Invoicing glossary
Sales tax
Sales tax is a tax on retail sales, added at the point of sale and collected by the seller on behalf of the government.
Sales tax: a clear definition
Common in the United States, sales tax is set by state and local jurisdictions, so the rate depends on where the sale happens. On an invoice it's shown as a separate line on top of the subtotal. (Many other countries use VAT or GST instead.)
Sales tax in Invco
Yes. Enter the sales tax rate on each line item and Invco adds the tax to the subtotal and shows the total due. Invco doesn't look up rates by location or file returns, so check the rate that applies to each sale.
Invco is invoicing software for people who run more than one company. Design your own invoice template or upload your existing invoice PDF, and Invco calculates subtotals, tax and totals, numbers each invoice sequentially and emails it as a branded PDF from your own address. Plans from $10/month.
Frequently asked questions
What is sales tax?
Sales tax is a tax on retail sales, added at the point of sale and collected by the seller on behalf of the government.
Can Invco add sales tax to an invoice?
Yes. Enter the sales tax rate on each line item and Invco adds the tax to the subtotal and shows the total due. Invco doesn't look up rates by location or file returns, so check the rate that applies to each sale.
What is VAT (value-added tax)?
VAT (value-added tax) is a consumption tax added at each stage of the supply chain and ultimately paid by the end customer.
Invoice the easy way with Invco
Design your invoice template, send branded PDFs from your own email address, and see what's paid and overdue for every company. Plans from $10/month, with a full refund within 7 days.
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