If you have locations that are large and need a way to tax those area differently we have a new feature just for you!

Zip Code Based Taxation is going to allow you to change your Zoning section so it reflects different tax % per each individual Zip Code.

In order to activate this feature we will first navigate to LOCATIONS section in your admin backend and stay on the Information tab.

Here next to the already existing Location Non-Menu Tax Rate you will find these NEW settings:

1. Calculate RDS Tax on “Zip Code Setting” - Use this dropdown to choose how to tax your locational taxable charges. Defaulted to 'Location Setting' to use the tax rate listed in the 'Location Non-Menu Tax Rate' field. Select 'Zip Code Setting' to tax using delivery zip code based tax rates instead. (We will do the Zip Code based Setup below)

2. Apply Sales Tax to - Check these boxes only if you need to charge tax on your delivery fee or locational additional charges. When checked, these items become taxed at the tax rate established in the 'Calculate RDS Tax' dropdown.

3. Calculate Restaurant Subtotal Tax on - This can also be either on a Restaurant based setting OR Zip Code Setting

Now once we have all the Information tab settings setup we can then move on to the ZONING tab.

Here you will be able to adjust your existing zones and
also modify the Tax Rate % per each individual ZIP CODE
(Also make sure you change them on your existing zip codes if needed)

IMPORTANT If you select ZIP CODE SETTING in your Information tab and forget to put a value in the Tax Rate % field THE SYSTEM WILL NOT CHARGE THE LOCATIONAL TAX %!!!

So PLEASE double check every Zip Code and ensure you have it setup correctly with the values needed in order not to lose money and have an accounting nightmare.

Overriding values for individual restaurant can be done in the restaurant’s Financial tab as seen in the picture below. (If your contract with the restaurant specifies different taxing for Non-menu items like Additional charges and Local sales tax rate)

If you would like to see a visual representation of this feature please see the video below and let us know if you have any questions and/or suggestions.