# Taxes

**The Taxes** settings allow you to apply country-based tax rates to all product prices in your LMS. You can enable or disable tax calculations, choose how prices are displayed, and add tax rates for each country where you sell your courses.

You can easily use the toggle button to enable/disable taxes on your website.

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2FC16rFvlHMOC0BV9QYxXW%2Fimage.png?alt=media&#x26;token=9e169897-c180-419d-976a-a824a0ee2ada" alt=""><figcaption><p>WP Admin > MasterStudy > Settings > eCommerce > Taxes</p></figcaption></figure>

Here are the available settings:

* **Price Display Mode -** Choose how prices are displayed on the website.
  * **Prices exclude tax -** product prices are shown without tax. The tax will be added during the checkout process. However, on the course page&#x20;
  * **Prices include tax -** product prices already include the tax amount. The checkout process will not add extra tax on top.
* **Tax Rate By Country** - here, you have to set tax values manually for each country. For the countries not added to the list, the tax rate will be set to 0.

{% tabs %}
{% tab title="Price exclude tax" %}
Here you can see the same course, but a bit expensive because of the added taxes to the original course price set in course settings:

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2FJnj4Lpm8fEEA6GrCdlkH%2Fimage.png?alt=media&#x26;token=87f342c3-1c9b-4b33-b01b-e5fa73095452" alt=""><figcaption></figcaption></figure>

On the checkout page, you can see the actual price of the course ($117.90 as subtotal) and the added tax:

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2FkEU83hNW5UPWfuHaODYD%2Fimage.png?alt=media&#x26;token=3d8868d4-a971-4f57-a06c-6a501bcfcd35" alt=""><figcaption></figcaption></figure>

{% endtab %}

{% tab title="Prices include tax" %}
Here you can see the same course, but with the original price of the course set in the course settings:

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2FWGXJMaKkMw8px65jVPXh%2Fimage.png?alt=media&#x26;token=219e2cab-663b-4501-ba4c-b4aa17fb81b9" alt=""><figcaption></figcaption></figure>

In the checkout page, you can see the breakdown of the course price with the added tax value:

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2F4XT0ERPOtcgW3MaeJ21L%2Fimage.png?alt=media&#x26;token=9f8e5f42-dfb0-476a-bbfa-e3c4160e4d40" alt=""><figcaption></figcaption></figure>
{% endtab %}
{% endtabs %}

### How to Add a New Country?

Adding a new country is a straightforward action.

{% stepper %}
{% step %}
On the Taxes tab, choose the country you want to add from the list:

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2FVRYiaIy26eWWFMwetR0F%2Fimage.png?alt=media&#x26;token=0a4d8939-a7af-43c4-a629-34b248094a33" alt=""><figcaption></figcaption></figure>
{% endstep %}

{% step %}
Enter the tax rate as a percentage and save it:

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2Fppj2z30nnIuyk1YIJmwG%2Fimage.png?alt=media&#x26;token=c3313b72-96c6-4d6c-806e-efe4a716a16c" alt=""><figcaption></figcaption></figure>

For the United States, you can enter different tax rates for different states or use the same % for all states:

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2FQinilvivoz8innZzjXkT%2Fimage.png?alt=media&#x26;token=5d789963-0038-43c9-ba74-3047263c3279" alt=""><figcaption></figcaption></figure>

{% hint style="info" %}
For countries not included in the list, the tax rate will be set to 0.
{% endhint %}
{% endstep %}
{% endstepper %}

That's it. Now users will be charged additionally for taxes during checkout according to the billing address (country and state) they enter in the form:

<figure><img src="https://691205473-files.gitbook.io/~/files/v0/b/gitbook-x-prod.appspot.com/o/spaces%2F-MDTL6WUldKvxQaP8jzz%2Fuploads%2F907wYCzDCMila6qSozqN%2Fimage.png?alt=media&#x26;token=31b88f2d-b781-4ca2-a2e7-1c2825b4c88f" alt=""><figcaption></figcaption></figure>
