Airstudio can add sales tax to session payments and invoices, calculate the right rate for each jurisdiction through Stripe Tax, and have Stripe remit it. This page covers turning it on, how the rate is chosen, and what happens on refunds.
With Charge Sales Tax off, no tax is calculated anywhere and the Tax columns are hidden.
| Charge | Taxed at the rate for |
|---|---|
| Session payment at booking, and session fees | The job's location, where the photography takes place |
| Invoice built from sessions | The job's location, pre-filled as the Tax Location on the invoice |
| Invoice built from products | The Tax Location you enter on the invoice |
A family living in one state and photographed in another is taxed where the session happens. If Stripe Tax cannot return a rate, for example because you are not registered in that jurisdiction, Airstudio falls back to the Default Session Sales Tax Rate for the job's team, then the studio-wide default, from Studio Info. A fallback rate is a flat percentage and is not remitted by Stripe.
The booking page and the staff booking form show a live Subtotal / Tax / Total before the charge is made, and the confirm button stays disabled if the tax lookup fails, so a customer is never charged a different amount from the one displayed.
Turn on Tax Exempt on the organization. New invoices for it default to Charge Sales Tax off. You can still override on any invoice.
Receipts and invoice emails show Subtotal, Sales Tax, and Total whenever tax was charged. The Payments and Invoices tabs have a Tax column, and both reports include tax per row.
When a taxed payment is refunded, the tax is reversed in proportion to the refund and the reversal is recorded in Stripe Tax, so your filings reflect the money actually kept.
| Account | Remittance |
|---|---|
| USD Standard, USD Express, CAD Standard | Stripe Tax calculates, collects, and files on your behalf for registered jurisdictions |
| CAD Express | Tax is added as a Sales Tax line on invoices at the calculated rate, but the studio files and remits it |
| Any account, fallback rate | The studio remits |