pricing everywhere else.
• Inclusive: taxes are included in the displayed price.
• Exclusive: taxes are added on top of the displayed price.

Click Save.

Step 5: Configure category-level overrides (optional)

1. Scroll to Category Level Overrides.
2. Click the edit icon next to a category.
3. Enable or disable tax collection for that category, customize tax behavior, and save.

Category overrides take precedence over the global setting for that category only.

Important behavior notes

• All tax configurations apply going forward only.
• Existing active subscriptions are not updated retroactively.
• Mid-cycle changes don't touch active subscriptions; they keep their original tax configuration.
• If a subscription becomes inactive (failed payment or cancellation) and is later reactivated, the latest tax settings apply.
• Available only for agencies on Stripe in SaaS V1.

Tax and compliance disclaimer

Sparkforge does not provide tax, legal, or compliance advice. Determining your tax obligations is your responsibility. Consult a qualified local tax professional to set this up correctly for your jurisdiction and business model.