Global Tax Compliance for Reselling Products

In this article, we will discuss Global Tax Compliance for reselling products: what it is, how to set it up, and what to keep in mind to ensure accurate tax collection across your sub-accounts.

Overview

Tax Compliance is a HighLevel feature that allows agencies to manage sales tax collection and reporting across multiple jurisdictions. It is powered by Stripe Tax and supports 100+ countries, US state-level registrations, and Canadian province-level registrations.

With this feature, you can:

• Collect taxes from sub-accounts on wallet recharges or based on actual monthly usage
• Manage tax registrations and product tax codes directly from your HighLevel dashboard
• Generate and download tax invoices per sub-account and jurisdiction
• Sell internationally across multiple tax jurisdictions

Before You Begin: Key Requirements

Please review the following before configuring Tax Compliance:

1. All sub-accounts must have a valid billing address

Tax jurisdiction matching depends entirely on the sub-account's billing address, including a valid zip code. If a sub-account does not have a valid address on file, the system cannot determine which tax rules apply and taxes will not be collected. Make sure all relevant sub-accounts have this configured before enabling tax collection.

2. You must have a connected Stripe account

Tax Compliance uses Stripe Tax for all tax registration, calculation, and reporting. Your agency's Stripe connected account is required for all tax operations.

3. Jurisdictions must be registered in Stripe Tax first

Before configuring tax collection for a jurisdiction in HighLevel, you must complete the registration for that jurisdiction in Stripe. HighLevel will then sync and display your registered jurisdictions automatically.

4. Stripe Tax may have additional charges

Enabling Automatic collection mode uses Stripe Tax for calculations. Depending on your Stripe plan, Stripe Tax may apply additional per-transaction fees. Review your Stripe plan before enabling automatic mode.

Setup Walkthrough

1

Go to Agency Settings

2

Go to Settings > Stripe

3

Go to Settings > Stripe > Tax Compliance

Here you will see all the tax jurisdictions you have configured in Stripe Tax. Learn how Stripe Tax works

4

Select Configure Tax for the jurisdiction you want to start collecting taxes from

5

Select Collection Mode

6

Select Tax Treatment on Usage Products

Treatment	How It Works
On Recharge	Tax is calculated and charged when the sub-account adds funds to their wallet. For example, a $10 top-up at 20% tax means the sub-account is charged $12, with $10 going to the wallet and $2 to tax.
At Month End	Tax is calculated based on actual monthly usage and charged to the wallet at the start of the following month. If the wallet balance is too low, it can go negative and trigger an auto-recharge.

7

Select Taxable Products

Choose which products are subject to tax for this jurisdiction. You can use preset tax codes matched from Stripe or customize them per product. You can also mark specific products as non-taxable.

8

Complete Legal Confirmation

Read the Terms of Service and legal confirmation. This acknowledges that tax calculations are handled by Stripe Tax and that the platform does not guarantee tax accuracy. Click I Agree to finish setup.

FAQ