Sales tax on Wix Stores

Wix Stores can calculate sales tax and add it to orders at checkout. You set it up at Settings → Tax in your site's dashboard, and you choose one of two methods. With the manual method you pick the locations where you collect tax and type in the rates. With the automatic method, a third-party service called Avalara works out the rate for each order.

The automatic method depends on your plan. As of October 2026, it covers 100 transactions a month on the Business plan and 500 a month on Business Elite. It is not included in Core. Wix lists no such plan limit for the manual method.

What Wix does is calculate and collect. Deciding where you owe tax, registering with those states, filing returns and sending in the money all remain your responsibility. This article describes how the tool works. It is not tax advice. For what your business owes and where, ask an accountant or the tax agency of the state in question.

What the Wix tax tool does

The tax settings answer one question at checkout: how much tax should be added to this order, given what is in the cart and where it is going. Wix applies the rate, shows the tax to the customer, collects it with the payment and records it on the order.

The same tax settings cover more than the store. According to Wix's tax collection overview, they apply to Wix Stores, Wix Bookings, Wix Restaurants Orders (New) and Wix Donations, and are in the process of becoming available for Pricing Plans.

One housekeeping point before you start: if you previously set up tax or shipping inside a merchant account such as PayPal, Wix tells you to remove it first, so that tax isn't handled in two places.

Manual vs automatic at a glance

You don't have to choose one for the whole site. Wix lets you manage some locations manually and others with Avalara.

Setting up manual tax

With manual tax you decide where to collect and what to charge. It is simple and it is entirely on you to keep current.

1. Go to Settings → Tax in your site's dashboard.
2. Add each location where you collect tax.
3. Enter the rate for that location. You can set separate rates for products, for services, and for shipping and delivery.
4. If a location has more than one tax that applies, add multiple rates for it.
5. Save, then place a test order to an address in that location and check the tax line.

The weak point of manual tax is detail. In many US states the total rate changes from one city or county to the next. A single state-wide number you typed in will be right for some addresses and wrong for others. And when a rate changes, nothing in Wix updates it for you. If you collect in one state where you know the rules well, manual can be fine. Past that, it gets hard to maintain.

Setting up automatic tax with Avalara

Avalara is a third-party tax service that connects to your Wix site. It calculates tax from up-to-date rules, updates when rates change, and accounts for county and city level differences. You still tell Wix which locations to collect in. Avalara supplies the right rate for each address inside those locations.

Before you start, check three things:

• Your plan. Avalara is available only on a plan that supports automated sales tax. Among the standard Wix plans that means Business or Business Elite.
• Your country. Avalara is not available in India, Brazil, Puerto Rico and a few other places Wix lists.
• Your Avalara account. One Avalara account can't be connected to multiple sites. If you already have an Avalara account, it can only be connected by contacting Wix Customer Care.

The setup itself runs from Settings → Tax, where you choose the automatic method and add your tax locations. Wix walks through each screen in its guide to setting up automatic tax calculation. A few settings deserve attention.

Backup rates

Wix lets you enter backup rates for the rare case that Avalara can't be reached at checkout. Without one, that order would be taxed at 0%. Enter a backup rate for every location.

Home rule states

Some US states let cities and counties run their own sales tax, known as home rule. Wix lists Alabama, parts of Alaska, Arizona, Colorado, Idaho, Illinois and Louisiana, and says these need extra jurisdiction setup inside Avalara. If you collect in one of them, don't assume the default setup is complete.

Tax on shipping

With Avalara, the service decides automatically whether shipping is taxed for a given order. If you need to override that, you do it with custom rules in the Avalara dashboard, not in Wix.

Adding locations later

New tax locations are added in the Wix dashboard, not in Avalara. If you start collecting in a new state, add it at Settings → Tax.

The plan limits on automated tax

This is the part of Wix tax that catches store owners out. Automatic calculation is metered by plan, as shown on Wix's plans page in October 2026.

Two practical consequences follow.

First, a store on Core has manual tax only. If you need automatic rates, the move to Business is $10 a month more on yearly billing.

Second, the gap between 100 and 500 is expensive. A store with 150 transactions a month is over the Business allowance, and the next tier up is Business Elite at $159 a month.

Wix's public pages don't say what happens when a store goes over its monthly allowance. Before you rely on automatic tax near the limit, ask Wix support what the store does with the next order once the allowance is used up, and get the answer in writing. A store that expects to run well past 500 transactions a month should treat this as one of the questions in deciding whether Wix still fits. We cover the others in signs your store has outgrown Wix.

Tax groups: products taxed differently

Not everything you sell is taxed the same way. A tax group is a set of products that gets a different rate from your default. Wix's example is children's clothes taxed at 0%.

To create one, go to Tax → Tax groups → + Add Custom Group, then assign products to the group. Tax groups work with both methods:

• With manual tax, you enter the group's rate for each location.
• With Avalara, you give the group an Avalara tax code, and Avalara applies the right treatment for that kind of product in each place.

Tax groups are not available for Wix Bookings services. Which of your products belong in a special group is a tax question, not a software one. Check with your accountant or the state's tax agency before you set a product to a reduced or zero rate.

Showing prices with or without tax

You choose whether tax is added at checkout or already included in your prices. US stores usually add it at checkout. Stores in countries where shoppers expect tax-inclusive prices usually include it.

With the "Include tax in item price" setting, a $100 item shows a $100 total, with the tax portion listed separately. One side effect: price-based shipping rules and coupons then use the price without tax. If you have a "free shipping over $100" rule and tax-inclusive prices, test where the threshold actually falls. Shipping rules are covered in setting up shipping on Wix Stores.

Tax-exempt customers

Some buyers don't pay sales tax, such as resellers or certain organizations with valid documentation. Wix lets you assign a tax exemption to an individual customer, as a site contact, or to an exemption group, from Tax in the dashboard.

The software records the exemption. It doesn't verify it. Collecting and keeping the customer's exemption certificate is your job, and the rules for what is valid differ by state.

What Wix does not do

It helps to be precise about where the tool stops.

• It doesn't decide where you must collect. Wix tells merchants to work out where they have an obligation, based on physical presence or passing a sales threshold in a location, and to consult an accountant or tax authority.
• It doesn't register you. Getting a sales tax permit in each state where you collect is done with that state.
• It doesn't file or pay. Wix's documentation describes calculation and collection. The tax you collect arrives with your order payments, and you send it to each tax authority on its schedule.
• It doesn't take on liability. In Wix's words, "You are solely liable at all times for confirming that your tax calculation conforms to all applicable laws and regulations."

That last point applies to automatic tax too. Avalara reduces the chance of a wrong rate. It doesn't move the responsibility.

The collected tax is also not separated from your revenue in your bank account. It comes in with each payout from your payment provider. Consider setting it aside as it arrives so it is there when a return is due. Payout timing is covered in Wix Payments fees and payment options.

A practical setup checklist

1. With your accountant, list the states and countries where you are required to collect.
2. Register with each of those tax authorities as they require.
3. Estimate your monthly transactions and compare the number with the 100 and 500 allowances.
4. Choose manual, automatic, or a mix, at Settings → Tax.
5. Create tax groups for any products with special treatment.
6. Enter backup rates if you use Avalara.
7. Decide whether prices include tax, and check your shipping thresholds if they do.
8. Place test orders to addresses in each location and compare the tax with the rate you expect.
9. Remove any tax settings left in PayPal or another merchant account.
10. Review the setup when you start selling in a new state, add a new kind of product, or change plans.

Conclusion

Wix Stores gives you a workable way to charge the right tax at checkout: manual rates for simple cases, Avalara for address-level accuracy, tax groups for products with special rates and exemptions for qualifying customers. The limits are the monthly cap on automated transactions, the absence of automatic tax on Core, and the fact that registration, filing and liability stay with you. Nothing here is tax advice, so settle the where-and-what with an accountant or your state tax agency, then use the tool to carry it out. For the rest of the store setup, see our Wix Stores guide and Wix plans compared, or our take on when Wix is the right choice. If you'd like help configuring a store, eSEOspace offers Wix website services. More guides are in our Wix hub.

Frequently asked questions