Configuring Taxes for Your Rental Listings
Overview
This article explains how to set up and manage taxes for your rental listings within the CRM. Applying taxes ensures your booking totals are accurate and transparent for customers, and that your financial reporting remains compliant. The system links each rental listing to a product, and taxes are configured by applying manual tax rates to that product.
What are Taxes for Rentals?
Taxes for Rentals is a feature that allows you to add one or more tax rates to your rental services. When a customer makes a booking, the system automatically calculates the tax based on the rates you have set and displays the itemized total. This calculation appears on the public booking page, within the booking details, on invoices, and in relevant reports. If a booking includes multiple listings, the tax for each is calculated separately and then combined into the final amount due.
Key Benefits
- Transparent Pricing: Customers see a clear breakdown of the base price and applicable taxes before confirming their booking.
- Accurate Reporting: Tax amounts are accurately reflected in your financial records and exports.
- Flexible Configuration: You can assign different tax rates to different rental listings.
- Operational Efficiency: Automating the tax calculation saves time and reduces manual errors.
How Manual Taxes Work
Taxes are not applied directly to the rental listing itself. Instead, each listing is automatically associated with a linked product. You assign the desired manual tax rate(s) to this product. When a booking is made for that listing, the configured tax is automatically applied to the subtotal.
The tax calculation behavior depends on your general tax settings in the CRM. If taxes are set to be inclusive, the tax amount is calculated from within the listing price. If taxes are set to be exclusive, the tax amount is added on top of the rental price.
Where Taxes Appear
Once configured, the calculated tax amount will be visible in several key places:
- The public booking page for customers.
- The detailed view of a booking within your CRM.
- The payments section for a specific booking.
- Any invoices generated for the booking.
How to Apply Taxes to a Rental Listing
Follow these steps to set up taxes for one of your rental listings.
Step 1: Access the Rental Listing
Navigate to Calendars → Calendar Settings → Rentals → Listings. Click on the listing you wish to edit.
Step 2: Open Tax Configuration
In the listing editor, go to the Inventory & Pricing tab. Click the button labeled Configure Taxes for This Listing.
Step 3: Configure the Tax Rate
You will be redirected to the product linked to this rental listing. Here, you can add or modify the manual tax rate(s) for the product. After making your changes, click Save.
Step 4: Verify the Setup
Create a test booking or check an upcoming booking to confirm that the tax is being calculated and displayed correctly. Please note that tax changes only apply to new bookings made after the configuration is saved.
Frequently Asked Questions
Can I use different tax rates for different listings?
Yes. Since taxes are configured per listing via its linked product, each rental listing can have its own unique tax rate(s).
Do tax changes affect past bookings?
No. Any changes to tax rates will only apply to new bookings created after the change. Existing bookings will not be modified.
How are taxes handled in a booking with multiple listings?
The tax for each individual listing in the booking is calculated separately. The system then sums all the individual tax amounts to display a combined tax total for the entire booking.
Are taxes applied to the security deposit?
No. Taxes are applied only to the rental listing price and are not calculated on the security deposit amount.
Does the Rentals feature support automatic tax calculations?
No. The Rentals feature currently only supports manual tax rates that you configure.